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Bipartisan postal reform bill gains DMA approval

Published on .

New York—A new postal reform bill, introduced in the Senate today with bipartisan support as well as an endorsement from the Direct Marketing Association, proposes to reduce the number of post offices, keep Saturday delivery for at least two years and eliminate 100,000 postal employee jobs. “The 21st Century Postal Service Act of 2011” was introduced jointly by Sens. Scott Brown, R-Mass.; Tom Carper, D-Del.; Susan Collins, R-Maine; and Joe Lieberman, I-Conn. Other key elements of the bill would refund to the U.S. Postal Service about $7 billion in overpayments made to a federal employee retirement system and overhaul worker compensation programs. In a statement today, the DMA said, “We are pleased that the bill maintains nonprofit rate preferences and requires a study of underwater classes and products to determine how their costs are affected by USPS excess capacity.” The Postal Service is due to announce its 2011 earnings for the fiscal year ended Sept. 30. It is expected to show an estimated $9 billion loss.
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