Amazon and other retail and logistics companies are joining together to lobby to keep the U.S. Postal Service's package delivery services "reliable and affordable," Reuters reports.
Members include Columbia Sportswear, Express Scripts, the National Retail Federation, OSM Worldwide, Pitney Bowes, Publishers Clearing House and QVC.
The announcement comes days before a task force set up by the Trump administration is supposed to recommend postal reforms to the White House on August 10, Reuters reports. Trump has repeatedly said over the last few months that Amazon is causing USPS to suffer from losses, with no evidence to back it up. The task force reviewed USPS pricing and package delivery.
While we are on the subject, it is reported that the U.S. Post Office will lose $1.50 on average for each package it delivers for Amazon. That amounts to Billions of Dollars. The Failing N.Y. Times reports that “the size of the company’s lobbying staff has ballooned,” and that...— Donald J. Trump (@realDonaldTrump) March 31, 2018
...does not include the Fake Washington Post, which is used as a “lobbyist” and should so REGISTER. If the P.O. “increased its parcel rates, Amazon’s shipping costs would rise by $2.6 Billion.” This Post Office scam must stop. Amazon must pay real costs (and taxes) now!— Donald J. Trump (@realDonaldTrump) March 31, 2018
The package coalition is set to take Amazon's case to the public as the government decides whether to make changes that will affect USPS.
John McHugh, a former member of Congress who served as chariman of the postal subcommittee and the coalition chairman, tells Reuters that package rate hikes not based on market prices could eventually reduce demand and revenue for USPS, potentially shutting down its ability to deliver anywhere in the US.
According to Reuters, USPS has lost $65 billion since the 2007-2009 financial crisis. The service must ask Congress for permission to raise rates since it's supposed to be self-sustaining.
McHugh tells Reuters that coalition members have already shared information with the presidential task force and is focused on broader government and public outreach.