The only thing really important my wife and I still get via the USPS are packages. But, UPS and FedEx are better, much better, than the post office at delivering packages. Unfortunately, they are also more expensive.
Indeed, UPS and FedEx provide superior service with higher delivery accuracy compared to USPS. In terms of profitability, UPS achieved nearly $9 billion in profit in 2024, while USPS reported a loss of approximately $7 billion in the same year.
However, the operating budgets of these organizations are quite similar: below status are few years old.
- UPS: $81.8 billion – Employees: 536,000
- USPS: $85.4 billion – Employees: 525,469
- FedEx: $85.2 billion – Employees: 500,000
One might wonder why UPS or FedEx can maintain higher quality standards and show better financial performance while USPS struggles with similar operating budgets. The difference lies in their operational models and objectives. UPS and FedEx are profit-oriented companies whose mission is to generate revenue, which necessitates maintaining superior service quality. On the contrary, USPS operates under the Constitution, with the objective of providing mail services to every American, regardless of profitability. This constitutional mandate ensures that all citizens have the right to receive mail.
UPS and FedEx may reduce services in rural America if they find it unprofitable. For example, UPS might not deliver a package with a $10 service fee if the delivery cost is $60. However, the Constitution mandates that USPS provide services to rural America regardless of cost.
Over the past 30 or 40 years, some conservatives have aimed to reduce costs within the USPS without fully understanding the consequences. The only feasible method for the USPS to decrease expenses would be to cease services in some rural America, where the cost of delivering mail or packages exceeds the revenue generated. Without a constitutional amendment, this change is not possible.
If by any chance there is a constitutional amendment that leads to the terminating of USPS services in some rural America, it will primarily affect conservative citizens, as these areas are predominantly conservative. Elderly individuals who rely on these deliveries, including their life-saving medications, will lose these essential services.
