There is a new Postal Service rate hike proposed, according to USA Today on Sept. 25. The troubled USPS proposes a raise of 3 cents per first-class mail postage stamp, which would go into effect in January 2014.
The Postal Service rate hike would equate to a jump of over six percent, but it would provide about $2 billion of additional revenue for the beleaguered entity. The USPS lost $15.9 billion during the previous fiscal year. Estimates are that they will lose about $6 billion in this current fiscal year.
Though the USPS has looked at many options to stem the enormous financial losses that it experiences year-after-year, there seems to be no magic fix. The Postal Service rate hike clearly will put a dent, at best, in the losses building, but this is a solution the group turns to regularly and consumers can hardly be surprised.
The Postal Regulatory Commission will need to approve the Postal Service rate increase because it is higher than the rate of inflation.