USPS OIG Report: Terminal Handling Services – Phoenix, AZ

Background The Postal Service uses Terminal Handling Services (THS) to load mail into air containers and deliver them to the air supplier for transportation. As part of its Delivering for America plan to achieve financial stability and service excellence and meet the evolving mailing and shipping needs of the American public and business customers, the…

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USPS taking back air cargo functions in AZ, AK

September 6, 2022 The Postal Service is resuming terminal handling services, a function that has been outsourced for decades, at two sites this year. This move will create 53 new craft positions and additional supervisory positions. Terminal handling services prepares inbound and outbound mail being shipped by air through the FedEx network for processing by…

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USPS OIG Report: Air Mail Not Moving As Assigned

Background The U.S. Postal Service spent about $3 billion to transport mail via air in fiscal year (FY) 2021, an increase of about $53 million over FY 2020. These costs consisted of contracted services from [redacted], commercial airlines, [redacted], auxiliary transportation, supplemental ad hoc charters, and terminal handling services (THS) operations. The air network relies…

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USPS OIG Management Alert: Air Mail  Not Moving as Assigned – Los Angeles 

Introduction While conducting site visits at the Los Angeles Terminal Handling Services (THS) for our ongoing Air Mail Not Moving as Assigned audit, the OIG found significant opportunities to improve the Postal Service’s air carrier contract management. The purpose of this alert is to bring these issues to the Postal Service’s attention and make recommendations…

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USPS OIG Report: Transportation Network Optimization and Service Performance

Objective Our objective was to assess opportunities to optimize the Postal Service’s transportation network and meet service performance goals. Transportation is a core part of Postal Service operations, combining Postal Service-owned and operated assets with contractor operations. Every day a team of transportation and logistics professionals manage an average flow of over 390 million mailpieces…

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USPS OIG Report: Terminal Handling Services – Southern Area

Objective The objective was to assess the effectiveness of the Terminal Handling Services (THS) the U.S. Postal Service uses to sort and transport mail in the Southern Area. THS suppliers load mail into FedEx air containers and deliver them to FedEx for transportation across the nation. They also transport incoming FedEx air containers to THS…

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USPS OIG Report: Terminal Handling Services – Cap Metro Area

Objective The objective of our audit was to assess the effectiveness of the Terminal Handling Services (THS) used to sort and transport mail for the Postal Service in the Capital Metro Area. The Postal Service uses THS suppliers to load mail into FedEx air containers and deliver them to FedEx for transportation across the nation….

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