Talk » Donahoe will testify before the Senate Ho

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The U.S. Postal Service could lose up to $10 billion and have little more than a week鈥檚 worth of money left in the bank when its fiscal year ends Sept. 30 Kaleb McGary Jersey , the nation鈥檚 top postmaster will tell Congress Tuesday.


Postal officials are hoping the latest numbers will finally compel lawmakers to grant them new legal authority to alter delivery schedules, close post offices and lay off hundreds of thousands of workers.


Competing legislative proposals from Democrats and Republicans in the House and Senate are pending, and Postmaster General Patrick R. Donahoe wants lawmakers to vote by month鈥檚 end, when the Postal Service will have to pay more than $7 billion in statutory labor and health-care costs that Donahoe says are chiefly responsible for its financial collapse.


According to Donahoe, mail volume fell again this year to only 167 billion pieces delivered Chris Lindstrom Jersey , down 22 percent from four years ago, partly because Americans are paying bills online and sending electronic invitations instead of paper ones.


鈥淭he way people work, interact, learn, communicate Takkarist McKinley Jersey , do business, and live their daily lives is vastly different than it was for our parents and even for many of us,鈥?he will tell senators, according to his prepared testimony. 鈥淭he Postal Service has a place in this new world, but getting there requires us to change and adapt in ways that might not have been thought of before.鈥?p>

Donahoe鈥檚 estimate of a $10 billion annual loss could change Calvin Ridley Jersey , depending on how much interest USPS will owe to the Labor Department as part of its accumulated workers鈥?compensation liability of more than $12 billion, according to his testimony. The rest of the loss comes from a roughly $1.3 billion payment to the workers compensation fund and about $5.4 billion owed to fund benefits for current and future postal retirees.


Donahoe will testify before the Senate Homeland Security and Governmental Affairs Committee, chaired by Sen. Joseph I. Lieberman (I-Conn.), who said he hopes Congress moves quickly to ensure USPS 鈥渞emains a relevant part of our 21st century communications infrastructure, rather than an 18th century relic.鈥?p>

But Congress has rejected requests by USPS to repeal a law requiring six days of mail delivery so that it can stop delivering mail on Saturdays 鈥?a move backed by a majority of Americans that could save the Postal Service $3 billion annually.


Beyond that Julio Jones Jersey , the Postal Service wants congressional authority to break its agreements with labor unions so it can lay off about 120,000 workers. The Service also hopes to withdraw its 480,000 pensioners and roughly 600,000 workers from the federal employee health-benefits program and create its own.


But John Berry, director of the Office of Personnel Management Deion Sanders Jersey , plans to tell senators that postal workers are well-served by their existing health and retirement benefits and the issue should be studied closely before any changes are made, according to his prepared testimony.


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