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A new business plan proposed by the U.S. Postal Service would eliminate Saturday delivery. It also would increase first-class postage from 45 to 50 cents and creates the need for reatil location to utilizes payments electronically by becoming merchant retail solution need fillers. The wave of the future retailer are focusing on how bill payments and prepaid cellular phone can reach the unbanked and digital poor.
U.S. Postmaster General, said the changes are necessary. He projected the Postal Service will lose $16.5 billion this year and $21.3 billion by 2016 unless changes are made.
As the use of electronic bill-paying has increased, Postmast said, the flow of traditional first-class mail has plummeted by 25 percent since 2006.
The use of traditional mail is projected to fall another 14 percent in the next five years, from 168 billion pieces a year to 144 billion. First-class mail, which accounts for 49 percent of revenues, is expected to decline to 41 percent of revenues during that time.
Possible county closings
Major changes for customers would be the first-class rate increase to 50 cents, the cutback in delivery from six to five days and the elimination of some post offices.
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