Sunday, September 25, 2011

Federal Workers Might Bear Brunt of Postal Service's Fiscal Collapse

Published: September 6, 2011
The Postal Service presented a proposal to Congress on Tuesday that might stave off financial collapse but would have far-reaching ramifications for federal workers.

Postal officials say they will be unable to make this month's $5.5 billion payment to cover future employee health care costs because the agency will have reached its borrowing limit and doesn't have enough cash. The Postal Service has proposed ending Saturday mail delivery and is considering cutting as many as 120,000 jobs as it faces a second straight year of losses of $8 billion or more. A decline in mail because of the Internet and the loss of revenue from advertising amid the economic downturn have taken a toll on the agency.
AOL Govt.

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