Silk Road forums
Discussion => Shipping => Topic started by: jackstraw on September 05, 2011, 02:19 pm
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New problem on the horizon.............
http://www.nytimes.com/2011/09/05/business/in-internet-age-postal-service-struggles-to-stay-solvent-and-relevant.html?pagewanted=1&_r=1&hp
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I have been following this ordeal closely for the last 3 - 4 months since USPS publicly came out with these issues since I do all my business through USPS. Here's my 2 cents ....
1. As nerf stated this comes down to capitalism.
" At the same time, decades of contractual promises made to unionized workers, including no-layoff clauses, are increasing the post office’s costs. Labor represents 80 percent of the agency’s expenses, compared with 53 percent at United Parcel Service and 32 percent at FedEx, its two biggest private competitors. "
NO LAYOFFS CLAUSE ?!?!? WTF is that ? hahaha.
2. I dont think the US Gov't will ever let USPS fail. They may need to slash some services or adopt other businesses ( which they arent allowed to do currently ). For instance in Canada you can send Moneygrams or pay bills at Canadapost locations which helps them generate revenue. It also doesnt guarantee " universal delivery " which allows them to bundle mail at locations for pickup in rural areas rather than deliver each piece. The one thing I hope they dont do is cut Saturday delivery. An extra business day is always a good thing for a vendor !
3. In the event they do for some reason fail, would it be the end of the world ? I know currently shipping via UPS or Fedex is a no-no for vendors but could their infrastructure handle the additional millions and millions of pieces of mail per day and still keep their vigiliance ? Who knows. The no search warrant needed is the downside to their services but are they anymore of a police force on intercepted items than the USPS is currently ? You got caught sending a LB of weed or whatever your fucked but your fucked not only if UPS/Fedex/DHL finds it. I imagine for smaller scale vendors this wouldnt be that big of an interruption.
All told I hope USPS stays in business but the writing is sort of on the wall if they dont clean up their unbelievable cost overruns.
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From what I've heard the first thing they are getting rid of is Saturday delivery...
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From what I've heard the first thing they are getting rid of is Saturday delivery...
A drop in the bucket, at best.
What we need is to defund LE, their budget behavior is even worse...
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Wouldn't this actually be a GOOD THING for buyers on SR?
Mail inspection costs money. Wouldn't the budget cuts equate to fewer inspections of packages to save money?
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I don't think they'll let the USPS fail. If there's anything the government's learned, it that you can bullshit your way out of it by creating more money by bullshiting. As long as they can keep bullshitting, their institutions will be protected. Now when people realize that the USD has no real backing to it, and that interest and credit is creating money that doesn't exist, then we'll have a problem. Well not really a problem in itself, but the change will be painful.
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I don't think they'll let the USPS fail. If there's anything the government's learned, it that you can bullshit your way out of it by creating more money by bullshiting. As long as they can keep bullshitting, their institutions will be protected. Now when people realize that the USD has no real backing to it, and that interest and credit is creating money that doesn't exist, then we'll have a problem. Well not really a problem in itself, but the change will be painful.
For the USA not to have a Postal Service, when even 3rd World Countries do... That would be such a butthurt. They won't let that happen. But what it will morph into, the instability, the uncertainty... This country has way too many stupid people in it.