Service Performance During the Fiscal Year 2023 Peak Mailing Season (2024)

Background

Each year, the U.S. Postal Service network stresses to accommodate the peak mailing season — Thanksgiving through New Year’s Day. Increased mail volume and operational changes during peak season significantly challenge the Postal Service’s processing and distribution network.

In preparation for the fiscal year (FY) 2023 peak mailing season, Postal Service management executed a year-round strategy to include initiatives for increasing employee complement and package sorting machines. In addition, management had peak season-specific initiatives to improve operating plan precision from the previous year and temporarily increase facility space. Furthermore, during the FY 2023 peak season, the Postal Service opened its first Sorting and Delivery Center (S&DC) in Athens, GA, and its first Parcel Delivery Center (PDC) in Brooklyn, NY.

What We Did

Our objective was to evaluate the Postal Service’s performance during the FY 2023 peak mailing season and the implementation of its peak season preparedness plan. We also conducted fieldwork at the Athens S&DC and the Brooklyn PDC to determine if the new facilities had an impact on peak season operations.

What We Found

Generally, the Postal Service successfully implemented initiatives during peak season. The Postal Service hired and converted temporary employees to career positions, deployed more package sorting machines than planned, and increased its operating plan precision. The Postal Service leased fewer temporary annexes than planned in response to lower-than-anticipated volume. This lower volume also contributed to a decline in workhours. Service performance scores increased for market dominant products, and the Postal Service reduced the average time it took to deliver Priority Mail and First-Class Packages. However, we did identify an increase in customer delivery inquiries this peak season. Finally, we found an issue with consistently delayed Post Office Box delivery service at the Athens S&DC, one of the two new facilities launched this peak season.

Recommendations

We recommended management (1) develop measurable targets to address increases in customer inquiries during peak season, and (2) develop a plan for on time arrival of the Post Office Box mail to administrative and remotely managed post offices at the Athens, GA, Sorting and Delivery Center.

Service Performance During the Fiscal Year 2023 Peak Mailing Season (2024)

FAQs

Is there a peak season for USPS 2023? ›

November 27, 2023, to December 10, 2023: The surcharge escalates to $2.60 per package in this peak holiday shopping period, reflecting the heightened demand and operational challenges. December 11, 2023, to January 14, 2024: The surcharge reverts to $1.60 per package, accommodating the post-holiday season shipping.

Did the US Postal Service delivery performance faltered during peak holiday season? ›

Dive Brief: The U.S. Postal Service's delivery performance faltered during the peak holiday shipping season, according to data released by the agency Friday. On-time delivery rates for the first quarter of fiscal year 2024, which ran from Oct. 1 to Dec.

What are peak mail seasons? ›

Peak shipping season starts in mid-August and stretches to the end of autumn, usually until Thanksgiving. Peak shipping season occurs because of increased demand across many markets during these months.

How much did the USPS lose in 2023? ›

WASHINGTON - The U.S. Postal Service today announced its financial results for the 2023 fiscal year ended September 30. The net loss totaled $6.5 billion, compared to net income of $56.0 billion for the prior year.

Will USPS have a peak surcharge in 2023? ›

USPS won't have surcharges in 2023

It's hard to argue with that! USPS is a great choice for businesses who don't want to pay extra fees to ship during peak season. While other major carriers charge more as your volume increases, USPS doesn't have any volume limitations.

What months are the busiest for USPS? ›

December is the busiest mailing month. "It will just increase more," he said. "The most I've ever seen here about 9,000 packages a day." The Postal Service's Philadelphia plant processes an average of 5.2 million pieces of mail a day, according to the agency.

Why is Postal Service so slow now? ›

The delays appear to largely stem from a new system the Postal Service began rolling out last fall that will eventually funnel all the nation's letters and packages through a consolidated network of 60 regional distribution centers — similar to the airlines' hub-and-spoke model.

Is Postal Service declining? ›

USPS is now delivering just 83% of First-Class mail on time during the current fiscal quarter, its worst rate in three years. That is down from 86% in the first quarter and 91% in both the fourth quarter of fiscal 2023 and the same period last year.

Why does USPS deliver my mail so late? ›

All deliveries should be made by 5:00 p.m. local time Monday through Saturday. Unusual circ*mstances (such as traffic, staffing fluctuations, severe weather, natural disaster, changes in carrier route, etc.) can cause deliveries to be made after this time.

Why is it called peak season? ›

Peak season is the time of year that businesses and supply chains see the most significant amount of demand and traffic. Of course, the exact timing of peak season varies by industry.

What is the difference between peak season and high season? ›

The high season, sometimes referred to as the peak season, is the busiest time of year for a travel destination. It often coincides with large crowds and higher rates, from hotels to transportation, and guides.

Who are the peak season? ›

On a very general level, you can roughly say that peak season is summer—which is June–August in the northern hemisphere and November–February in the southern hemisphere. The Christmas and New Year's holidays are also peak seasons in many parts of the world.

Who is the highest paid postmaster? ›

United States Postmaster General Louis DeJoy is the highest paid postal executive. Louis DeJoy remains one of the most controversial United States postmasters general, but he also is one of the highest paid.

Who owns USPS? ›

The U.S. Postal Service (USPS) is a large business enterprise operated by the federal government. It has more than 600,000 employees and more than $70 billion in annual revenues.

Why is the Postal Service losing money? ›

Meanwhile, the agency saw its total operating expenses grow to $23.8 billion for the quarter, an increase of nearly 5%. DeJoy and USPS executives attributed the quarterly loss to costs beyond the agency's control — chief among them, higher inflation and contributions to the Civil Service Retirement System.

Will USPS employees get a raise in 2023? ›

The raise will appear in paychecks dated Dec. 8, 2023. This latest wage increase caps off two years of strong raises secured in the 2021-2024 contract and follows record-breaking cost-of-living adjustments (COLAs) for career employees, which totaled $2.39 per hour, or $4,971 annually.

Will USPS increase rates in 2023? ›

2023 USPS postage rate increases

There were two USPS postage rate increases in 2023. Overall, mailing costs increased more than shipping costs: the cost to mail a one ounce First Class letter went up ten percent, and postage for a First Class postcard rose nearly 16 percent. First Class letter (1 oz.)

How long is open season at USPS? ›

This is your once-a-year opportunity to make changes to your benefits. Open Season 2023 officially begins November 13 and ends December 11, 2023.

What is the future of the USPS? ›

We're exploring cutting-edge technologies—from Informed Delivery® to smart mail to Virtual Reality and beyond—that will help extend physical mail into the digital world, creating an innovative experience for all of our customers.

References

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