Dhillon on Amazon, USPS

Harmeet Dhillon Discusses Trump’s New Demands For Amazon to Pay Higher USPS Rates on Fox News

According to Dhillon:

Clearly the president is irked at the unfair coverage he’s getting from the Washington Post. On the other hand, there are some serious issues with the United States postal service. It’s had the same rates and allocation of expenses to the package delivery part of its business since 2007. It’s really overdue for an adjustment. Back in 2007 as we all know, we did not have such a dependence on mail order as we do today and Amazon’s business was a mere fraction of what it is today. And one of the big problems the president is facing is that he has nominated four members of the postal regulatory commission but they are being held up in the Senate along with a number of other nominees. If you got those people in place, he’d be able to have adjustment of those rates and some right sizing of those rates, so there is some subsidy going on, but its not anybody’s fault. And we could look at the pension issue. The reason that the postal service runs a negative and a deficit is because it has to prepay its pension for 75 years worth of benefits.

There is a perception, as the president mentioned, that these big conglomerates, not just Amazon, Google are dominating the market and taking away business from mom-and-pop shops at the retail store level. On the other hand, I have to say as an Amazon user myself, I really value the convenience, and a lot of mom-and-pop stores are now selling their products through Amazon. I think all of us can be adjusted by getting his nominees in place at the postal regulatory commission and then adjusting some of those rates here and there. Making sure that it’s fair for everybody.

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