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USPS chief to step down after guiding postal service through financial turmoil, pandemic, cost cuts, and mail delays
- US Postmaster General Louis DeJoy is stepping down after leading USPS through financial reforms, COVID-19 pandemic, and election-related mail surges. His tenure included controversial cost-cutting measures and the launch of the “Delivering for America” plan to modernise operations and boost revenue.
Louis DeJoy, the Postmaster General of the United States, has announced his decision to step down after nearly five years at the helm of the Postal Service. His tenure was marked by the coronavirus pandemic, an increase in mail-in election ballots, and efforts to curb financial losses through cost and service cuts.
Resignation and transition
In a letter on February 17, DeJoy formally requested the USPS Board of Governors to begin the search for his successor. He pledged to assist in the transition to ensure minimal disruption to the Postal Service and the American people.
Challenges upon taking office
DeJoy took office in the summer of 2020 during President Donald Trump’s first term. A former logistics business owner and Republican donor, he was the first postmaster general in nearly two decades who was not a career postal employee. Upon his arrival, the USPS was in financial turmoil, facing decades of losses and operational inefficiencies.
Operational and financial reforms
Under DeJoy's leadership, the Postal Service embarked on a major transformation. Key initiatives included:
Development of a 10-year plan to modernise operations and stabilise finances.
Implementation of cost-cutting measures, including overtime restrictions and reduced extra truck deliveries.
Investments in upgrading aging postal facilities.
Introduction of new package shipping products to drive revenue growth.
Efforts to make mail delivery more efficient through mail processing center consolidations.
Controversies and criticism
DeJoy’s tenure was not without controversy. His cost-cutting measures led to mail delays, prompting criticism from lawmakers, particularly those concerned about the impact on rural mail delivery. A federal judge limited one of his cost-cutting practices ahead of the 2020 presidential election, ruling that it contributed to delivery delays.
Also, critics argued that consolidating mail processing centers could harm service quality. However, DeJoy defended the strategy, asserting that these changes were necessary for the Postal Service’s long-term viability.
Role in elections
DeJoy oversaw the Postal Service during two presidential elections that saw significant increases in mail-in voting. His policies and cost-cutting measures sparked concerns about the timely delivery of ballots, particularly in 2020.
Delivering for America Plan
To address long-standing financial issues, DeJoy championed the "Delivering for America" plan, which aimed to ensure financial self-sufficiency and improved service. Key components of the plan included:
Cost Reductions: Cutting transportation costs by $2 billion annually and mail processing costs by $1.5 billion annually.
Revenue Growth: Targeting an increase of $5 billion in revenue.
Workforce Adjustments: Implementing incentivised workforce reductions to optimise efficiency.
Infrastructure Investments: Deploying new vehicles, modernising the air and ground network, and rehabilitating neglected facilities.
Enhanced Services: Introducing new package shipping products and optimising mail flow processes.
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Business NewsNewsUs NewsUSPS chief to step down after guiding postal service through financial turmoil, pandemic, cost cuts, and mail delays
First Published:19 Feb 2025, 05:50 PM IST
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