May Take Extra Day Or Two for USPS
First-Class Package Delivery
April 22, 2022
On
May 1, the Postal Service is taking additional actions to improve
service reliability by announcing the implementation of changes to the
First-Class Package Service (FCPS) service standards. This initiative is
part of “Delivering for America,” the Postal Service’s 10-year plan to
achieve financial sustainability and service excellence.
Modifying these service standards will allow for additional transport
time for long-distance package deliveries and increased network
efficiencies. The new FCPS service standards will also enable additional
package volume to be transported by surface transportation, which is
more reliable and affordable compared to air transportation.
Sixty-four percent of First-Class Package Service volume will be
unaffected by the proposed standard changes. Four percent will be
upgraded from a 3-day to 2-day service standard. For the remainder of
the volume (32 percent), the service standard will increase by one or
two days.
“Modifying select service standards is a key growth element and enabler
of our 10-year plan. This action will contribute to our cost savings
efforts and improve our reliability across all product classes,
including our growing package market,” said Postmaster General and CEO
Louis DeJoy. “By implementing the elements of our 10-year plan, we will
deliver the consistent, reliable service that the American people and
our customers expect and deserve and grow package volume, spurring
revenue growth that can be invested back into the Postal Service.”
The Postal Service previously received an advisory opinion from the
Postal Regulatory Commission (PRC) regarding these service standard
changes.
Additionally, the Postal Service is removing an extra day for Priority
Mail transported via ground. The extra day was temporarily put in place
in April 2020 to account for ongoing global supply chain, transportation
and employee availability challenges across our network posed by the
COVID-19 pandemic. Given the continued high demand on the overall air
network, the Postal Service is retaining the extra day at this time for
Priority Mail transported via air until the reliability of our key
providers improves.
As part of implementing the new service standards for FCPS, the Postal
Service is removing the extra day that has applied to FCPS.
Service
standards are delivery benchmarks for how long customers can expect the
Postal Service to deliver different types of mail from origin to
destination — Point A to Point B. Service standards are not the same as
the percentage targets or the actual measured service performance.
With full implementation, the Postal Service’s 10-year plan aims to
reverse a projected $160 billion in losses over the next 10 years. The
Plan’s growth and efficiency initiatives will spur cash flow and savings
to make $40 billion in capital investments over the next 10 years –
including $20 billion towards the Postal Service’s mail and package
processing network, facility upgrades and procurement of new processing
equipment.
The Postal Service generally receives no tax dollars for operating
expenses and relies on the sale of postage, products and services to
fund its operations.