Postal Service Losing $42,335,766 Per Day

Big trouble for the U.S. Post Office.

(CNSNews.com) - The U.S. Postal Service has been losing an average of $42,335,766 per day in fiscal 2012.

On Thursday, the service reported a third quarter (April 1-June 30) net loss of $5.2 billion, bringing its fiscal year-to-date net loss to $11.6 billion.

There were 274 days in the first three quarters of fiscal 2012. Thus the Postal Service has lost, on average, $42,335,766 per day in this fiscal year......

Postal Service Losing $42,335,766 Per Day

By an act of Congress, the Postal Service has an "overpayment" of $11 billion into the federal employee retirement funds.

They are requesting that the money be returned.

At the top of the list, Donahoe said, the postal service would like to resolve retiree health benefits and implement its own health-care plan to save money in the short-term and long-term.

Donahoe said because Congress mandated that the Postal Service prefund retirement health care benefits, USPS has overpaid more than $11 billion in federal employee retirement funds, all of which it is requesting to be returned from the Treasury.

Does PPACA (ObamaCare) cover the postal workers ?

Look for a "bailout" maybe ??

I wonder how much "overpayments" are made to "associated" vendors and contractors ?

Given the status of the USPS aka UPU (universal postal union), I can see why the US government wants to financially destroy the USPS and force them into a situation where they must be merged into the government for the government to take complete control.

It really is sad.



And of course, the treasury already funneled the money away.

reply to post by xuenchen


There is no better way to highlight the absolute incompetence of the government than to look at the post office. There is absolutely no reason for the government to be in the business of physically handling and delivering mail. Ensure that it gets delivered and that the integrity of the mail is protected, sure. The logistics, processing and delivery, no.

Fan's of government will cry about the loss of union jobs, the spiff that goes to political supporters, how minoritys are impacted more than whites, all of that other leftist trash.

Here's why this is such a good example. About 20 years ago, the post offfice was a business. It could have easily been sold. Many of the older post-offices are historical buildings. The government could have kept the facilities, required the firm to maintain them and pay rent. Now comes e-mail, on-line shopping, e-everything. mail volumes drop like a stone and what does the post office do? Nothing. Start to pare down staff? Nope. Throw a bunch of cash into technology to make up the difference? Nope. No, they just sit there and watch the private carriers get quicker, smarter and cheaper. They watch that and they watch the mail volume to drop.
About 3 years they came out with that flat rate box thing, but its too little too late and they're done.

Now, the post office is not worth anything other than the real estate. Were they ever to sell it, the buyer would only be buying the rights to deliver, they would want absolutely nothing from the post office. Not the drivers, not the sorters, none of it.

Music for the GOP ears

Looks like all those donations that UPS has made to the GOP will pay off for them.

is the post office a private entity? or government owned? if government owned,, just another leech of the taxpayers money?

Originally posted by ImaFungi

is the post office a private entity? or government owned? if government owned,, just another leech of the taxpayers money?

It's technically Private. As for being another leech of taxpayer money, well... YES it is.
Thomas Jefferson in his infinite wisdom was opposed to it as he knew it would become a waste of money.

How did he know? lol

reply to post by muse7


Probably right. I'm guessing the Postal Worker's union for the past 20 years, while the PO slide into the toilet has opted to give money to Ronald McDonald House rather than to democrats.

At least the intended outcome of the UPS spiff serves the country, which is for the government to get out of the business of delivering mail. All the union donations are intended to do is to keep the massively broken entity alive. There's a reason they don't hit you with the defribulator 1000 times. Its because after about a half a dozen, they know you're dead. The US government has been slapping the defribulator on the post office for decades. Time to wake up. Its dead

The article fails to mention that the FFFing republicans placed
An unusual pension request upon the post office in the last several years.
Requiring them to fund their pensions for over 60 years into the future.
This creates the effect and visual that the post office is insolvent, it is
But it is due to this right wing nut, conservative whack job provision
That is artificially in place.

Originally posted by dolphinfan
reply to post by muse7

 

Probably right. I'm guessing the Postal Worker's union for the past 20 years, while the PO slide into the toilet has opted to give money to Ronald McDonald House rather than to democrats.

At least the intended outcome of the UPS spiff serves the country, which is for the government to get out of the business of delivering mail. All the union donations are intended to do is to keep the massively broken entity alive. There's a reason they don't hit you with the defribulator 1000 times. Its because after about a half a dozen, they know you're dead. The US government has been slapping the defribulator on the post office for decades. Time to wake up. Its dead

don't emulate an idiot on purpose now..
The GOP created a prefunded pension program that is drawing funds that out pace income for the postal service.
manufactured failure just like wall street

USPS is a quasi public operation just like Freddie Mac, Fannie Mae and Sallie Mae. There is a big problem that joins all of them. The Govt.. Specifically, the USPS, is heavily subsidized but does not receive money directly from the taxpayer cesspool. Oddly the USPS is subject to the massive Postal Accountability and Enhancement Act of 2006 (PAEA), No other govt. entity has been subject to such mind boggling legislation and has crippled the postal service ever since. Especially, when combined with our economy and a consistent downturn of mail service business.

Its a complex beast that may just be better served if it was broken up altogether. Take it away from the govt. bureaucracy that has crippled it.

Then you have AMTRAK which is completely govt. owned and look at that flippin' mess. Most people don't realize that the official name for amtrak is the National Railroad Passenger Corporation. Doesn't quite have the same ring to it. Amtrak should be considered as our first official govt. bailout in 1971 when it was officially formed with a $40 million dollar gift (seems small when compared to GM's $50 billion).

Anyhooo, that's another topic altogether. The common denominator in these failures from banking to rail is the GOVT. involvement. Obamacare lovers take note. No one will ever succeed as long as they know they can constantly fall back on the sock drawer money from Uncle Sam. EVER! Just like our welfare system. Its all about sustaining vs. personal success and accountability.

What a Flippin' mess.....

reply to post by xuenchen


AWWWW......Here is me playing the world's smallest violin to another corrupted system!!

Unbelievable charges to send a freaking envelope 12 miles away!! Oh you want that package overnighted?? Sure that is only a low low fee of $30........Not bad right??

No wonder the government wants control.......

Stop paying your employees $30 an hour and maybe it would be reasonable to send an envelope out in the mail!!!

reply to post by Chrisfishenstein


It's the cheapest mail delivery service available. Sorry you can't swing 40 cents. See how much UPS or FedEx (ie the private companies) will charge for that letter... And $30 to overnight a package? Cheap compared to UPS or FedEx.

reply to post by usernameconspiracy


Yes you are correct, cheap COMPARED to others!! You apparently missed the point......It is a cash cow because people are basically required to send out mail.......Since they know they can charge what they want, they continue to raise the prices.....

I won't get the point across with you I am sure, you are stuck on the 40 cent fee.....So nevermind

Originally posted by jibeho
USPS is a quasi public operation just like Freddie Mac, Fannie Mae and Sallie Mae. There is a big problem that joins all of them. The Govt.. Specifically, the USPS, is heavily subsidized but does not receive money directly from the taxpayer cesspool. Oddly the USPS is subject to the massive Postal Accountability and Enhancement Act of 2006 (PAEA), No other govt. entity has been subject to such mind boggling legislation and has crippled the postal service ever since. Especially, when combined with our economy and a consistent downturn of mail service business.

Its a complex beast that may just be better served if it was broken up altogether. Take it away from the govt. bureaucracy that has crippled it.

Then you have AMTRAK which is completely govt. owned and look at that flippin' mess. Most people don't realize that the official name for amtrak is the National Railroad Passenger Corporation. Doesn't quite have the same ring to it. Amtrak should be considered as our first official govt. bailout in 1971 when it was officially formed with a $40 million dollar gift (seems small when compared to GM's $50 billion).

Anyhooo, that's another topic altogether. The common denominator in these failures from banking to rail is the GOVT. involvement. Obamacare lovers take note. No one will ever succeed as long as they know they can constantly fall back on the sock drawer money from Uncle Sam. EVER! Just like our welfare system. Its all about sustaining vs. personal success and accountability.

What a Flippin' mess.....

what subsidizes the USPS? I never got how/why private corporations would receive government bailouts? especially w corporations sleeping with the government trying to get benefits to better screw the consumer, going over seas for cheaper labor, wanting to be viewed as a person yet demanding to pay little taxes,, and then when failing take the consumers taxes to fund the company? USPS is privately owned/ how is it tied to the government at all?

reply to post by ImaFungi


The USPS wouldn't have gone BROKE if the government had not intervened. They were FORCED by congress to pay pensions UP FRONT to all of their employees, BILLIONS of dollars a year.

Like I made in the second post of this thread, I feel that this is a move to force the USPS into financial emergency so they must be merged further and further into the government, thus, growing the size of government even more.


You guys don't really understand how powerful the USPS (UPU) really is.

Originally posted by eLPresidente
reply to post by ImaFungi

 

The USPS would've have gone BROKE if the government had not intervened. They were FORCED by congress to pay pensions UP FRONT to all of their employees, BILLIONS of dollars a year.

Like I made in the second post of this thread, I feel that this is a move to force the USPS into financial emergency so they must be merged further and further into the government, thus, growing the size of government even more.


You guys don't really understand how powerful the USPS (UPU) really is.

but i dont get how it can be affiliated with government at all if its a private enterprise? when i think of government i think of citizens taxes,.., when i think of private I dont think of government.,,..,., how can this private organization use tax money to sell a service to tax payers for personal profit?

reply to post by thepresident


If you actually believe that the pension mandate is causing the postal service to be insolvent, you need to drink a large reality cocktail.

The reason for the mandatory pension is quite simple and appropriate. The quasi-government structure of the PO (which is total BS because the PO is government) makes it such that we the tax payers are on the hook for all of the unfunded pension obligations. Confronted with a massive balloon payment solely based on the PO's inability to govern itself and the close on 100% probability that the PO would default and we would have to bail these incompetents out, requiring a prefunded pension account is not only responsible, it was required.

Were the PO a private enterprise, they would be in the black. Might the price of a stamp be $1.00? Maybe, if thats what it costs. Might you be able to opt for weekly mail delivery at a different price point? Yes, you undoubtably would have that option. Would you have the option to opt out of delivery all together and pick your mail up? Of course you would. Could you instruct the firm to simply not deliver catalogs/junk/mass mailings? Sure.

Why don't we have those options? Because were the PO to offer up those innovative solutions, there would be no need to keep nearly as many unionized employees. Because the PO is a monopoly and therefore is not compelled to innovate.

I love it when the liberals are so hell bent on tearing up private enterprise, claiming collusion, calling for anti-trust suits against private enterprise when we have the largest monopoly in the country, which of course is the government - but thats OK. No problem though - the way the liberals are driving more folks onto public assistance, something that only the government can provide, they'll be all set.

Is the money not in-directly put back into the economy by the employees spending?

Still a significant drag on the federal budget, but has positive affects

Originally posted by MDDoxs
Is the money not in-directly put back into the economy by the employees spending?

Still a significant drag on the federal budget, but has positive affects

if that were the case noone would complain about welfare......

give me a couple thousand dollars of tax payer money and i promise ill spend it

Originally posted by ImaFungi

Originally posted by MDDoxs
Is the money not in-directly put back into the economy by the employees spending?

Still a significant drag on the federal budget, but has positive affects

if that were the case noone would complain about welfare......

give me a couple thousand dollars of tax payer money and i promise ill spend it

TO use your analogy, If those on welfare did not spend their cheques domestically, i am sure the US economy would collapse.....again. The fact that the people are spending on goods allows the economy to keep its head above water..

Here is a thread, started by same OP about your welfare state.

www.abovetopsecret.com...

Can you imagine if 100million people stopped putting their welfare cheques back into US based businesses.... Spending doest solve the problem..but it prevent compele collapse...