On June 11th, a group of parcel shippers known as the Package Coalition sponsored a hearing with Congress to explain the importance of an affordable USPS. Members of Congress who attended the hearing came from both parties to hear what these shippers had to say. The Package Coalition’s main argument? How critical it is to keep the United States Postal Service affordable for all.
How the Congressional Hearing Unfolded
By all accounts, the hearing was well attended and well received, with nearly standing room only. Over 65 people from Capitol Hill and representatives from trade associations attended. One reporter from the National Journal was also present.
One of the highlights of the hearing came from John McHugh, Chairman of the Package Coalition. When addressing Congress, he spoke on the crucial role that USPS plays in the success of eCommerce.
“Package delivery companies, including the United States Postal Service, play an incredibly important role in connecting buyers to sellers. The Postal Service has an unrivaled delivery network, which is often used by private carriers for last mile delivery, and provides affordable and reliable package delivery service to 157 million delivery points across the country, including to remote and rural areas,” McHugh said.
What is The Package Coalition?
The Package Coalition is a group of more than 20 major American brands that banded together to advocate reliable and affordable postal package delivery services. You’ve definitely heard of some of their high-profile members. Amazon, Pitney Bowes, Columbia Sportswear and Zappos.com all belong to the coalition.
The Package Coalition supports fair competition in the package delivery business. Most importantly, however, the coalition recognizes that an affordable and reliable postal delivery business is necessary to help financially support small business owners and the American economy as a whole.
If you want to learn more about the Package Coalition, check out their website.
Why An Affordable Postal Service is So Crucial for Small Business (and the Economy)
Simply put, affordable USPS rates are the backbone of American eCommerce. Without access to the Postal Service’s universally affordable shipping prices, small businesses everywhere that rely on USPS would suffer. The selling potential in rural America would especially decline, since remote locations would be subject to paying higher shipping rates.
This is precisely why the argument from President Trump’s Postal Task Force to privatize the Postal Service won’t work. Privatizing USPS so would result in higher rates and only do harm to small businesses, which—as eCommerce continues to boom—represent a rapidly growing portion of the American economy.