Money Roundup: No More Saturday Mail Edition

by Michael on Feb 9, 2013 · 4 comments

This past week, the USPS announced plans to stop Saturday mail delivery. They’ve apparently offered this service since 1863, but it will soon be a thing of the past.

Sadly, even this relatively drastic move will do little to solve their financial woes. These problems are largely a byproduct of being told to operate as an independent business while being subject to strict Congressional oversight (read: meddling).

It’ll be interesting to see how this plays out. One thing seems certain: this isn’t the last we’ll be hearing about service changes as the USPS struggles to remain viable.

And now… Here are some articles that caught my eye this past week:

That’s it. Hope you’re having a great weekend.


1 Harry February 9, 2013 at 5:33 pm

Here’s a thought for USPS: adopt the freemium model. Make first class mail free for non-commercial users. Double or triple the rate for commercial mails.

2 Michael February 9, 2013 at 7:04 pm

Interesting idea, but probably difficult to implement in practice. Also, they’re not allowed to raise postage rates faster than inflation so the law would have to change.

If they were simply allowed to charge enough to cover their costs then:

(1) they wouldn’t be in such a tough position, and
(2) competitors might enter the space.

Both would be positive developments.

3 Jon @ MoneySmartGuides February 9, 2013 at 8:55 pm

Thanks for the mention!

I’m with you in that stopping Saturday mail is going to do little/nothing to solve the problem of losing money. I at least give them credit for still delivering packages on Saturdays, otherwise UPS/FedEx would jump in even more so and take away revenue.

4 Michael February 9, 2013 at 9:20 pm

Jon: They don’t actually have a choice in the matter, as Congress won’t let them back away from six-day-a-week delivery. Continuing with packages satisfies that.

Also, packages are apparently the most profitable part of their business so perhaps it makes sense for them to continue that aspect — though they’ll still have to run routes on an extra day.

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