On June 21, 2018, the Administration released a wide-ranging proposal to overhaul the federal government. Included in the government overhaul is a proposal to privatize the United States Postal Service. The Administration states their “proposal would restructure the United States Postal System to return it to a sustainable business model or prepare it for future conversion from a Government Agency into a privately-held corporation.”
The privatization proposal recommends significant cuts to service, employee benefits, and labor that would help a privately-held Postal Service better manage expenses; “A private postal operator that delivers mail fewer days per week and to more central locations (not door delivery) would operate at substantially lower costs. A private entity would also have greater ability to adjust product pricing in response to changes in demand or operating costs. Freeing USPS to more fully negotiate pay and benefits rather than prescribing participation in costly Federal personnel benefits programs and allowing it to follow private sector practices in compensation and labor relations, could further reduce costs.”
On April 12, President Trump signed an Executive Order to review the sustainability and viability of the Postal Service and make legislative recommendations. When the NRLCA met with members of the Task Force, the idea of privation never came up. The Task Force’s report is scheduled to be released on August 10. With the release of this most recent recommendation to privatize the Postal Service, we have a good idea on what the Task Force is going to recommend.
The NRLCA fully opposes privatizing the Postal Service, and will continue to work with members of Congress on both sides of the aisle to pass meaningful postal reform legislation, and make sure this privatization proposal to dismantle an American institution fails.
Please contact your member of Congress and urge them to oppose the privatization of the United States Postal Service.
You can view the Administration’s Reform Plan to Reorganization Recommendations here: