London mail processing plant may move

December 21, 2011 by  

The U.S. Postal Service, looking at ways to reduce costs in light of increased e-commerce, may move the London plant to Knoxville.

A feasibility study was done early in 2011 with the results soon to be shared with postal workers and the public at large. The study was commissioned to see if processing mail in Knoxville would be more feasible.

News of the Area Mail Processing study was released last September and the public was invited to address their concerns in writing to officials in Louisville.

The costs associated with catalogue printing and direct mail pieces in the London area are not expected to be impacted but delays could be anticipated with the increase shipping distance to the Knoxville processing plant.

The London mail plant has weathered other economic storms in the recent past. A 2010 feasibility study saw some mail processing procedures move to the post office at Lexington which resulted in a savings of over $1 million. While local jobs were lost at that time, the U.S. Postal Service said the move made better use of their resources.

Postal corporations globally have been repositioning themselves as internet use and aggressive marketing by overnight couriers has eroded the need for ground and air mail delivery. Processing plants across the U.S. have either shut down or amalgamated with larger centres. Traditional mail as a communication channel remains active but volumes have decreased over the past 15 years.

Results of the study and public feedback are expected to be released shortly.