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USPS

Facts on USPS

History of USPS

USPS was formerly known as the U.S. Post Office Department when it was under the management of the US government. Until on 1971, President Nixon signed the Postal Reorganization Act which took effect on July of the same year making the U.S. Post Office Department an independent agency and was renamed to United States Postal Services (USPS). The signing of the Act resulted from a largely participated strike the previous year from employees whose concerns were low wages and poor working condition.

In the year 2001, First Class mail volume is at its highest but has constantly declined due to the increasing use of electronic mail and the World Wide Web which makes communications and business transactions a lot faster, convenient and cheaper. The decreasing volume was also linked to other service providers: FedEx and United Parcel Service (UPS).

To deal with the decline, USPS increased productivity, upgraded facilities and optimized routes but still the organization is up to a huge budget shortfall in 2010 and in 2011, huge losses were reported at a rate of $3 billion per quarter. The next fiscal year, 2012, the USPS reported another huge loss amounting to $15.9 billion.

In 2013, the USPS announced that beginning August of the same year Saturday deliveries will be stopped except for some urgent services so the organization can save about $2billion per year but was not implemented due to the Consolidated and Further Appropriations Act passed in March of the same year. In November of the same year, USPS started regular Sunday delivery for Amazon Customers in Los Angeles and New York. This delivery service further expanded to 15 other cities in May 2014.

At present, USPS delivers mail once a day to residential and commercial sites. For city deliveries, carriers usually walk and deliver to mailboxes or to commercial reception areas. For ruraldeliveries, carriers deliver mails to residential mailboxes by vehicles. They also offer other service deliveries such as post office boxes (locked box at the post office), general delivery or pick-up and door-to-door delivery for people with medical problems.

As of January 2014, USPS operates the largest civilian and vehicle fleet in the world with over 600,000 workers and more than 200,000 vehicles. USPS direct competitors are United Parcel Services and FedEx.

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