US Postal System Maintains Ugly Delivery Numbers

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By Douglas A. McIntyre Published
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US Postal System Maintains Ugly Delivery Numbers

© Justin Sullivan / Getty Images News via Getty Images

The United States Postal Service (USPS) released its delivery performance through the seventh week of its fiscal fourth quarter. It is a regular part of its reports to show that it has made progress, at least for customers. The numbers were not impressive, given the size and scope of the USPS.

The time to deliver mail pieces and packages averaged 2.5 days. The USPS does not give out a median figure, which would likely be a more accurate reflection of its performance. Ninety-three percent of First-Class mail was delivered on time, based on its own “service standard,” which is a low bar.

The delivery performance is part of what the USPS calls its “Delivering for America,” which is its 10-year plan.

The USPS did not put its performance in the context of its bloated size, which is slated to change relatively little. The service boasts that it has the largest delivery system in the country at 230,000 vehicles. It has no plan to take tens of thousands of these vehicles out of its fleet. It has a retail network that is larger than Subway or the Dollar Store, as if this were something to brag about.
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Most staggering of all, the USPS has a summary of its service, which reports on figures that are three years old. It shows it has 31,000 post offices and 630,000 employees. The USPS has not put forward a plan to cut thousands of these post offices (especially small ones) and cut tens of thousands of employees.
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At least two things would greatly improve the USPS’s financial fortunes. The first is to admit it is slow in delivering mail and to own that fact by cutting deliveries to three days a week. Second, it should raise the price of its service sharply. The First-Class basic price should be a dollar. Since people have no alternative, it is not likely volume would tail off. The decision is one any well-run business would make.
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The delivery time the USPS posts is dismal. It might as well raise prices, cut service and admit its delivery goals will not get better. At least people will know what to expect.

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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