The Postal Service, after trying for more than a decade, finally convinced Congress last year to pass reform legislation, in the hopes of improving the agency’s long-term financial health.
After USPS made it through the worst of the COVID-19 pandemic — which brought the agency to the brink of running out of cash — and released a long-awaited 10-year plan detailing ways it could cut costs and generate more revenue, lawmakers agreed on legislation that would save the agency save billions of dollars.
The Postal Service Reform Act, signed into law by President Joe Biden in April 2022, eliminated a 2006 mandate from Congress to pre-fund retiree health benefits, a requirement that Biden said “stretched the Postal Service’s finances almost to the breaking point, with real consequences.”