Trends in Print and Mail

There was more than one winner at the National Postal Forum (NPF) in Charlotte a few weeks ago. In fact, it was evident that all 3,500 attendees had a successful conference in the shadow of the NASCAR Hall of Fame. Whether in classes, on the trade show floor, or networking at events – there were opportunities for everyone.

The keynote address from Postmaster General (PMG) DeJoy provided an update on the Delivering for America plan. PMG DeJoy stressed his commitment to continual “dramatic change” at the US Postal Service (USPS). Videos featuring key leadership emphasized the progress made so far, with the need for even more work to be done. DeJoy stated the new network will take “the Postal Service from the leader in the last mile, to the leader in the last 150 miles.”

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United States Postal Service / National Postal Forum / Postal Customer Council / USPS / Digital / U.S. Postal Service / Postage Rates / NPF / shipping / mail / Postmaster General / The Berkshire Company / learning / management

The US Postal Service (USPS) is in financial trouble. The decline in mail volumes has accelerated in the last year. At the same time, the USPS is losing market share in the package shipping market. Aging facilities and vehicles hamper efficiencies. Congress appropriated billions for electric vehicles and charging stations, but that will only cover a small percentage of the investment needed. 

The response from the USPS is to raise rates – aggressively. The current plan is to raise rates twice a year, in January and July. The January rate increase will be based on the Consumer Price Index (CPI-U) and the July increase will be CPI-U plus factors for mail density and retirement payments. This tactic is driving down mail volumes at the fastest rate since the Great Recession. 

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Mail Security / United States Postal Service / Technology / USPS / Digital / Postal Reform / Postal Regulatory Commission / Postmaster General

In several of his last public briefings, Postmaster General (PMG) DeJoy has shown two slides – one with a cauldron of bats filling the screen in what appears to be a jumble of flying figures, followed by one showing a flock of geese flying in typical “V” formation. PMG DeJoy uses the analogy to demonstrate the chaos at the US Postal Service (USPS) when he arrived (the bats), and the order he intends to implement (the geese).

The analogy of bats and geese is appropriate, but PMG DeJoy has taken the wrong lesson. The USPS is more like bats, while their competitors are often more like the geese. Yes, bats and geese both fly, but that’s where the similarities end.

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United States Postal Service / U.S. Postal Service / Postal Reform / Postage Rates / Vote by mail / Postmaster General

US Code Title 39 §101(a): The United States Postal Service shall be operated as a basic and fundamental service provided to the people by the Government of the United States, authorized by the Constitution, created by Act of Congress, and supported by the people.

The first post in this series proposed a new reporting structure of the US Postal Service (USPS) and the Postmaster General (PMG). The second post reviewed the Universal Service Obligation (USO) and provide a minimum standards for a new USO..

This post will reimagine what services the US Postal Service may provide in the future – within and beyond the limits of what the current laws allow.

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United States Postal Service / USPS / U.S. Postal Service / Postal Reform / Postal Regulatory Commission / Postmaster General / Universal Service Obligation

 

Gathering for the first time since 2019, mailing professionals flocked to Phoenix for the National Postal Forum (NPF). People came ready to work – attending classes, connecting with vendors on the exhibit hall, and hearing from postal executives on products and policies.

A group of volunteers kicked off the conference with a different kind of work. Partnering with the NPF, The Berkshire Company sponsored a Habitat for Humanity build day on Saturday. The crew installed roofing, painted sections of the exterior and assembled work stools. We ended the day with a presentation of a mailbox for the new homeowners.

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United States Postal Service / Industry Vendors / National Postal Forum / USPS / U.S. Postal Service / NPF / Postal Regulatory Commission / Postmaster General / The Berkshire Company

The last blog post proposed a new reporting structure of the US Postal Service (USPS) and the Postmaster General (PMG). This post will review the Universal Service Obligation (USO) and provide a draft USO for your consideration.

The USO is the vaguely defined responsibility of the USPS to provide consistent service at affordable rates to all citizens irrespective of geography. The Postal Regulatory Commission (PRC) calculates the costs of the USO and publishes a report on those costs.

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United States Postal Service / USPS / Postal Reform / Postal Regulatory Commission / Vote by mail / Postmaster General / Universal Service Obligation / The Berkshire Company

In last month’s post, we reviewed the lack of real reform in the “Postal Service Reform Act of 2022”. While the bill does address some financial issues, it falls short of introducing meaningful change to the US Postal Service (USPS).

A common reply to the post has been, “What would you consider ‘real’ reform?”

That’s a good question, and one that will be answered in three parts. Part One will cover governance and accountability, and Part Two will address universal service and the final part will discuss future services the USPS may provide.

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United States Postal Service / USPS / U.S. Postal Service / Postal Reform / Postal Regulatory Commission / Postmaster General / Universal Service Obligation

On March 8, 2022, the Senate Passed HR 3076 – “The Postal Reform Act of 2022”. This is an important law that will address several issues affecting the US Postal Service (USPS). However, no matter how this law is promoted, it isn’t comprehensive reform, and it doesn’t overhaul the USPS.

What’s included? In summary:

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United States Postal Service / USPS / Postal Reform / Postmaster General / Universal Service Obligation

For over 6 months, mailing industry professionals – through their associations and as individuals – have expressed their concerns about a second postage rate increase in 2021. Through group calls with the US Postal Service (USPS) leadership, meetings with the postmaster general, and many articles and blog posts, the message has been clear – a second rate increase in 2021 will cause harm. Annual budgets have been set, printers and mailers are just beginning to recover from the pandemic, and USPS service levels will be lowered in September.

Their efforts were for naught.

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United States Postal Service / USPS / U.S. Postal Service / Postage Rates / Postal Regulatory Commission / Postmaster General / The Berkshire Company

The last year has brought one challenge after another. The pandemic. Civil rights protests. A divisive election. Violent rioters in our nation’s capital.

The impact to the US Postal Service (USPS) was augmented by additional factors.

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United States Postal Service / USPS / U.S. Postal Service / Postal Reform / Postage Rates / Postal Regulatory Commission / Postmaster General