Revenue and mail volume projections point to continuing and dramatic losses in the billions. If the Postal Service™ takes no action, it could face a cumulative $238 billion shortfall by the year 2020.
On March 2, 2010, to meet these challenges over the next decade and beyond, the Postal Service presented its action plan — “Ensuring a Viable Postal Service for America” — to adapt to America’s changing mailing habits and preferences.
The plan, presented by Postmaster General John E. Potter and senior USPS® executives to an audience of congressional and mailing industry stakeholders, calls for the Postal Service to focus on several main areas where change is needed to become a flexible, agile agency able to respond to change.
n Restructure retiree health benefits prefunding to “pay-as-you-go,” comparable to what is used by the rest of the federal government and the private sector.
n Adjust delivery frequency to better reflect current mail volumes and customer habits.
n Expand access to postal products and services through self-service kiosks, partnerships with other retail outlets, and a world-class website — usps.com®.
n Workforce flexibility that allows USPS to put the right people at the right place and at the right time.
n Ensure pricing of Market Dominant mailing products is based on demand for each individual product and its costs, rather than capping prices for every class at the rate of inflation.
n Expand products and services by allowing USPS to evaluate and introduce more new products consistent with its mission and compete more effectively in the marketplace.
The Postmaster General also appeared in a video message to employees outlining his proposals. You can find a transcript of the Postmaster General’s message here: http://blue.usps.gov/pac/transcripts/pmg_envisionamerica_030310.htm.
Starting on the next page are four fact sheets that contain an overview of the challenges faced by the Postal Service and information on pricing, expanded access and products, and our workforce.
For more information, please visit www.usps.com/strategicplanning/futurepostalservice.htm.
— Public Affairs, Corporate Communications, 2-25-10
