As you probably have heard, the United States Postal Service (USPS) has requested a postage price increase. They have asked for a CPI increase and an exigent price increase as well. In our opinion the CPI increase is a given; however, the exigent price increase is not, but could very well be approved given the USPS financial condition.
Expect the increases to become effective January 26, 2014 (Sunday).
Amount of increase:
- Full rate single-piece postage will increase from $0.46 today to a miminum of $0.47 (CPI) and could increase to $0.49 (CPI + Exigent)
- Automation and XDI guaranteed rates will increase from about 2% (CPI) to 6% (CPI + Exigent)
The exigent price increase could be reduced or avoided if Congress would enact long over-due postal reform that would allow the USPS to change its operations to effectively adapt to current technology and customer needs.