The U.S Postal Service is on the verge of default. If that happens, it could have a devastating effect on those of us who use the post office on a daily basis.
According to the New York Times, the Postal Service is in such bad financial shape, it may have to shut down this winter.
Today, Postmaster General Patrick Donahoe heads to Congress to discuss the agency's mounting debt. Postal officials say they won't be able to make this month's $5.5 billion payment to cover employee health care costs. To cut the deficit, the postal service has proposed ending mail deliver on Saturdays. It may also cut as many as 120,000 jobs and close up to 3,700 post office locations.
The Postal Service is facing a second straight year of losses of $8 billion or more. To blame -- a drop in the amount of mail processed due to the Internet and the loss of revenue from advertising amid the economic downturn. They have all taken a massive toll on the agency.
Central New York has already been hit hard by postal cuts. The Elmwood location on South Avenue in Syracuse and the post office on Main Street in North Syracuse both closed in January. The Colvin-Elmwood station on South Salina Street in Syracuse and a post office in the Town of Willet in Cortland County could also hit the chopping block.
Do you use the U.S. Postal Service? Or do you opt for UPS or FED EX instead? Why? Where do you see the U.S. Postal Service five years from now? Leave your thoughts below.
Information from the Associated Press was used in this article.