07 February 2013

Since I'm calling Shenanigans on things...

Let me add the USPS to the list.
NPR | Mark Memmott | Postal Service Moves To Halt Saturday Mail

"Beginning the week of Aug. 5 this year," [Postmaster General Patrick] Donahoe said, USPS will provide "six days of package delivery and five days of mail delivery. ... We will not deliver or collect mail on Saturdays."

Its decision could, however, run into challenges from Congress and from unions that represent the Postal Service's employees. Donahoe made the case, though, that USPS has no choice. The Postal Service, which lost nearly $16 billion last year, will save about $2 billion a year with this change, Donahoe said.
[0] Every other cost saving reform and capital investment they've launched has failed to cut labor costs. They've never been able to get their union to accept lower labor costs before, and I'd wager this time is no different. I bet their estimated cost savings are off by a binary magnitude.

[1] If they were serious about cutting costs wouldn't they cut out delivery on their lowest volume day? (Which, IIRC, is Wednesday.) Choosing Saturday already makes me think they don't have the cards for a real showdown with their union.

[2] Out of curiosity, what's the plan for the other $14 billion dollar in losses?

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