posted on April 4, 2002 01:03:47 PM new
I was told by my Post Office today that the rate increase for June has not passed the final approval. Maybe we should let the USPS see how it would be without eBay sellers using them.
I would like to get everyone to not mail any packages for a couple of days to let them see how it could be if they don't stop raising rates. Maybe Tuesday April 16 & Wednesday April 17
If everyone passed the word and posted it on all the message boards they use maybe we could at least get there attention.
posted on April 4, 2002 01:22:00 PM new
If we ban sending packages for two days, the PO will still get the same amount of money but two days later, I don't get how this sends any message- that we'll always return?
I suggest using Fedex or UPS permanetly, now that is a message!
posted on April 4, 2002 01:31:03 PM new
If you want to *really* hurt your Canadian customers, use UPS ... those guys are the biggest crooks in the shipping industry!
posted on April 4, 2002 04:17:38 PM new
I think your local post office is behind the times. The rate passed.
It was only a formality in any case. Those of us who sent letters of concern to the consumer advocate of the post office received replies justifying the increase.
The consumer advocate at the post office is just a spin doctor.
posted on April 4, 2002 04:23:34 PM new
Proposed Changes to Postage Rates and Fees
Omnibus Rate Case R2001-1 Update
The Governors have received the recommended decision for the R2001-1 Rate Case filed in September 2001 from the Postal Rate Commission. We thank the Chairman for his leadership and the Commission for its efforts and the expedited manner in which it handled this case. We also thank the parties in the case from the mailing community for agreeing to the unprecedented settlement agreement.
The Governors will consider the Commission's recommended decision at our April meeting.
To view the complete Postal rate Commission's recommendation please visit the Commission's web site at - www.prc.gov.
The vote is April 9th so I guess my dates would be to late.
[ edited by toolhound on Apr 4, 2002 04:27 PM ]
posted on April 4, 2002 09:33:12 PM new
As I said in the last post, it is a done deal. I hate the rate increase, but what real choices are there? UPS and Fedex will increase their rates too, they usually follow the USPS. Ultimately, what will be hurt is the USPS - They are on a downward spiral. Right now I pay $7.70 for a 5 pound package from the East Coast - In June, that will be $12.15 - That is a 37% increase in price. What this is going to do is reduce the amount of online bidding. You will be hurt, I will be hurt, the buyers are probably not going to buy a $25 item if it costs $13 to ship it. It makes more sense to buy locally. With sellers shipping less, the USPS will make less. It's going to get uglier, because the deal they made says they will not ask for an increase through 2002, which means on January 2, 2003 they will probably be asking for another increase. Wonder how much more they think they can get?
posted on April 4, 2002 09:33:12 PM new
As I said in the last post, it is a done deal. I hate the rate increase, but what real choices are there? UPS and Fedex will increase their rates too, they usually follow the USPS. Ultimately, what will be hurt is the USPS - They are on a downward spiral. Right now I pay $7.70 for a 5 pound package from the East Coast - In June, that will be $12.15 - That is a 37% increase in price. What this is going to do is reduce the amount of online bidding. You will be hurt, I will be hurt, the buyers are probably not going to buy a $25 item if it costs $13 to ship it. It makes more sense to buy locally. With sellers shipping less, the USPS will make less. It's going to get uglier, because the deal they made says they will not ask for an increase through 2002, which means on January 2, 2003 they will probably be asking for another increase. Wonder how much more they think they can get?
Fed X and UPS would be smart to keep their rates where they are. This way they could take a huge amount of business away from the USPS.
I heard some time ago (before this all came out) that UPS was lobbying to force the post office into a big rate increase so they could compete. Price fixing? I don't know if there was any truth to the rumor..
posted on April 5, 2002 12:08:52 PM new
I don't need to ban USPS. Anything that is cheaper to send UPS will go UPS. I'm already double checking UPS $ against USPS on anything over 2#. I guess you could call it an automatic ban. A local retailer has offered free boxes, so I'm all set.
posted on April 6, 2002 02:46:36 PM newI heard some time ago (before this all came out) that UPS was lobbying to force the post office into a big rate increase so they could compete. Price fixing? I don't know if there was any truth to the rumor..
This is pretty accurate. While the USPS has been responsible for its own budget since 1970 or so, the folks who passed that law in the 70's still wanted to control the USPS in some way. So they created the Postal Rates Commission or PRC. The PRC analyzes, reviews, and passes judgement on all USPS rate proposals. During this process, they take formal testimony from "intervenors" who include firms like UPS, the Non Profit Mailers Association, etc.. My understanding is that UPS legal briefs submitted to PRC generally challenge the USPS package rate proposals, essentially saying they are mis-calculated and that they should be higher than proposed. And naturally, the non-profit mailers associate protests any increase non-profit rates, etc..
In today's competitive package shipping market, the PRC has probably outlived its usefulness. The PRC process drags out USPS rate increase requests so that it takes well over year from the time USPS requests rate increases till the rates actually go up.