/USPS to Raise Prices, Make Delivery Changes to Raise Revenue

USPS to Raise Prices, Make Delivery Changes to Raise Revenue

As U.S. Postal Service leaders plan to bump up revenue after a difficult year customers can expect to see price increases and changes to how it delivers first-class mail.

The strategic plan, which Postmaster General Louis DeJoy is expected to unveil soon, comes after the agency lost $9.2 billion last year because of a decline in mail volume sparked by the coronavirus pandemic, according to The Washington Post.

The newspaper reports that USPS is looking to eliminate a tier of first-class mail in which letters, bills and other envelope-sized items can be delivered to local addresses in two days. All first-class correspondence would instead be grouped into a slower, three-to-five-day window, it adds.

Two people familiar with the plan also told The Washington Post that first-class mail would no longer be shipped by plane, as the agency would utilize a network of trucks and distribution depots.

USPS reportedly spent more than $457 million on flying first-class mail in 2020, compared to $314 million shipping mail by truck.

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