Trump Allegedly Aiming to Seize Control of US Postal Service as Part of Privatization Efforts


New York
UJ

The administration of Trump is reportedly aiming to dismiss members of the independent governmental board that regulates the US Postal Service, a potential move towards privatization of the service, as indicated by various reports.

The Washington Post initially reported late Thursday, referencing several anonymous sources, that President Donald Trump intended to disband the US Postal Service’s Board of Governors and place the agency under the direct oversight of the Commerce Department and Secretary Howard Lutnick. The Wall Street Journal also reported on Friday regarding the strategy to dismantle the commission, citing government officials.

The Postal Service did not respond to inquiries about the situation. However, a White House representative denied that Trump planned to authorize such an order.

“That is not accurate. No such EO (executive order) is in progress, and Secretary Lutnick is not advocating for such an EO,” a White House official informed UJ.

Other nations have opted to privatize their postal systems. However, a plan to privatize the USPS, which has been in existence for 250 years prior to the founding of the United States, could fundamentally alter how Americans receive a vast range of essential deliveries, including online orders, prescription medications, checks, and mail-in ballots.

It could also eliminate the long-established requirement for universal delivery to all residences and businesses, rather than just to those locations that are profitable to serve. Many online orders processed by private companies like United Parcel Service rely on the Postal Service for the “last mile” of delivery to households.

In December, then President-elect Trump remarked that privatizing the USPS is “not the worst idea I’ve ever heard.”

“It’s a notion that has been popular among many for a long time,” Trump stated during a press conference at his Mar-a-Lago residence in Florida. “We’re considering it.” Trump previously abandoned efforts to privatize the service in 2018 during his first term.

However, it seems improbable that Trump could privatize the agency without the approval of Congress, considering the numerous federal laws that govern the quasi-independent service. These laws include those mandating universal delivery and prohibiting strikes by USPS employees. With a workforce of 600,000 employees, heavily unionized, the USPS ranks among the largest unionized employers in the country.

The future status of those laws in a privatized Postal Service remains uncertain.

Although the USPS has been experiencing financial losses for years, it recently announced a net income of $144 million for the last three months of 2024.

Correction: An earlier version of this article mistakenly identified the oversight board that President Trump is considering abolishing. It is the USPS Board of Governors.

This is an evolving story. Updates will follow.