Two years into its 10-year reform plan, USPS has cut its projected losses for the next decade in half — from $160 billion to $70 billion.
“Not meeting our short-term financial goals, as specified in the DFA is not taken lightly,” DeJoy said during a meeting of the USPS Board of Governors Tuesday. “We will be taking more aggressive actions to get back on track.”
Congress last summer passed the Postal Service Reform Act, a long-awaited reform bill expected to save USPS $107 billion in total. Given an immediate $57 billion forgiveness if payments owed to its retiree health benefits fund, USPS reported a $56 billion net profit in fiscal 2022.
USPS Chief Financial Officer Joe Corbett said the agency is seeing a continued reduction in its surge in packages that started under the COVID-19 pandemic. However, USPS package volume remains above pre-COVID levels.