US Postmaster General Louis DeJoy to Step Down Amid $100 Billion Loss Crisis!
In a shocking turn of events, Louis DeJoy, the US Postmaster General who has been at the helm of the US Postal Service (USPS) since 2020, announced on Tuesday that he is preparing to step down. DeJoy revealed that he has asked the USPS governing board to begin the search for his successor, sparking curiosity about the future of the agency that’s been grappling with staggering financial losses.
Since 2007, USPS has been bleeding money, accumulating losses exceeding a jaw-dropping $100 billion. DeJoy had previously warned that without aggressive cost-cutting measures, the USPS was on a dangerous path toward either a massive government bailout or, even worse, the collapse of the postal service as we know it.
Despite spearheading a bold 10-year restructuring plan in 2021 to slash $160 billion in projected losses, USPS is still staring at an $80 billion deficit over the next decade. The agency is now exploring more cost-cutting measures to address the shortfall, raising questions about the future of the nation’s postal system.
DeJoy’s tenure has been nothing short of controversial. From facing fierce criticism in Congress over processing network consolidation plans to overseeing the delivery of tens of millions of ballots during last November’s presidential election, his leadership has been under constant scrutiny. Yet, his influence on USPS’s modernisation efforts is undeniable, especially with the introduction of electric vehicles, backed by a $3 billion boost from Congress.
The challenges for USPS don’t end there. First-class mail volume has plummeted, dropping 3.6% year-over-year to 44.3 billion pieces—the lowest level since 1968. Usage has nosedived by 80% since 1997, reflecting a massive shift in communication trends. In a surprising move, USPS announced it would not increase stamp prices in January, breaking a two-year streak of price hikes, despite raising the cost of a first-class mail stamp to 73 cents just last July.
The timing of DeJoy’s decision is particularly curious, as it comes only weeks after Donald Trump returned to the political scene. With his exit, questions loom large over who will take up the challenge of steering the USPS through its financial storm and what direction the next postmaster general will take.
Is this the end of an era or the beginning of a new chapter for USPS? Only time will tell.
