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The Shipwire Blog/USPS Saturday Delivery Considered for Chopping Block

USPS Saturday Delivery Considered for Chopping Block

The recent U.S. economic downturn is forcing private and public sector companies to drastically reconsider their businesses.

There has recently been a rush of news reports that the U.S. Postal Service is considering turning down Saturday delivery. This will be a major change for the post office and its customers.

According to CNN, The postal service is claiming it will save them $6B a year and help them shore up their declining business in 2009. Industry analysts and customers are wondering if this is the best choice for the Postal Service considering that Saturday deliveries is one of their key differentiators. There was a 1980 report stating that the postal service would save a $1B annually by cutting off Saturday delivery ($2.5B in inflation adjusted dollars). The bulk of the savings being claimed may be resulting from changes to employee compensation and requests to change the funding requirements for the USPS pension fund.

We are not expecting them to shut off Saturday deliveries immediately or without an in-depth study. It is possible that we’ll see them trial this on a temporary basis after a period of notice or in specific locations.

Shipwire will continue to monitor this and provide updates and opinions as it unfolds.

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