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Trump Set To Take Control Of Postal Service – Privatization Could Be Next

by | Feb 21, 2025 | Top Ten


Continuing his government-reformation fiesta, President Trump is expected to issue an executive order dissolving the US Postal Service leadership and absorbing the organizaton into the Commerce Department. That bold move may be just a first step toward an even more ambitious and controversial goal: privatizing the perpetual money-loser. 

From leadership to rank-and-file employees, the USPS will most certainly mount intense legal and political efforts against both initiatives. The USPS governing board is already gearing up: On Thursday, the USPS board held an emergency meeting in which it hired outside attorneys and directed them to file legal challenges when Trump makes his first move, the Washington Post reported.   

The USPS Board of Governors, led by chair Amber McReynolds, has given outside lawyers orders to file suits to block any Trump moves

The Postal Service is politically powerful — starting with its raw headcount: While you may not guess it given the long lines that typify a visit to a post office, USPS has a staggering 650,000 employees, who rise up whenever privatization gains momentum. It’s also popular among Americans — 72% view it favorably, compared just 21% who view it unfavorably, according to a 2024 Pew Research poll. 

A 2018 Pittsburgh postal workers union rally against Trump’s interest in privatizing the US Postal Service (Lake Fong/Pittsburgh Post-Gazette via AP) 

In December, the Post reported that Trump had been discussing USPS privatization with Howard Lutnick, who is now Secretary of Commerce, along with other transition officials whom Trump used as a sounding board on the topic. The Department of Government Efficiency (DOGE) held its own meetings to explore drastic actions with the 250-year-old service. 

In November, USPS disclosed a net loss of $9.5 billion for the 2024 fiscal year — a loss that was 46% worse than the service’s $6.5 billion deficit in 2023. The plunge came alongside a slight uptick in revenue enabled by the latest annual increase in postage rates, pursuant to the 2021 Delivering for America plan. That program was supposed to help the perennially-profitless behemoth “achieve financial sustainability and service excellence.” The service also has a crummy balance sheet, with nearly $80 billion in liabilities. 

The USPS “profit” in 2022 was a mirage resulting from the repeal of a requirement to prepay future retiree health benefits, and the cancellation of past-due pre-funding obligations (chart via Washington Post)

In recent years, USPS has increased its headcount despite that fact that mail volumes have steadily declined since a Covid-era spike. Grilling Postmaster General Louis DeJoy at a Senate hearing, Rand Paul asked, “Can you think of a private business — where 80% of what they’re doing to make money is going down in volume — would actually increase their employees?” Here’s a particularly well-framed video of the exchange: 

Since 1970, the USPS has operated as a quasi-governmental agency, led by a board of governors whose members are appointed by presidents subject to Senate confirmation. Earlier this week, DeJoy informed the USPS board that he was ready to step down from his position, and asked the board to begin seeking his successor. His move halfway through his 10-year-term came amid reports that Trump was thinking of replacing him. DeJoy was appointed by Trump in the summer of 2020, and soon became a lightning rod for Democrats who accused him of thwarting the vote-by-mail free-for-all that leftists fostered during that pandemic-stricken election year. In the crucial state of Pennsylvania, 76% of mailed ballots went to Biden.  

Predictably, leftists have started losing their minds over Trump’s pending moves, simultaneously decrying USPS reform as Russian interference, racism and an attack on democracy…

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