Again, the loss of business to competition would more than offset any savings from ending Saturday delivery. If they end delivery, the post offices will still be open, mail will still be being processed 7 days/week, and there would be additional overtime costs due to a higher volume of mail on Mondays. Delivery, which is all they're talking about eliminating, is only the piece the public sees, the tip of the iceberg.

Why are stores open 24/7 now? They have to have a stock staff working in the store anyway, so they might as well gain a little revenue from employees they would have to have there anyway. Cutting their hours doesn't save them money, it just shifts the customers to the competition. Same idea with the post office cutting delivery. The clerks and processing personnel still have to process mail. It really doesn't save as much as you think.

Businesses which are in trouble don't under logical conditions cut service and raise prices and survive, but this is precisely what the postal service is proposing.