Current Postage Rates
The Postal Service revenue only comes from the customers that
use the postal services. So, this is just a business like all
the other businesses.
Unfortunately this will also force the Postal Service to
frequently raise the current postage rates in order to cover the
unexpected increases in the costs and to sustain the high
quality level of the postal service.
As Postal Service officials say, the company managed to save
about $8.3 billion over last three years and new current postage
rates increase in price are not expected until year 2006.
Their strategy is to focus only on productivity. In this way,
they have managed to reduce the total work hours by a cumulative
728 million since year 1999.
As the official statistics say, the career postal employment now
is virtually at the same level it was in 1984, just over
700,000, while mail volume has increased by 65 billion more
pieces to an additional 48 million new addresses.
This seems to be quite an effort and reveals true concerns to
higher efficiency and productivity and keep current postage
rates current.
Current postage rates, this year the postal service will not
increase any price. Instead it is planning to obtain a special
reduction of 23 million work hours that will allow cost savings
of almost $1.4 billion.
The numbers are very impressive as long as industry analysts
predict some major decline in first-class mail volumes and
higher fuel costs.
Despite these economical threats the postal service will
continue to operate solely from revenue generated from current
postage rates, and it's own products and services.