(KLTV) - The United States Postal Service continues to face challenges with declining revenue and high labor costs.
There are some great neighbors employed at the post office, but the organization's structure continues be the prime impediment for successfully retooling the post office. We have seen stories of post offices closing and distribution centers being shuddered in East Texas, all in the name of saving money. However, the post office continues to hemorrhage cash and a recent audit points to structural problems as a big part of the problem.
The audit, conducted by the Inspector General of the Post Office, points out several conditions that just don't line up with an organization trying to save money. First, the audit shows that overtime costs for the postal service were higher than targets set by the service. Overtime made up 7.8 percent of salary costs when they should have been capped at 5 percent.
It does not seem like a huge violation, but the audit also discovered multiple instances where employees more than doubled their salaries because of overtime income. Now people need to get paid for the time they work, but it would have been much less expensive, and certainly more productive, to just go ahead and hire additional bodies rather than pay this extreme amount of overtime pay. It doesn't make sense for a business that is contracting and has been for years. The postal service can be rescued in some form and should be able to be profitable, but continuing to ignore the reality of the business will doom the service very quickly.