Mail delays likely as new postal boss pushes cost-cutting
WASHINGTON » Mail deliveries could be delayed by a day or more under costcutting efforts being imposed by the new postmaster general. The plan eliminates overtime for hundreds of thousands of postal workers and says employees must adopt a “different mindset” to ensure the Postal Service’s survival during the coronavirus pandemic.
Late trips will no longer be authorized. If postal distribution centers are running late, “they will keep the mail for the next day,” Postal Service leaders say in a document obtained by The Associated Press. “One aspect of these changes that may be difficult for employees is that — temporarily — we may see mail left behind or mail on the workroom floor or docks,” another document says.
The changes come a month after Postmaster General Louis DeJoy, a major donor to President Donald Trump, took over the sprawling mail service. In a memo titled “PMG Expectations and Plan,” the agency said the changes are aimed at “making the USPS fundamentally solvent which we are not at this time.”
The memo cites deep revenue losses from a decadelong decline in mail deliveries that has been exacerbated by the coronavirus pandemic and says an overdue “operational pivot” is needed to ensure the agency’s health and stability.
Postal Service officials, bracing for steep losses from the nationwide shutdown caused by the virus, have warned they will run out of money by the end of September without help from Congress. The service reported a $4.5 billion loss for the quarter ending in March, before the full effects of the shutdown sank in.
Single-piece, first-class mail volume fell 15 to 20% week to week in April and May, agency leaders told Congress. Losses will increase by more than $22 billion over the next 18 months, they said.
Bills approved by the Democratic-controlled House would set aside $25 billion to keep the mail flowing, but they remain stalled in the Republicancontrolled Senate. Congress has approved a $10 billion line of credit for the Postal Service, but it remains unused amid restrictions imposed by the Trump administration.
A spokesperson said Wednesday that the agency is developing a business plan to ensure it will be financially stable and continue to provide reliable, affordable and secure delivery of mail and packages. While the plan “is not yet finalized, it will certainly include new and creative ways for us to fulfill our mission, and we will focus immediately on efficiency and items that we can control,” said spokesperson Dave Partenheimer.
The memo cites U.S. Steel as an example that the Postal Service is far from “untouchable.” In 1975, the steel giant was “the largest company in the world,” the memo states. “They are gone.” In fact, U.S. Steel remains a leading steel producer, with more than 27,000 employees as of earlier this year.