While the Postal Service is struggling, private carriers like FedEx and UPS continue to show positive signs of growth. Notwithstanding the strong economic performance of FedEx and UPS, these companies rely on the Postal Service to deliver millions of ground packages each year to areas that are not profitable for private carriers to serve directly. Therein lies the beauty of the Postal Service — a universal service obligation.
The Postal Service would have reported profits in four of the past five years, if not for Congress’ arbitrary mandate that the agency pre-fund benefits 75 years in advance.
By all metrics, the financial burden placed on the Postal Service has been a net negative for the agency, its employees and the public. It is beyond comprehension why Congress will not act decisively to protect an institution that predates the Declaration of Independence and the U.S. Constitution.
It is distressing to see the neglect that Congress has shown toward this national treasure of an institution and the nearly 634,000 career and contract workers that currently fill its ranks.