The U.S. Postal Service is ending discounts for shipping consolidators in a bid to boost revenues and ensure financial sustainability, potentially increasing costs for consumers.
Consolidators move around 2 billion packages annually through the Postal Service, a quarter of its parcel volume, prompting a reevaluation of business arrangements for long-term viability.
Postmaster General Louis DeJoy emphasized that the decision is about sustaining the Postal Service's operations, stating, 'I'm just trying to save the mail business,' and not monopolizing the package sector.
DeJoy acknowledged that the changes are overdue, given an 80% decline in first-class mail since 1997, asserting that new agreements will be negotiated with consolidators.
#us-postal-service #shipping-consolidators #financial-sustainability #package-delivery #logistics-industry
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