The head of the U.S. Postal Service is promising his overarching reform plan will soon turn around the mailing agency’s finances despite significant setbacks that have caused it to fall short of leadership’s ambitious goals.
USPS spent yet another quarter in the red, posting a net loss of $2.5 billion between Jan. 1 and March 31. The agency lost nearly $500 million when only accounting for costs within management’s control, compared to a net income of more than $400 million during the same period last year. Its revenue declined by nearly $500 million despite price hikes aimed at offsetting declining mail and package volumes.
Postmaster General Louis DeJoy, who spearheaded the Delivering for America plan he originally said would allow USPS to turn a profit in fiscal 2023 and would erase all the Postal Service’s accumulated and anticipated debts within 10 years, said his proposals would still deliver on their larger promise.
