USPS files huge $3.8 bil loss for '09

The US Postal Service has recorded a third straight year of devastating financial results, filing a loss of $3.8 billion for the 2009 fiscal year. This equals a loss of $5,984 per employee, but it could have been a lot worse. The Obama Administration's last minute $4 billion rescue of the service in late September saved the USPS from the indignity of recording a loss of $7.8 billion, or $12,283 per employee.

This loss adds to two previous years of disastrous losses, $5.7 bil in 2007, and $2.8 bil in 2008, for a total three year loss of $12.3 bil.

And across the board, the numbers tell the story of what appears to be a dismal future for the 217 year old organization: Operating revenue is down $6.8 bil from 2008 to $68.1 bil, total mail volume is down more than 25 bil pieces to 177.1 bil pieces, or 12.7 percent. Operating expenses have dropped by $5.9 bil to $71.8 bil.

Chief Financial Officer Joseph Corbett said, "We undertook comprehensive cost-cutting measures across all areas of the organization. Most notably, we reduced work hours by 115 million, or the equivalent of 65,000 full-time employees."

Postal Intelligence questions whether it really is in "all areas of the organization". Case in point: following the recent Reduction In Force, the National Association of Postal Supervisors (NAPS) stated in a news release that not a single member of its association was laid off during the RIF. Looks to us like the NAPS members haven't sacrificed as much as 'other areas of the organization'. Perhaps it's time for Postal HQ to finally get serious about making the cuts necessary to save the service: examine every job that doesn't touch the mail...eliminate all travel...close redundant offices...introduce time clocks for ALL positions to eliminate rampant time theft...require nothing less than a college degree for all management applicants...

...and go OUTSIDE the service to find another Carvin' Marvin Runyon to start cleaning up this mess.