The United States Postal Service must cut spending by $20 billion by the year 2015 or there could be some serious and unimaginable consequences.
Given the push for people to “go green” and cut the use of paper products, the United States Postal Service is finding itself in quite a bind. The USPS remains one of the top industries in the United States that rely on people using paper products in order for the company to profit.
Because so many individuals are paying their bills online or over the phone, using email instead of regular mail, or resorting to text messaging as a quick and less time-consuming option for communication, the Postal Service has seen a drastic decrease in earnings.
Congressman Michael Michaud said that the senate is currently under discussion regarding the issues at the United States Postal Service, and a Senate meeting is planned for next week regarding what major changes must be made to avoid a total closure. Up for debate is the number of post offices that will be closing nationwide.
The projected number of offices was previously stated as 232, however Paul Brawn, the Maine State American Postal Workers Union President, said that this number has been decreased to between eighty and one-hundred twenty locations.
Tom Rizzo, a spokesman for the USPS, said that the postal service is not supported by taxpayers. Instead, the company has to survive on services offered as well as stamps, packages, and other items that can be purchased at the post office. Rizzo reports that the use of mail has decreased nearly 25% since 2006.
Another point of discussion for the USPS is whether or not they should limit the deliveries to four days a week instead of six. They believe this will save money as it will not require the offices to run six days a week, however it will decrease the reliability that most postal service users desire.
Not only are these problems associated with limited services affecting the USPS, but they have shown a drastic affect on the paper industry as a whole. Paper consumption has rapidly decreased over the last ten years as the use of technological sources continues to rise. This problem could result in numerous closings of paper production companies all over the United States.