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The U.S. Postal Service is moving forward with the planned price increases even though some federal legislators asked that they be postponed.

The U.S. Postal Service plans to lớn move forward with price increases in August, despite the objections of some federal lawmakers.

On Monday, July 19 the Postal Regulatory Commission formally approved the proposed price increases, ruling that the hikes are consistent with commission orders, directives and regulations.

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That greenlights the Postal Service to lớn implement the rises as planned on Aug. 29. Overall, the Postal Service plans khổng lồ raise prices by an average of about 6.9% on its “market dominant” offerings, which are First Class Mail letters, postcards & mail services. The cost khổng lồ sover catalogs, newspapers và magazines in particular is scheduled to rise 8.8%.

Notably, the Postal Service is not, at this point, increasing prices for First Class Package Service or Priority Mail.

Under the pending charge changes, the rate for a first-class mail letter (1 ounce) purchased at a post office will rise three cents lớn $0.58. If you buy the postage online, the metered rate for a first-class mail letter (1 ounce) will be $0.53, up from $0.51. With first-class mail, it will cost another $0.đôi mươi for each additional ounce – a charge that’s already in place.

Certified mail is poised lớn increase khổng lồ $3.75 from $3.60, a $0.15 increase, while registered mail is rising to lớn $13.75 from $12.90, an $0.85 increase. Media mail rates will increase by an average of 10.865%. For more on pricing, see here.

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The expected August increase is the Postal Service’s second price hike of 2021. In January, the Postal Service hiked the rates on market-dominant products by 1.8% to keep pace with inflation. In January 2019, the Postal Service increased the price for first class stamps from $0.50 to lớn $0.55 – the biggest ever price lift by the organization.

As Federal News Network reported earlier this month, both Democratic và Republican members of Congress asked Postmaster General Louis DeJoy và the Postal Service to lớn postpone the planned August 2021 price hikes until January 2022.

“We have sầu heard clearly from employers in our districts and across the nation that a second increase in a single year will be highly disruptive & result in significant job losses and significant reduction in their use of Postal Service mail services,” the lawmakers said in a statement. “Many of these companies, especially small businesses, cannot afford a second increase, saying such action will reduce revenues và lead khổng lồ job losses.”

Postal Service officials have sầu been adamant that the rate increases are necessary lớn help return the agency, which receives no tax dollar support, to lớn solvency. The Postal Service experienced a $9.2 billion loss in 2020 that continued a decade’s run of annual losses.

The Postal Service says the August price changes will generate an additional $1.7 billion for the organization annually, though mail volume will decrease by 2.3%.

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Current single piece letter-mail postage rates in the U.S. vs International. Source: US Postal Service.

“As part of our 10-year plan lớn achieve sầu financial sustainability và service excellence, the Postal Service and the Board of Governors are committed lớn judiciously implementing a rational pricing approach that helps enable us to lớn remain viable and competitive sầu & offer reliable postal services that are among muốn the most affordable in the world,” DeJoy said in a recent statement.

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If fully implemented as envisioned, the Postal Service’s 10-year plan is designed to reverse a projected $160 billion in operating losses over the next 10 years.


Chuyên mục: Tin Tức