FILE PHOTO: A United States Postal Service (USPS) mail service pushes his cart whereas delivering mail within the rain on Manhattan’s Higher West Aspect through the outbreak of the coronavirus illness (COVID-19) in New York Metropolis, New York, U.S., April 13, 2020. REUTERS/Mike Segar/File Photograph
June 8, 2021
By David Shepardson
WASHINGTON (Reuters) – A coalition of shops, newspapers, printers, greeting card corporations and others oppose the U.S. Postal Service plan to hike postage costs for many mail by 7% and known as on Congress to direct a brand new evaluate earlier than the will increase take impact.
The group contains the Nationwide Retail Federation, Amazon.com Inc, eBay Inc, the Nationwide Newspaper Affiliation, Envelope Producers Affiliation, Greeting Card Affiliation and the American Forest & Paper Affiliation.
The value will increase to be applied on Aug. 29 “will impose new and substantial prices to the detriment of the American public and companies, particularly small companies, nonprofits and charities, shoppers typically … and, after all, the hundreds of thousands of jobs postal-reliant companies help,” the Coalition for a twenty first Century Postal Service stated in a letter on Friday.
USPS stated in response on Friday that for the final 14 years it “has not had ample pricing authority to answer altering market realities.”
USPS stated the worth hikes are wanted as a result of over the previous 10 years, mail quantity has declined by 46 billion items, or 28%, and is constant to say no. “Whereas we might have skilled a rise in income during the last yr, it’s not sufficient to offset the greater than decade price of losses,” a USPS spokesman stated.
The company says it is going to nonetheless have a number of the lowest letter-mail postage charges within the industrialized world.
USPS has proposed a plan to chop $160 billion in forecasted crimson ink over the subsequent decade. The plan would enhance the price of a stamp for first-class mail by 3 cents, to 58 cents.
The group famous USPS desires to generate a further $35 billion-to-$52 billion from mail over 10 years.
“Will increase of this magnitude are essentially unaffordable. Companies reliant on USPS collectively generate $1.6 trillion in commerce and make use of greater than 7 million People … Small companies and others will in the reduction of on mail, with some not in a position to survive, and bigger companies will merely transfer extra paper communications on-line.”
Different members embody the Information Media Affiliation, Pitney Bowes, Quad Graphics, R.R. Donnelly, Main Mailers Affiliation and Financial institution of America.
(Reporting by David Shepardson in Washington; Modifying by Nick Zieminski and Matthew Lewis)