Tuesday, July 27, 2010

U.S. mailers, including magazines, ask that postal rate increase be turned down

A coalition of business mailers, including magazine publishers, h;ave asked the U.S. Postal Regulatory Commission to dismiss the US Postal Service's demand for a rate increase that would effectively force up rates for periodicals by 8 per cent. According to a story in Folio: the Affordable Mail Alliance filed a 96-page motion that said the demand for a rate increase above the consumer price index would essentially nullify safeguards for mailers built into the Postal Accountability and Enhancement Act of 2006. The organization also issued a public statement:
“Now the Postal Service expects customers to pay the price for its refusing to do what its customers had to do [cut spending]. For our organizations, the Postal Service’s unwillingness to do its part will mean the loss of thousands of additional jobs, further cuts to pay and benefits. This is an issue about investing for possible future growth or paying higher taxes in the form of higher postal rates. … Punishing customers with higher prices is not the way to make the Postal Service solvent.”
The Postal Service is asking for increases in first class mail, catalogues and standard mail parcels as well as periodicals, hoping to raise about $2.3 billion additional dollars next year.
“This is a major step in MPA's fight against the USPS' unlawful attempt to shatter the price cap,” Nina Link, president and CEO of the Magazine Publishers of America, says in a separate statement. “MPA supports all efforts by this unprecedented alliance of the mailing community to continue to litigate aggressively. We hope the Postal Regulatory Commission grants the motion without delay.”
Among the publishers joining the Alliance were Bonnier Corp., Condé Nast and Time Inc.


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