Business

Postal Service Considers Closing 1,000 Branches

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I wrote about the problems the Postal Service faced back in January, and today we get word that their financial woes are even more severe than previously thought.

From NBC…

Back to the January post, which was about cutting back on delivery days, I saw two advantages to that model…

First, the fewer the days the mail is delivered, the less gas the Post Office uses. Demand goes down, price goes down.

Second, I’d rather miss a Tuesday delivery than a Saturday one. That way the mail carriers have a normal work week and a premium is placed on getting mail to you on the weekends via Express Mail. This model would be much more competitive with FedEx, etc.

While closing branches would accomplish the first, it wouldn’t make the Postal Service more competitive with FedEx…which is exactly what they need to do.

More as it develops…