business news in context, analysis with attitude

The Associated Press reports this morning that the US Postal Service (USPS) is ending its relationship with Staples and no longer will offer mail services at 500 stores operated by the office supply chain.

According to the story, the USPS "was ordered by a National Labor Relations Board administrative law judge to discontinue its retail relationship with Staples and that it plans to comply. Staples confirmed that its partnership with USPS would be ending, saying in a statement that its customers would still have access to shipping services through its relationship with UPS."

The arrangement had been opposed by the American Postal Workers Union, which said that the deal "replaced union jobs with low-wage, nonunion workers."
KC's View:
Put this in the column of good ideas that got waylaid by unions. The USPS deal may have hurt some union jobs, but it seems to me that it also made the USPS more accessible, which it needs to compete with the likes of FedEx and UPS. If it were up to me, I'd be working on ways of putting postal stations in as many retail outlets as feasible, and closing as many traditional post offices as possible. The old business model just doesn't work, and the USPS has been late in figuring this out. The postal workers, apparently, are coming to the realization even later.