How Will USPS Policy Changes Impact Shippers and the Agency Itself?

The U.S. Postal Service is implementing major changes to its delivery operations, effectively eliminating OT for carriers and informing them to leave undelivered items for the next day. This is all part of a cost-saving campaign under new Postmaster General Louis DeJoy, who estimates it will save the cash-strapped agency $200 million per year. Postal workers and unions as you might expect are not happy with the changes, which run counter to their mission to provide timely deliveries.

A spokesman said the USPS is “developing a business plan to ensure that we will be financially stable and able to continue to provide reliable, affordable, safe and secure delivery of mail, packages and other communications to all Americans as a vital part of the nation’s critical infrastructure.”

But what does this mean for the thousands of businesses that rely on the USPS daily for parcel delivery, as well as giants like UPS, FedEx and Amazon? How will it affect SLAs and ultimately customer satisfaction for ecommerce shoppers? How many deliveries will hang over to the next day?

We caught up with Cathy Roberson, founder and president of Logistics Trends and Insights, to discuss the implications of this major move as part of our MCM CommerceChat podcast series.