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Why is USPS struggling?
Chief among its challenges are a general decline in the amount of mail it handles; rising costs related to employee benefits, especially pensions; and mounting debt, according to a report last year by the US government accountability office, a nonpartisan congressional agency.
Will USPS ever go out business?
As of right now, the US Postal Service is still alive and well. It is facing tough competition, however, from private companies such as UPS and FedEx. It is possible that President Trump will also try to make some changes that work in the Postal Service’s favor. But do not expect it to go out of business anytime soon.
Does the US Postal Service make a profit?
The U.S. Postal Service saw a $318 million profit in the first quarter of fiscal 2021, though it called the rare bit of good news ephemeral and promised a major reform package in the coming days.
Does the USPS get federal money?
The agency is not funded by the government. How does the USPS pay for its workforce and operations? It’s all through the price of stamps and services. According to the USPS, if the USPS were a private sector company, the postal service would rank 46th in the 2020 Fortune 500.
Why you should support USPS?
The USPS network, reaching every household every day, makes it essential when disaster strikes. And the Postal Service plays an essential logistical role in national disasters for other agencies. In fact, in federal epidemic planning, it is tasked with delivering vaccines and other medications.
Is USPS making a profit?
Despite the doom-and-gloom forecasts and weak performance, USPS managed to turn a $748 million loss from the same period—Oct. 1-Dec. 31—in 2019 into a $318 million profit in 2020. Shipping and package volume jumped by 25\% in the quarter, and an unprecedented 40\% in December, driving the turnaround.
What would happen if the post office went out of business?
If the USPS shuts down, then they will be left without an affordable option to access vital drugs. The shutdown of the USPS could ultimately disrupt the services of another government agency that serves a vulnerable population.