Post Office - a big warning sign

[Riposite]

So apparently the US Postal Service is only a few months from going kaput:

http://www.msnbc.msn.com/id/44396682/ns ... _business/

After reading it, with the volume of traffic down, and increasing postal costs would only encourage even less actual mail use, where do these no lay off Unions expect the money to come from?

Why of course from the government , which in turns means us John Q Public.

Why do so few people see that the public sector is killing the golden goose?
If they keep taxing us we have less money to spend, if they tax businesses too much , they hire less or outsource jobs to increase profits....
My heart breaks for anyone facing a lay off, i've had it happen to me before and it is rough, but somewhere we have to draw the line or else it will all go down the drain.


And it's not just the post office that is like this, it is just the most egregious example.
And the idea in a modern nation of our postal system collapsing...hmmm Fed prints money, post office collapses..can anyone say banana Republic?

[davasmith]

Isn't funny that if I printed fiat money I'd go to jail for several years, but the gov't has been printing fiat money for years (at least since the 60's) and nothing happens. Now the postal system is on the verge of collapse, social security is no longer secure, all clothes-toys-electrical devices-ect come from china and the only safe jobs are (were) union jobs. Hmmmm..... me smells something cooking, but see no one in the kitchen. I'm guessing this is just a ploy to get the president to gift money to the postal service. After all, the banks were "bailed" out and hasn't that just worked miraculously? I feel something coming, maybe soon.

[m4a1mustang]

Well another market collapse is coming, that's for sure. This is going to be a very tough fall/winter.

[OakRidgeStars]

It's the GM bailout all over again. The postal service is "too big to fail".

[Riposite]

the problem with bail outs/keyensian economics..is they are all ponzi schemes
borrowing from the future to save the present

that has a set of diminishing returns which we are getting near the end of, and two -it only works if people have faith that the system will get better/grow to a point where the government can pay back its debts...people and other nations and institutions are finally realizing our economy is decreasing while we try to borrow more and more...we've hit the point where odds are we can't pay them back if we keep going -and it's not simply a revenue issue because even if we raise taxes, the overall income base and job sector is declining

[wylde007]

It's the GM bailout all over again. The postal service is "too big to fail".

Except that the Postal Service is actually a Constitutional provision.

The USPS has been broke for decades, they've just been borrowing from Peter to pay Paul all this time... and now Peter is broke, too.

[m4a1mustang]

the problem with bail outs/keyensian economics..is they are all ponzi schemes
borrowing from the future to save the present

that has a set of diminishing returns which we are getting near the end of, and two -it only works if people have faith that the system will get better/grow to a point where the government can pay back its debts...people and other nations and institutions are finally realizing our economy is decreasing while we try to borrow more and more...we've hit the point where odds are we can't pay them back if we keep going -and it's not simply a revenue issue because even if we raise taxes, the overall income base and job sector is declining

Yep. And it's not just us... the rest of the developed world is in trouble. Europe is on the brink of implosion. They'll go first and we'll follow through.

There's a reason why gold is trading like it is today instead of like it was in 2008 -- faith in the system has been damaged.

[m4a1mustang]

It's the GM bailout all over again. The postal service is "too big to fail".

Except that the Postal Service is actually a Constitutional provision.

The USPS has been broke for decades, they've just been borrowing from Peter to pay Paul all this time... and now Peter is broke, too.

If the USPS was run more like a public company it'd probably be in pretty good shape. Wage expenses alone are killing it. Just look at what the average UPS/FedEx employee makes and compare that to the equivalent USPS position... it's insane!

[thekinetic]

It's because every retard with half a brain uses their cell phone to text instead of sending a letter....not like any of those half wits would know how to compose a letter!

I refuse to commucate via e-mail or text for anything other then web site to web site or buisness without a physical address. And will not ever buy a cell phone for anything other emergency, and may buy a jammer (despite legal issues) so that those within a hundred yards of me cannot either. Which is especially good for those ding dongs driving with them glued to their heads!

[Reverenddel]

I have no sympathy whatsoever for the USPS...

When I lived in the city they would lose at least ONE bill a month, and sent my LAST rent check to some address for a guv'mint agency that wasn't even close. I started paying my bills online just to make sure they GOT paid DUE specifically to the USPS. When confronted, they shrugged, and in their own guv'mint verbage said "So what? There's nothing you can do about it."

Fed-Ex, UPS, and the Internet put them out of business because they did it better, safer, and for less.

No name calling, just the USPS is an antiquated institution that refused to change with the times, and there by... they're dying. Boo-frakin'-Hoo.

Good riddance to bad rubbish.

[Kreutz]

Fed-Ex, UPS, and the Internet put them out of business because they did it better, safer, and for less.

Fed-ex or UPS will get a letter anywhere in the continental US in 1-3 business days for 44 cents?

The USPS is far from perfect, but it is "good enough" for routine things and I guarantee Fed-EX and UPS will double their prices once their biggest competitor is gone, so be careful what you wish for.

[m4a1mustang]

Fed-Ex, UPS, and the Internet put them out of business because they did it better, safer, and for less.

Fed-ex or UPS will get a letter anywhere in the continental US in 1-3 business days for 44 cents?

The USPS is far from perfect, but it is "good enough" for routine things and I guarantee Fed-EX and UPS will double their prices once their biggest competitor is gone, so be careful what you wish for.

Fedex/UPS may or may not increase rates, but the bottom line is that the USPS is sending those 44 cent letters for you at a loss. And you help them offset that loss every time you pay taxes.

[jdonovan]

Fed-ex or UPS will get a letter anywhere in the continental US in 1-3 business days for 44 cents?

Nope, and they aren't screaming about going bankrupt either... just something to think about.

[Riposite]

no are they contractually obligated to never lay off employees

[Palladin]

It's the GM bailout all over again. The postal service is "too big to fail".

Except that the Postal Service is actually a Constitutional provision.

The USPS has been broke for decades, they've just been borrowing from Peter to pay Paul all this time... and now Peter is broke, too.

And we all are screwed if Peter is broke...

[Kreutz]

Fedex/UPS may or may not increase rates, but the bottom line is that the USPS is sending those 44 cent letters for you at a loss. And you help them offset that loss every time you pay taxes.

No, I don't help them offset that loss. Nor do you. USPS is not funded by tax dollars.

But it has been borrowing from the US Treasury, not quite self sufficient I will admit.

If it wasn't mandated to prepay health benefits and not have lay-offs it would be in much better shape.

Again, it isn't perfect, but I think its good enough. If I have to ship something large/expensive I don't use them (use UPS), but for bills I can't pay online (health insurance, the odd weird medical bill for $3.00 from my kids strep test 6 months ago etc) its all good for 44 cents.

I don't work for USPS, have no dog in the fight, but I do know if they go, the cost of shipping will go up, plus I must confess a certain admiration for them; as a big fan of Ben Franklin I'd hate to see his pet project go under due to mismanagement and union shenanigans; so perhaps there is a sentimental angle to my opinion.

[Diomed]

Lysander Spooner was a prophet.

[VBshooter]

When 80% of your budget is payroll something has to give..that and No Layoffs has just about sunk them for good

[Reverenddel]

And today? They announced they need to fire 125K people...

Gee? Employee heavy much?

As to "Mailing a letter/bill"? Yeah, no... failed argument. RARELY do you run into someone who isn't taking ACH payments to their accounts. Most banks will do it for FREE if you have multiple accounts with them.

Again... If they fail? Someone else will do it... Think of it like this? You have a central hub in every state... and spider web it out for General Delivery. In the past there was NO "Door-to-Door" delivery. I WAS to the "GD HUB".

Why not go back? Stop by once a week. You're closed weekends, and you don't have 24 hour need.

[wylde007]

But it has been borrowing from the US Treasury, not quite self sufficient I will admit.

So even a "corporation" which is maintained through the acceptance of funds from what amounts to a PRINTING PRESS cannot stay solvent?

What does that say?