Although the United States Postal Service ended the first quarter of 2013 with a $1.3 billion loss, the organization is still one of the most-trusted government agencies, according to a recent survey.
In its Most Trusted Companies for Privacy Study, the Ponemon Institute ranked the USPS the fourth most-trusted company out of 704 entries from 25 different industry sectors, according to a news release.
The same survey also named the Postal Service the Most Trusted Government Agency for the seventh year in a row, according to a USPS news release.
This is good news amid an array of bad news for the USPS, although last week's announcement about the end of Saturday mail delivery may signal a turnaround for the struggling agency.
USPS leaders announced on Feb. 6 that they are eliminating regular mail delivery on Saturdays, but packages will still be delivered that day.
The move, which leaders will implement in August, is expected to save the struggling organization $2 billion a year.
Mail addressed to post office boxes will continue to be delivered on Saturdays. Post offices currently open on Saturdays will remain open on Saturdays.
At the end of January, USPS leaders said they were going forward with cost-cutting measures without Congress' approval.
Officials have been waiting on postal reform for nearly two years.
Leaders recently reported that the USPS is losing $25 million a day.
USPS leaders have been considering moving to a five-day delivery schedule for a couple of years. But recently, package delivery has increased, and leaders predict it will continue to grow, so they decided to continue package delivery on Saturdays.
The first quarter brought a net loss of $1.3 billion, and growth in shipping and package revenue combined with increased efficiency couldn't fully offset the decline in revenue that is largely the result of declining first-class mail volumes, according to a USPS news release.
The first quarter is usually the USPS' strongest because of holiday mailing and shipping. And, although there was a strong increase in competitive package volume in recent months, it isn't enough to sustain the agency, officials said.
“The encouraging results from our holiday mailing season cannot sustain us as we move deeper into the current fiscal year and face continuing financial challenges,” Postmaster General and CEO Patrick Donahoe said in a prepared statement.
“By moving forward with the accelerated cost-cutting actions directed by our board of governors, we will continue to become more efficient and come closer to achieving long-term financial stability," he said. "We urgently need Congress to do its part and pass legislation that allows us to better manage our costs and gives us the commercial flexibility needed to operate more like a business does. This will help ensure the future success of the Postal Service and the mailing industry it supports.”
Sign up for our email list to get your morning news delivered directly to your inbox. All we need is your email address.