As another signal that the United States Postal Service (USPS) has outlived its usefulness and should be replaced by private enterprise operations, it finished dead last in the carefully tracked US Customer Satisfaction Index for mailing. clients. The note was part of the larger ACSI Retail and Consumer Study 2021-2022.
On a scale of 1 to 100, the USPS ranked 70, behind leader FedEx at 75 and UPS at 74. The study is based on interviews with 36,517 randomly selected customers contacted by email between January 11, 2021 and December 20. 2021.
The rating for customer shipping was based on the physical condition of packages, ease of tracking, range of delivery options, staff courtesy and speed of delivery. The USPS’s image has been severely damaged due to the slow delivery of ballots during the 2020 general election and a reported increase in the time it takes first-class mail to reach its destination.
The USPS has been a thing of the past for several years. It is slow, inefficient, poorly managed and can be replaced by private companies. It has 31,000 offices, including some in areas where there are so few people there isn’t enough foot traffic to sustain them. It employs more than 644,000 workers, more than half a million of whom enjoy extremely high benefits, mostly negotiated by the American Postal Workers Union. The cost of these benefits alone, to current and future retirees, is enough to financially overwhelm the USPS. The labor situation is similar to that of automakers before they went bankrupt.
Closing the USPS would allow the federal government to shift mail delivery to FedEx and UPS, each of which is very cost effective and not reliant on government funding. Together they are certainly big enough to run the business. FedEx has 600,000 employees and annual revenue of approximately $100 billion. UPS has 540,000 workers and $90 billion in annual revenue.
Some of the USPS’s 31,000 locations could be sold and the money sent to the treasury. Alternatively, UPS or FedEx could lease them as service centers. The operating costs of each of these offices would be eliminated.
The USPS has a number of aging fossil fuel vehicles. Most of them would quickly be decommissioned. Recently, it made the decision to keep almost all of its fleet fossil fuel based.
Closing the USPS would put an end to the fiction that mail must be delivered six days a week. Daily mail delivery has almost no benefit. FedEx and UPS have extensive experience in periodic mail delivery. Of course, three deliveries a week would suffice. It would be the financial responsibility of UPS and FedEx to do this without resorting to government money. There would be some cap on what they could charge businesses and individuals for mail, although that could be higher than current levels.
Close the US Postal Service. Its value has practically disappeared.
Click here to learn more about the USPS shutdown, the loss of 600,000 people and the closure of 31,000 offices.