The U.S. Postal Service announced plans to move ahead with a modified plan to consolidate its network of 461 mail processing locations in
phases. The first phase of activities will result in up to 140 consolidations through
February of 2013. Unless the circumstances of the Postal Service change in the interim, a
second and final phase of 89 consolidations is currently scheduled to begin in February of
2014.
"We simply do not have the mail volumes to justify the size and capacity of our
current mail processing network. To return to long-term profitability and financial
stability while keeping mail affordable, we must match our network to the anticipated
workload," said Patrick R. Donahoe, Postmaster General and CEO of the Postal Service.
These
consolidating activities will reduce the size of the Postal Service workforce by
approximately 13,000 employees and, when fully implemented, will generate cost reductions of
approximately $1.2 billion annually.
Source: Company Press Release
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