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Postal Service again requests large rate increase

Published on .

Washington, D.C.—Facing an estimated $9 billion loss for its fiscal year, the U.S. Postal Service has again requested a postal rate increase above its legal limit, a year after being turned down for a similar request. In rejecting a request last year for a 5.6% across-the-board postal rate increase, which would have exceeded increases limited by law to the consumer price index, the Postal Regulatory Commission said the Postal Service's financial woes were not due to the recessionary economy. However, Postal Service attorneys again invoked the “exigent” provision of the law, saying global economic conditions have led to mail volume losses. Today, the Direct Marketing Association slammed the new request. “Rather than digging up the past, USPS should be looking forward and right-sizing its network, transportation and employee complement. The future of the U.S. mail depends upon forward-thinking. This request is in error,” DMA said in a statement.
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