In case you haven’t heard, the USPS is planning on closing over 3, 600 locations. Believe it or not, of their roughly 32k locations, only about 6k (19%) cover their costs, so it’s time for a change. Is your favorite location in danger? Find out by clicking through and checking the official list.
Of the Post Offices being considered for closure:
- 3, 061 generate less than $27, 500 in annual revenue, or less than a two hour daily workload
- 385 generate less than $600k in annual revenue and are located within two miles of five or more other USPS locations (including kiosks)
- 188 generate less than $1M in annual revenue and are located within 0.5 miles of five or more USPS locations (including kiosks)
- 19 are currently suspended for one reason or another
I’d be curious to know how many of those locations that generate less than $27, 500/year or have very light workloads are in small towns with just a single Post Office. This will be a huge bummer for them. The good news for those that are affected by such closings is that the Postal Service will seek partnerships with grocery stores and gas stations in those locales to ensure continued service.
As for those other, highly redundant locations, I’d say that it’s about time. I feel for those that are losing their jobs, but the USPS is hemorrhaging money, and something has to change. In fact, I’d bet they could find even more that could be closed without significantly impacting their service. After all, how many postal locations do we need in a half (or even two) mile radius?
Amazingly, all of these closing will barely make a dent in the $8.5B loss that the USPS suffered in 2010. In fact, the closings are expected to generate just $200M in savings. For the sake of comparison, dropping Saturday delivery would reportedly save over $3B per year, which would actually make a meaningful dent in their deficit. Obviously, with such staggering losses, they’ll have to make numerous changes, so I suspect the closings are just the tip of the iceberg.