Aug 10, 2017
US Stamp Prices To Go Up

The beleaguered U.S. Postal Service is hoping to increase stamp costs to help them stay competitive, marking the biggest change in its pricing system in nearly a half-century.

AP

Buffeted by threats from Amazon drones to deliveries by golf cart, the beleaguered U.S. Postal Service is counting on a different strategy to stay competitive: more freedom to raise prices on mailing letters.

After a 10-year review, the Postal Regulatory Commission appears likely to move to grant the Postal Service power to increase stamp costs beyond the rate of inflation, marking the biggest change in its pricing system in nearly a half-century. A decision is expected next month.

The commission, which oversees postal rates, might limit how high stamp prices could go. But the price of a first-class stamp, now 49 cents, could jump, though it’s not known how much.

The plan has received praise from financial analysts but raised the ire of the mail-order industry, which could pay millions more for sending items like prescription drugs and magazines and be forced to pass the costs onto consumers.

The Postal Service is trying to stay financially afloat as it seeks to invest billions in new delivery trucks to get packages more nimbly to American homes.

An independent agency of government, the Postal Service has lost money for 10 consecutive years. While online shopping has led to years of double-digit growth in its package-delivery business, it hasn’t offset declines in lucrative first-class mail. Overall mail volume, which makes up more than two-thirds of postal revenue, dropped 27 percent over the last decade as people rely more on email and online bill payments.

“Price increases are long overdue,” said David G. Ross, a shipping analyst at Stifel Financial Corp., noting that first-class stamp prices in countries like Germany cost the equivalent of 80 cents or more. He said the Postal Service needs “to make the investment and deliver the packages so that Amazon doesn’t have to do it themselves.”

But overly high rates, Ross said, would only “accelerate the demise of first-class mail.”



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Opinions and Comments
1
um...
instead of raising the price of stamps and buying new trucks, how about starting with employees who actually do their jobs??
(8/10/2017 11:50:25 AM)
2
Laziest employees
They have the laziest employees and the worst customer service. Like all government-run organizations, there is virtually no employee oversight.

They lose packages, make late deliveries, lie about delivering items that were never delivered, and have the worst customer service both over the phone and at the Post Office.

They should sell the USPS to a private company.
(8/10/2017 12:12:27 PM)
3
WHAT ?
WHATEVER HAPPENED TO THE "FOREVER STAMPS" ??
(8/10/2017 1:12:15 PM)
4
The elderly
The ones who will be hit the most with this are the elderly who still use the mail service exclusively. Everyone else will just use the internet more for letters. Even invitations are starting to be sent more by evite.
(8/10/2017 4:03:49 PM)
5
Agree
I couldn't agree more with #1 and #2. The postal service has the laziest, slowest most inept employees! Why didn't their study show that?
(8/10/2017 5:51:22 PM)
6
how about when
you get a delivery they tell you it's the wrong address, when it has the right address on the front or everybody mail gets in my mailbox that l do not know or wrong addresses being drop into my mail box,l get stacks of mail that really junk
(8/10/2017 6:10:06 PM)
7
Not all Mail-Persons are bad
Our Mail-Person is the Best! Keisha brings us the mail conscientiously every day and Always goes the extra mile! She even asks if we have any outgoing mail... And when she's out, her replacement, Latoya, is just as sweet & helpful!
(8/10/2017 8:07:33 PM)
8
Out of town
The post office experience in Crown Heights is a total disgrace, We live out of town, far away from Brooklyn, it's a different experience, just a breeze!
(8/11/2017 8:58:58 AM)
9
Forever Stamps
(#1) - All organizations have their share of lazy employees, it is hard when Unions are involved to get rid of these employees. Many take pride in their work and genuinely care about the service provided.
(#2) - The post office is a Privately run organization, it is just regulated by the federal government. It is an independent agency of the United States federal government responsible for providing postal service in the United States. It is one of the few government agencies explicitly authorized by the United States Constitution.
(#3) - Stamps are forever stamps, that means if you purchase them at .49 cents, and the rate goes up to .94 cents for a 1 oz. letter it will still send, with that stamp. Not that price of stamps will stay the same forever.
(#4) - We will still deliver you packages that you order from EBay, Amazon and ETSY. and the ones FedEx and UPS don't want to deliver.
(#5) - See answers for 1 and 2
(#6) - Everyone has a right to send mail they pay to send, hence junk mail. They are mandated to deliver it even if you do not want it. You are the Current Resident and some people never change their addresses with the post office so they have no idea where they are.
(#7) - Thank You
(#8) - I know where I am at customers prefer our post office to the one a mile down the road. (Two connected towns).
(8/12/2017 9:09:25 AM)
10
Postage increase plan
The art of card sending for holidays, special occasions has been replaced by techno world. When the postage decreased briefly last year, I increased the letter support to military, sad to see it rose back to original cost, before holiday greetings were planned. I believe raising cost will adversely affect po, card shops etc. too many options of on line bill paying, free shipping and e-cards to compete. I know many European and Austrian Ian pen pals say $1.20 a letter is beyond their fixed income in bulk greeting mailings. Don't shot yourself in foot, higher prices will decrease volume of mailing and shipping.
(8/14/2017 8:21:37 AM)
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