The USPS, otherwise known as the Post Office, is losing money at a faster pace than ever before. It likely is a lost cause if it continues on its current course.
The Postmaster General (how many know the Ben Franklin was the original Postmaster general?) blames it on their inability to anticipate the market shift and to retool their product and delivery system. He cites the internet and paying bills online. Can't disagree with him.
Here's what really is sinking the agency though. It's true that fewer people are using the mail service, but 80% of the total annual budget of the Post Office, er USPS, is labor. Forget the rent, the vehicles, the gas, the building utilities, and all the rest. Four-fifths of it's budget is labor.
Now, a cost savings can be achieved if some of those jobs go away and maybe automation replaces some others. In reality, however, the labor costs cannot be removed, and I'm not sure any blue collar jobs can be eliminated.
It turns out the 85% of all postal jobs are union. That's why they're losing money, and that's why they are spending themselves out of existence.
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