U.S. Postal Service cuts 7,500 jobs across Untied States
By siliconindia   |   Friday, 25 March 2011, 23:32 IST   |    1 Comments
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U.S. Postal Service cuts 7,500 jobs across Untied States
Washington: The U.S. postal service which is facing a tough competition from other postal services like FEDEx and Untied Parcel Service has decided to cut 7,500 jobs and close seven district offices and 2,000 post offices as it handles less mail and faces greater staff costs. America?s changing communication trends is a reason for the decline in the mail volume. The job cuts are expected to complete by 2012. In November 2010, the postal service in America saw a huge decline in its revenue of about $8.5 billion which moved it into the fourth consecutive year of loss. Joanne Veto, a spokeswoman for the Postal Service said that Postal Service, which delivers about 40 percent of the world's mail, does not receive tax revenue but it completely relies on the sale of products and services to fund its operations. The gradual decline in the mail volume has led them to take such a harsh decision. About 2,000 post offices across United States will be closed in the next 12 months. The first round of the job cuts will be done by the end of May and in light of this, Postal service is offering voluntary retirements of $20,000 for two years to employees who are over 50 years old with 20 years of service, or any age with 25 years of service. The Government Accountability Office observed in a report in February that the Postal Service had been slow in adapting itself to modernized technologies. It recommended that the Postal Service needed a face lift and recommended alternative delivery methods, such as digital mail or allowing customers to pick up parcels from machines 24 hours a day.

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