USPS defaulting?

boszika · #1 09-06-2011

What will happen to us humble sellers?
Fedex and UPS is expensive. This whole business is so embarrassing for us as a country. I have friends aboard, and they are in complete shock that such a thing is even possible.

JRYAN34 · #2 09-06-2011

been in the news for a while now, but is only made noise lately, because there is a huge meeting today for funds from obama. I highly doubt the usps will close. this would give obama no chance of staying in president, so he will do what ever is necessary. this would be bad for the economy, jobs, the usa in general.

#3 09-06-2011

I was just getting ready to post a thread about this. The USPS Is offically broke, and it's only cheap to ship out heavy packages via Fedex, Kinkos, UPS,etc, so what about us that has 6 oz items, it's at least $9 just to ship those at Fedex, that Is way to expensive, and definitely kills the profit.

Here's the Article:

And Now The U.S. Postal Service Is About To Go Belly Up

#4 09-06-2011

These are my questions:

Are there any solutions, or Independent shops that ships small packages for cheap?

What happens to our PO Boxes?

JRYAN34 · #5 09-06-2011

Was watching World News Now this morning, and if they default it would be a year from now. There are NO options that offer shipping for small packages (ounces). 96% of my packages are 2oz-8oz. with a PROFIT of 1500-25000%, yes 1500%. At this point there are ZERO options that offer sellers shipping small packages. If they do default, I would either make little profit or would have to boost my shipping and make a low amount of sales. I am worried, but at the same time I have full confidence there will be a solution. The USPS employs wayyyy too many people, is a staple and standard in shipping for the USA, and if the USPS goes down, it would look bad for Obama and would destroy him and everyone around him.

JRYAN34 · #6 09-06-2011

I want to also add that all these huge companies are running out of money, and the government finds a way to help them out, but when average people making average salaries, live in average houses, live average lifestyles, can even afford necessities they dont bat an eye to strip them of everything. I am not trying to brag, but I feel fortunate to make the money I do, when I see on the news people standing in lines miles deep just to get an job interview I feel thankful. But at the same time I bust my @ss and put everything into online sales, doing it the right way, I feel like the 100k plus a year doing a side job is well earned.

JRYAN34 · #7 09-06-2011

sorry for all the posts, but I feel like this is an extremely important issue in our business. All i can say is if the USPS goes down, the economy will be soon to follow

FandangoKango · #8 09-06-2011

If we can darn afford wars then we can darn afford our usps! lol that's what some person said somewhere on the net I was reading these days.

I hope the usps is bailed out by the government because I won't be able to ship with fedex or ups they are too expensive.

These are my questions:

Are there any solutions, or Independent shops that ships small packages for cheap? Not in the us!

What happens to our PO Boxes? They will be closed and nomore po boxes for you or me!

Sandy D · #9 09-06-2011

I dont think our leader in the WH will allow another government run union money hog to go down without finding a way to fund it.
With the election a year away and millions of union post office workers he wont let them down.

If it does I believe we are all in a hurt because I went to UPS today and they are now asking me for a photo ID before I put the boxes on the scales. Something they have never done in the past to me. Guess sending stealth boxes with UPS is out the door also.

#10 09-06-2011

If It all comes down to this, I will turn to dropshipping, I am experienced.

KingRay · #11 09-06-2011

This is a bid deal for sure but wont affect us shipping light weight packages a bit. It will get bailed out just like other things. Only this one has more benefits to our country than other bailouts in the past.

There is too much to lose if they shut it down. Jobs losses, millions of businesses around the world will be closed due to simply not being able to sell items with higher shipping rates. small things like that will devastate small and large businesses.

It just wont happen. I have a ton of thoughts and ideas as most do but living in a post office family all my life I have different ideas and thoughts as some that just say "No Bailouts" etc just to be talking.

No sense on making this a super long discussion board for the USPS since everyone will have their own opinions and it will mean nothing in the scheme of things.

jeffweico · #12 09-06-2011

It is true that their business model is dying, but they will be around for many years to come.

My guess is that if the day comes when they DO close, the government will make a deal for UPX/FedEx/Whomever to deliver small packages and parcels. Myabe like a tax break in exchange or serving the entire US or something.

A service stoppage is not even close to being on the table. The only bill unpaid will be their advance pension payment to the government.

KingRay · #13 09-06-2011

Yeah, the media will make more of it like they do everything else though and scare everyone into what they believe should be done. Seems to be how things are done here.

sergfro · #14 09-06-2011

no way USPS gets shut down..they might downsize their locations and possibly no saturday mail but no way it is shut down. AMTRAK loses money every year but it is essential to our country that is why the government will not allow either to go down

KingRay · #15 09-06-2011

exactly, Like the city buses losing money or the subway systems. They will not shut those down due to lost income no matter what.

123 · #16 09-06-2011

Yeah as everyone else has already stated, no way the USPS will shut down the after effects would be far to severe and even catastrophic for many businesses, it will definitively get bailed out. Ignore the media as always they just want to get a story that will grab the attention of its audience for as long as they can make you believe it.

jeffweico · #17 09-06-2011

The USPS is not really even in that much trouble. They are only insolvent because Congress voted a couple of years ago to require them to make advance payments on future retiree pensions. Removing that, YES, they still are losing money, but it is manageable.

Saturday delivery will probably stop and some post offices may be shut down, but all in all service will continue for the foreseeable future.

Sandy D · #18 09-07-2011

In many places they are going with contract type locations such as in Circle K stores, florist shops etc.

They will just steal from peter to pay paul because they do not want to see all those union jobs gone.

I have a family member who delivers mail and he makes close to 90k per year after 25 years. Four weeks paid vacation, 10 sick days etc etc.

He hardly ever works a full 8 hour day.

newtools · #19 09-07-2011

This is Hogwash like everything turned by the media to do noting but get clicks to there news site in order to sell ad space.. the Facebook model.

Lets face it we are here as a country because our Government took the short term profit instead of the long term growth to save $ on manufacturing in china. We gave away our industrial revolution and handed it to Asia. What does this have to do with USPS? The long diminishing growth & manufacturing and over abundance of consumption has led to our current situation. Pull more troops out of a war based on Money (oil) and we will have 1 billion + a week more to put to use in creating work.

If they can give the banks free bailout money with no restrictions to shove in their personal pockets then they can fix this.

Sandy D · #20 09-07-2011

Newtools knows the answer.

That dirty word bailout came up.

Lets help those who have failed handling their business and money by handing them even more money so they can do it all over again.

FandangoKango · #21 09-07-2011

Isnt' this the same that's happening to parcel canada?

sergfro · #22 09-07-2011

Quote:

Originally Posted by Sandy D

In many places they are going with contract type locations such as in Circle K stores, florist shops etc.

They will just steal from peter to pay paul because they do not want to see all those union jobs gone.

I have a family member who delivers mail and he makes close to 90k per year after 25 years. Four weeks paid vacation, 10 sick days etc etc.

He hardly ever works a full 8 hour day.

only 4 weeks paid vacation after working there for 25 years???
I work at a non-profit and I get 4 weeks vacation after being here only 2 years