Not a problem, let me give you the inside scoop.
We actually lost 2.8 billion this year, mostly due to gas prices and higher operating expenses due to a bad economy. Every company in the US is faced with the same thing and many are struggeling. We (the USPS) are in the middle of a RIF (reduction in force), essentially the same thing as a layoff.
The "8 out of 10" statement is not correct. First of all no employees collect any profit whatsoever. We get paid on a scale of wages by grade, much the same as the Federal Government, only less. I am a Program Manager in IT (Information Technology), and I make about $20,000 less per year than my Federal Government counterparts, that you fund with your tax dollars. I think where you may be going with the 8 out of 10 thing may translate to the 80% rule of business, which means that most corporations have to put out about 80% of their income to fund employee's salaries and benefits. This is common in corporate America. I doubt the percentages for Fedex and UPS that you showed, it sounds wrong purely from a business perspective. They operate similar to us, they are a US corporation, and have the same issues we have as far as operating expenses.
The no layoff clause in our business is solely due to the power of the APWU (American Postal Workers Union), one of the most powerful unions in the US. They negotiated this clause back in the 70's when the US Postal Department became the US Postal Service. Our management has nothing to do with this, and has been trying to get it changed for years. Keep in mind that we, the administrative employees in the USPS have no such protection and are, like I said, going through layoffs right now. The 16,000 union people you mention are indeed subject to layoffs because they have not met their six-year employment time yet, and are not protected under the union "no-layoff" clause.
Another common misconception is that tax dollars fund the USPS. Nothing could be further from the truth. Since about 1973 the USPS has been mandated by Congress to raise our own revenue through mailing services and through stamp sales. We have done so, with some years under, and some years over. Last year the President signed the Postal Reformation Legislation act that freed us from the mandate of breaking even, and freed us from the constraints of pricing our goods and service under the restrictions of the Postal Rate Commission (PRC). We can now adjust our prices like other businesses to be competitive, and to keep revenue in line with operational expenses, but since that act was just signed, it will take approximately two more years to get our prices in line with expenses. That said, with the latest turn in the conomy, not many businesses are doing well right now, so why should the USPS be held to a different standard? Our delivery scores are among the highest ever, with 98% on time delivery for many of our services. Not bad compared to the billions of pieces of mail we deliver each day, that's right, each day.
Check your prices for mailing a letter around the world, you will see that the USPS still does it cheaper and faster than anyone. Compare shipping prices with Fedex and UPS for similar services, i.e. Overnight, 2-3 day, bulk, you will see that no one does it cheaper than the USPS.
It's okay to bash on the USPS, just be sure you have your facts in order. We are trying to do a good job. No hard feelings.
Take care,
P.
