Postmaster General Louis DeJoy tells mailers to get used to “uncomfortable” rate increases as inflation is driving up the Postal Service’s costs.
The U.S. Postal Service is pledging to continue raising its prices at a historically unusual clip even as the agency has boosted its revenue significantly and is soon to realize significant savings from a reform measure President Biden recently signed into law.
USPS still saw a net loss of $639 million in the period between Jan. 1 and March 31, up from $82 million in the same period last year. The Postal Service Reform Act was not enshrined into law until after the second quarter of fiscal 2022, meaning the relief it will provide by eliminating the requirement that the Postal Service prefund health care costs for future retirees was not reflected in the financial results. USPS grew revenue in the quarter by about $900 million, a 5% increase from the same period in 2021. Volume grew by about 3%.