Louis DeJoy’s Postal Service Plans Are Falling Short By Their Own Standards

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An unfolding update to the operations of the U.S. Postal Service, which remains led by Trump-era Postmaster General Louis DeJoy, is not working out as expected, with the mail agency saying they faced a $6.5 billion net loss in the just concluded fiscal year.

That period ended at the close of September. The agency had reported a net gain of tens of billions in the preceding fiscal year, but that was attributable in large part to a one-time boost from legislation. “The service was supposed to break even by this year under the 10-year “Delivering for America” plan implemented by Postmaster General Louis DeJoy in 2021 “to achieve financial sustainability,”” Axios noted. DeJoy’s plans in general have involved purposefully slowing the handling speeds for certain categories of mail and consolidating postal operations, utilizing larger hubs for work. There have also been continued increases to prices for postage.

Prepared remarks from DeJoy show the often controversial postal leader sticking by his plans. He and the agency blamed inflation for some recent financial shortfalls. “We are also addressing near-term financial headwinds relative to inflation as we make strong progress in our long-term cost control and revenue generating strategies, including launching new products like USPS Ground Advantage,” DeJoy said. The program to which DeJoy referred is a new option for package delivery within the U.S.

DeJoy has faced consistent criticism throughout his time leading the Postal Service, starting roughly with widespread concerns about on-time delivery as he took over around the period of mail-in voting for the 2020 elections. He’s also been implicated in questions of possible financial corruption, with large sums designated at the Postal Service for a company — XPO Logistics — where he formerly served in a leadership role. And DeJoy was also originally criticized for the low numbers of clean energy vehicles in plans to update the Postal Service’s fleet, though those plans were changed. Read more at this link.