{"id":2216,"date":"2011-05-18T09:32:21","date_gmt":"2011-05-18T14:32:21","guid":{"rendered":"http:\/\/postalemployeenetwork.com\/news\/?p=2216"},"modified":"2011-05-18T09:32:21","modified_gmt":"2011-05-18T14:32:21","slug":"pmg-says-postal-service-finds-itself-in-dire-financial-straits","status":"publish","type":"post","link":"https:\/\/postalemployeenetwork.com\/news\/2011\/05\/18\/pmg-says-postal-service-finds-itself-in-dire-financial-straits\/","title":{"rendered":"PMG Says Postal Service Finds Itself in Dire Financial Straits"},"content":{"rendered":"<p><a class=\"highslide\" onclick=\"return vz.expand(this)\" href=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2011\/05\/Patrick-Donahoe-PMG1.gif\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-thumbnail wp-image-2217\" title=\"Patrick Donahoe - PMG\" src=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2011\/05\/Patrick-Donahoe-PMG1-150x150.gif\" alt=\"\" width=\"150\" height=\"150\" \/><\/a><\/p>\n<p><strong>\u2018DIRE FINANCIAL STRAITS\u2019<br \/>\n<\/strong><em>PMG TELLS SENATE PANEL HELP IS NEEDED<\/em><\/p>\n<p>PMG Pat Donahoe yesterday told a Senate subcommittee that despite significant cost cutting and revenue generation, the Postal Service finds itself in dire financial straits.<\/p>\n<p>Statutorily mandated payments due to the government Sept. 30 will not be paid, he said, unless Congress acts to refund overpayments of pension funding or eases the mandate to prefund retiree health benefits.<\/p>\n<p>\u201cAs things stand, we do not have the cash to make a $5.5 billion prepayment for future retiree health benefits due Sept. 30,\u201d said Donahoe. \u201cDespite our significant role in the American economy and our aggressive cost-cutting and revenue-generating efforts, I regret to say we are in a serious financial predicament today.\u201d<\/p>\n<p>The Postal Service has paid more than $20.9 billion into the Retiree Health Benefit Trust Fund since its inception in 2006. Under current law, the Postal Service is scheduled to continue making annual payments of $5.5 billion to $5.8 billion through 2016.<\/p>\n<p>Donahoe told the subcommittee that USPS can return to profitability with the right legislation, and \u2014 if given flexibility \u2014 \u201ccan continue to serve the American public very effectively and continue to sustain and propel American commerce.\u201d<\/p>\n<p>Also yesterday, Sen. Tom Carper (D-DE), the subcommittee chairman, introduced a bill that addresses the financial issues confronting the Postal Service. Among other provisions, the proposal authorizes a transition to a 5-day delivery schedule, a move that could lead to annual savings of $3.1 billion.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>\u2018DIRE FINANCIAL STRAITS\u2019 PMG TELLS SENATE PANEL HELP IS NEEDED PMG Pat Donahoe yesterday told a Senate subcommittee that despite significant cost cutting and revenue generation, the Postal Service finds itself in dire financial straits. Statutorily mandated payments due to the government Sept. 30 will not be paid, he said, unless Congress acts to refund [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[],"class_list":["post-2216","post","type-post","status-publish","format-standard","hentry","category-breaking","last_archivepost"],"_links":{"self":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/2216","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/comments?post=2216"}],"version-history":[{"count":2,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/2216\/revisions"}],"predecessor-version":[{"id":2219,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/2216\/revisions\/2219"}],"wp:attachment":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/media?parent=2216"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/categories?post=2216"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/tags?post=2216"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}