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US Postal Service to Raise Shipping Charges by Over 6 Percent
US Postal Service to Raise Shipping Charges by Over 6 Percent

Epoch Times

time13-05-2025

  • Business
  • Epoch Times

US Postal Service to Raise Shipping Charges by Over 6 Percent

The U.S. Postal Service (USPS) intends to increase shipping prices effective July 13 and has filed a notice with the Postal Regulatory Commission on the matter, the agency said in a 'The changes would raise domestic shipping services prices approximately 6.3 percent for Priority Mail service, 7.1 percent for USPS Ground Advantage, and 7.6 percent for Parcel Select. Prices are not changing for Priority Mail Express service,' the company said on May 9. Priority Mail is one of the fastest delivery services offered by USPS, with packages arriving at destinations in two to three business days. Ground Advantage delivers in around two to five days, while Parcel Select is a solution for high-volume shippers, with packages taking two to eight days for delivery. The rate increases were approved by the Board of Governors last week. 'The USPS governors believe these new rates will keep the Postal Service competitive while providing the agency with needed revenue.' The rate changes will support USPS's $40 billion investments and continue the improvement and modernization of its operations, the postal service said. Pricing changes have been implemented as part of the Delivering for America initiative, a 10-year plan introduced in 2021 that aims to Related Stories 4/10/2025 5/9/2025 USPS revealed its Q2 financial 'As we mark 250 years of service to the nation, our organization continues to face economic headwinds. We are working diligently to control costs, increase revenues, and transform and modernize our infrastructure,' said acting Postmaster General Douglas Tulino. 'At the same time, we are seeing strong market acceptance of shipping products like USPS Ground Advantage and adopting an increasingly competitive posture across our product portfolio.' In fiscal year 2024, USPS reported a net loss of $9.5 billion, up by $3 billion compared to the previous fiscal year. USPS has initiated several cost-cutting measures to improve its financial position. On March 13, former Postmaster General Louis DeJoy said USPS had Leadership Change USPS is currently changing leadership. Following DeJoy's resignation in March, the USPS Board of Governors elected David Steiner as Postmaster General and CEO, the agency said in a May 9 Steiner serves on the board of USPS competitor FedEx and other companies. He is expected to leave the FedEx board before joining USPS, the service said. 'We anticipate Steiner will formally join the organization in July, assuming his successful completion of the ethics and security clearance vetting processes.' The National Association of Letter Carriers, a union representing 295,000 active and retired letter carriers, had Appointing Steiner to lead USPS is a 'clear conflict of interest,' it said. 'His selection isn't just a conflict of interest—it's an aggressive step toward handing America's mail system over to corporate interests.' 'Private shippers have been waiting to get USPS out of parcel delivery for years. Steiner's selection is an open invitation to do just that.' Nonprofit advocacy Keep US Posted, dedicated to the long-term health of USPS, supported the appointment of Steiner in a May 7 Kevin Yoder, Keep US Posted executive director, said the group aims to work with Steiner to make sure the postal service prioritizes its long-term sustainability and ensures affordable access to mail for Americans. 'This is a pivotal moment for the Postal Service, as self-inflicted service failures, ever escalating costs, and volume-killing rate increases by Louis DeJoy under the Delivering for America plan have pushed USPS to the brink of failure,' he said. 'We are optimistic that Steiner's leadership will strengthen the institution's mission of delivering reliable, affordable mail services to every American, every day.'

USPS Update on New Shipping Services Prices for 2025
USPS Update on New Shipping Services Prices for 2025

Newsweek

time11-05-2025

  • Business
  • Newsweek

USPS Update on New Shipping Services Prices for 2025

Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. The United States Postal Service (USPS) has announced that it plans to raise prices on its shipping services this summer. Why It Matters The Postal Service, the largest mail carrier in the country, is rolling out the rate increase as it strives to make its package delivery business more profitable. The independent federal agency has been facing financial struggles in recent years, having implemented a 10-year plan to stabilize in 2021. It reported a $9.5-billion loss in the fiscal year ending in September 2024, compared to a net loss of $6.5-billion in the fiscal year 2023. It reported a $3.3-billion net loss in the first quarter of 2025—nearly double during the same period last year. The USPS does not receive tax dollars for operating expenses and relies on the sale of postage, products and services in order to fund its operations. What To Know The USPS has announced it plans to increase prices for its Ground Advantage, Priority Mail and Parcel Select products beginning on July 13, according to a filing from the agency made on Friday. Priority Mail service will increase in price by 6.3 percent; 7.1 percent for USPS Ground Advantage; and 7.6 percent for Parcel Select. "Although mailing services price increases are based on the Consumer Price Index, shipping services prices are primarily adjusted according to market conditions," the postal service said in the announcement. "The USPS governors believe these new rates will keep the Postal Service competitive while providing the agency with needed revenue." A USPS mail truck leaves for a delivery in Fullerton, California, on July 18, 2020. A USPS mail truck leaves for a delivery in Fullerton, California, on July 18, 2020. GETTY There will be no price increases for Priority Mail Express, Domestic Extra Services, International Ancillary Services, or International Products. It follows on from the last price hike for shipping services, which took effect in January 2025. A separate request to the Postal Regulatory Commission made in April would also see the price of stamps rise this year. What People Are Saying The USPS said in a press release issued on May 9: "As part of the 10-year comprehensive strategic Delivering for America plan, these proposed changes will support the Postal Service in creating a revitalized organization capable of achieving its public service mission—providing a nationwide, integrated network for the delivery of mail and packages at least six days a week—in a cost-effective and financially sustainable manner over the long term, just as the U.S. Congress has intended." What Happens Next The price increases were approved by the USPS Board of Governors this week, and will be implemented on July 13 pending approval from the Postal Regulatory Commission.

USPS board chooses David Steiner as next postmaster general
USPS board chooses David Steiner as next postmaster general

Axios

time09-05-2025

  • Business
  • Axios

USPS board chooses David Steiner as next postmaster general

The United States Postal Service Board of Governors announced Friday that it selected David Steiner to be the nation's 76th postmaster general. Why it matters: USPS has been the focus of intense scrutiny with Elon Musk's Department of Government Efficiency. Members of the Trump administration have publicly contemplated privatizing or overhauling the service. U.S. Postmaster General Louis DeJoy stepped down from his job in March, days after asking DOGE for help cutting costs. DeJoy became postmaster general during President Trump's first term. Driving the news: Amber McReynolds, chair of the USPS Board of Governors, announced Steiner's appointment Friday during a board meeting. Reynolds said Steiner is expected to start in July "assuming his successful completion of the ethics and security clearance processes that are currently underway." Current Acting Postmaster General Doug Tulino is expected to return to his permanent position as deputy postmaster general and chief human resources officer once Steiner starts. What to know about David Steiner, next postmaster Zoom in: Steiner was the CEO of Waste Management for 12 years and held prior positions in the organization, according to a news release issued Friday. Before joining Waste Management, Steiner was a partner at the law firm Phelps Dunbar. He earned a bachelor of science degree in accounting from Louisiana State University, and a juris doctor degree from the University of California, Los Angeles. The intrigue: Steiner serves on the boards of transportation and logistics provider FedEx Corp., construction material manufacturer Vulcan Materials, and recycling automation provider AMP. He is set to leave the FedEx board and "manage the other roles and business and financial interests as required prior to joining the Postal Service," the release said. What they're saying: Kevin Yoder, Keep executive director of US Posted and a former Republican congressman from Kansas, called Steiner's appointment a "pivotal moment for the Postal Service." Yoder said "ever escalating costs and volume-killing rate increases by Louis DeJoy under the Delivering for America plan have pushed USPS to the brink of failure." "We are optimistic that Steiner's leadership will strengthen the institution's mission of delivering reliable, affordable mail services to every American, every day," Yoder said. New postmaster general selection How it works:"As established by federal law, the selection of the postmaster general rests solely with the presidentially appointed and Senate-confirmed governors of the USPS Board of Governors, who oversee the Postal Service as an independent establishment of the executive branch," the press release said.

UPS and U.S. Postal Service announce significant job cuts. What you need to know
UPS and U.S. Postal Service announce significant job cuts. What you need to know

Yahoo

time03-05-2025

  • Business
  • Yahoo

UPS and U.S. Postal Service announce significant job cuts. What you need to know

Jobs for thousands of letter and package delivery workers at the U.S. Postal Service and UPS could be cut this year, with both looking to slash costs and streamline operations as the effects of President Trump's tariffs and digital innovation ripple through the economy. But what that means for people with a package to ship or eagerly waiting for an important bill or letter may depend on where they live. Here's what we know so far: Last week, the chief executive of the United Parcel Service announced that the company will cut 20,000 jobs this year, or about 4% of its global workforce and plans to close 73 distribution facilities by the end of June. "We are executing the largest network reconfiguration in UPS history," the company said in a statement. "This strategic initiative will optimize the capacity of our network to align with expected volume levels and enhance productivity through additional automation." The closures are part of a long-term plan to modernize the operations of its distribution centers, including adding automation, either fully or in part, to 400 of its facilities, according to CNN. Earlier this year, UPS announced that it reached a deal with Amazon, its largest customer, to reduce business-related operations by more than 50% by the second half of 2026. "Further, the actions we are taking to reconfigure our network and reduce cost across our business could not be timelier," UPS Chief Executive Carol Tomésaid during a recent conference call. "The macro environment may be uncertain, but with our actions, we will emerge as an even stronger, more nimble UPS.' For its part, the Teamsters union that represents thousands of UPS workers said it would fight any cuts that harm its members. "The United Parcel Service is contractually obligated to create 30,000 Teamsters jobs under our current national master agreement," Sean M. O'Brien, president of Teamsters General, said in a statement. "If UPS wants to continue to downsize corporate management, the Teamsters won't stand in its way," he said. "But if the company intends to violate our contract or makes any attempt to go after hard-fought, good-paying Teamsters jobs, UPS will be in for a hell of a fight.' In March, then-Postmaster General Louis DeJoy announced the U.S. Postal Service would be cutting 10,000 positions as well as slashing the Postal Service's budget with the help of Elon Musk's so-called Department of Government Efficiency, according to a letter sent to members of Congress. Musk's group is not a government agency. The move comes as the Postal Service has experienced close to $100 billion in losses and was projected to lose an additional $200 billion, DeJoy stated in his letter. USPS employs 533,724 people as of 2024. The Postal Service has been working toward modernizing its operational efficiency, service reliability and financial stability with its Delivering for America plan, introduced in 2021. The 10-year plan was updated last year to revisit initial goals, highlight changes and lay out plans for future initiatives. Within the updated report, the Postal Service stated that the number of mail collected through its post offices and by carriers on their routes has sharply declined over the last decade. The number of collected letters and postcards dropped from 57 billion pieces in 1997 to just 12 billion pieces in 2023, an 80% reduction. Now, the Postal Service is reconfiguring its collection and transportation processes to address that decline. Mail is currently transported to and from processing facilities and post offices twice a day, once in the morning and once in the afternoon. Those deliveries will be cut to a single daily trip in the morning, according to the report. "This will optimize our regional transportation, cut unnecessary routes and expedite processing," the report stated. Despite cutting 20,000 positions and automating work at 400 facilities, UPS says the changes to its operations will not impact the experience of customers. But for the U.S. Postal Service, some changes should be expected. These changes will be implemented in two phases, the first phase began April 1 and the second will begin July 1. Delivery times for first-class mail, which includes letters and postcards, will remain between one and five days. The delivery time for priority mail express, a service that allows customers to ship packages up to 70 pounds to any state, will now take between one and three days. Previously, it was between one and two days depending on how late the day the item was dropped off. Delivery of end-to-end marketing mail, what most people call junk mail, along with magazines and newspapers, will be delivered faster, but USPS did not provide specifics. "As with mail, most competitive shipping products will retain the same service standard, some packages will have a faster standard, and some will have a slightly slower standard," the report stated. You can learn more about how long you can expect a package to arrive to its destination by visiting your local post office or checking the "Service Commitments" tool online. The tool asks for the exact ZIP Code of where the package will be sent from and mailed to, on which date and what time; it generates the average expected delivery time based on that information. Sign up for Essential California for news, features and recommendations from the L.A. Times and beyond in your inbox six days a week. This story originally appeared in Los Angeles Times.

UPS and U.S. Postal Service announce significant job cuts. What you need to know
UPS and U.S. Postal Service announce significant job cuts. What you need to know

Los Angeles Times

time03-05-2025

  • Business
  • Los Angeles Times

UPS and U.S. Postal Service announce significant job cuts. What you need to know

Jobs for thousands of letter and package delivery workers at the U.S. Postal Service and UPS could be cut this year, with both looking to slash costs and streamline operations as the effects of President Trump's tariffs and digital innovation ripple through the economy. But what that means for people with a package to ship or eagerly waiting for an important bill or letter may depend on where they live. Here's what we know so far: Last week, the chief executive of the United Parcel Service announced that the company will cut 20,000 jobs this year, or about 4% of its global workforce and plans to close 73 distribution facilities by the end of June. 'We are executing the largest network reconfiguration in UPS history,' the company said in a statement. 'This strategic initiative will optimize the capacity of our network to align with expected volume levels and enhance productivity through additional automation.' The closures are part of a long-term plan to modernize the operations of its distribution centers, including adding automation, either fully or in part, to 400 of its facilities, according to CNN. Earlier this year, UPS announced that it reached a deal with Amazon, its largest customer, to reduce business-related operations by more than 50% by the second half of 2026. 'Further, the actions we are taking to reconfigure our network and reduce cost across our business could not be timelier,' UPS Chief Executive Carol Tomésaid during a recent conference call. 'The macro environment may be uncertain, but with our actions, we will emerge as an even stronger, more nimble UPS.' For its part, the Teamsters union that represents thousands of UPS workers said it would fight any cuts that harm its members. 'The United Parcel Service is contractually obligated to create 30,000 Teamsters jobs under our current national master agreement,' Sean M. O'Brien, president of Teamsters General, said in a statement. 'If UPS wants to continue to downsize corporate management, the Teamsters won't stand in its way,' he said. 'But if the company intends to violate our contract or makes any attempt to go after hard-fought, good-paying Teamsters jobs, UPS will be in for a hell of a fight.' In March, then-Postmaster General Louis DeJoy announced the U.S. Postal Service would be cutting 10,000 positions as well as slashing the Postal Service's budget with the help of Elon Musk's so-called Department of Government Efficiency, according to a letter sent to members of Congress. Musk's group is not a government agency. The move comes as the Postal Service has experienced close to $100 billion in losses and was projected to lose an additional $200 billion, DeJoy stated in his letter. USPS employs 533,724 people as of 2024. The Postal Service has been working toward modernizing its operational efficiency, service reliability and financial stability with its Delivering for America plan, introduced in 2021. The 10-year plan was updated last year to revisit initial goals, highlight changes and lay out plans for future initiatives. Within the updated report, the Postal Service stated that the number of mail collected through its post offices and by carriers on their routes has sharply declined over the last decade. The number of collected letters and postcards dropped from 57 billion pieces in 1997 to just 12 billion pieces in 2023, an 80% reduction. Now, the Postal Service is reconfiguring its collection and transportation processes to address that decline. Mail is currently transported to and from processing facilities and post offices twice a day, once in the morning and once in the afternoon. Those deliveries will be cut to a single daily trip in the morning, according to the report. 'This will optimize our regional transportation, cut unnecessary routes and expedite processing,' the report stated. Despite cutting 20,000 positions and automating work at 400 facilities, UPS says the changes to its operations will not impact the experience of customers. But for the U.S. Postal Service, some changes should be expected. These changes will be implemented in two phases, the first phase began April 1 and the second will begin July 1. Delivery times for first-class mail, which includes letters and postcards, will remain between one and five days. The delivery time for priority mail express, a service that allows customers to ship packages up to 70 pounds to any state, will now take between one and three days. Previously, it was between one and two days depending on how late the day the item was dropped off. Delivery of end-to-end marketing mail, what most people call junk mail, along with magazines and newspapers, will be delivered faster, but USPS did not provide specifics. 'As with mail, most competitive shipping products will retain the same service standard, some packages will have a faster standard, and some will have a slightly slower standard,' the report stated. You can learn more about how long you can expect a package to arrive to its destination by visiting your local post office or checking the 'Service Commitments' tool online. The tool asks for the exact ZIP Code of where the package will be sent from and mailed to, on which date and what time; it generates the average expected delivery time based on that information.

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