Lower Pay Rates Are Boosting USPS’s Finances, But PRC Warns It Is Still on Shaky Ground
Partly because of a shift to lower-paid employees, the U.S. Postal Service experienced a rare improvement in its business last year, according to a Postal Regulatory Commission analysis. But the PRC warned that USPS is still on shaky ground—losing money for the seventh year in a row, short on cash, and unable to borrow money or invest in new equipment.
“The Postal Service reduced expenses in FY 2013” despite a minuscule decline in mail volume, says the PRC’s analysis of the Postal Service’s annual 10K financial report, released a few days ago. “Workhours and the average hourly compensation and benefits rate