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Politics
21 February 2025

Trump Administration Faces Backlash Over Potential USPS Takeover

Concerns grow as reports surface about plans to place USPS under Commerce Department control, risking privatization.

The Trump administration has stirred controversy with reports claiming plans to fire members of the independent governing board of the U.S. Postal Service (USPS) and place the agency under the direct control of the Commerce Department. This development, which surfaced on February 20, 2020, could mark the beginning of efforts to privatize the postal service, which has been losing money for years. Critics argue this move not only threatens the USPS's longstanding tradition of providing universal mail delivery but also raises serious legal questions about its constitutionality.

According to the Washington Post, President Donald Trump intends to dissolve the Postal Regulatory Commission and transfer oversight of the USPS to Secretary Howard Lutnick of the Commerce Department. Although several news outlets reported on these plans, the White House has outright denied any intention of moving forward with such actions. An official stated there are no executive orders concerning the USPS currently being considered.

The United States Postal Service, established more than two centuries ago, has become integral to American life, providing access to mail delivery for nearly every business and household. During his presidency, Trump has had mixed views on the postal service, once admitting at a December 2019 news conference, “It’s not the worst idea I’ve ever heard,” when discussing potential privatization. This admission has sparked debates about the future of the USPS, especially as it faces continued financial pressures.

Notably, Postmaster General Louis DeJoy announced his resignation shortly after these reports emerged, citing what he described as “irrational scrutiny” toward his management practices. Under DeJoy, the USPS implemented plans to modernize operations, yet the service struggled to maintain timely deliveries, which fueled criticisms from both sides of the political aisle. The USPS reported losses totaling nearly $10 billion for the fiscal year 2024, contrasting with $6.5 billion the previous year.

The potential privatization of the USPS could have far-reaching consequences. Experts warn it might lead to increased prices for mail services, especially for rural constituents who rely on the USPS for delivery of everything from medications to ballots for voting. This concern has also been voiced by the American Postal Workers Union, whose President, Mark Dimondstein, asserted, "If this reporting is true, it would be an outrageous, unlawful attack on a storied national treasure, enshrined in the constitution and created by Congress to serve every American home and business equally.”

Justice stakeholders are not sitting idly as rumors swirl about privatization. The bipartisan USPS board of governors is reportedly gearing up to challenge any attempts by Trump to take control of the agency. Should executive orders be issued for such sweeping changes, the board has indicated it would explore possible legal avenues to dispute the president’s authority to take such actions.

The 1970 Postal Reorganization Act intentionally separated the USPS from political influence by establishing it as an independent agency, ensuring its operations remain outside direct presidential control. This law mandates universal mail delivery as a fundamental service, making privatization tricky without significant changes to existing congressional regulations.

Privatizing the USPS might fundamentally transform not only how mail delivery operates but also the very nature of service to the public. Countries such as the United Kingdom and Canada have seen results—both positive and negative—from the privatization of their postal services, leading to increased costs and reduced availability at times. Advocates for maintaining public operation insist the USPS is integral to national identity, providing unmatched service depth and access, especially in underserved rural areas.

Postal workers’ unions, like the National Association of Letter Carriers, report almost 300,000 active and retired members whose work is central to the $1.92 trillion mailing industry. They stress the importance of preserving the universal service obligation the USPS upholds and vehemently oppose privatization efforts, warning it could jeopardize jobs for approximately 640,000 postal employees.

At the heart of this discussion is the reliability of the services provided by USPS, which the public ranks consistently as one of the most trusted governmental agencies. Brian L. Renfroe, President of the National Association of Letter Carriers, emphasized this sentiment, saying, "The public consistently ranks the Postal Service as one of the most trusted government agencies. That’s because Americans can count on their letter carrier in every community nationwide." He vowed to fight against any attempts to undermine the agency through privatization efforts.

With the current administration denying claims of direct control or executive orders related to the USPS, it remains to be seen how events will play out moving forward. The future of the USPS stands at a precarious juncture, and any significant transitions to privatization could reshape not just the postal service but the way millions of Americans receive their mail.