USPS Launches Cost-Cutting Plan Amid Uncertainty, Aims to Save $36 Billion

The U.S. Postal Service (USPS) began cost-saving changes Tuesday, aiming to save $36 billion over a decade while maintaining delivery times. The plan follows Postmaster General Louis DeJoy’s agreement with Elon Musk’s DOGE to cut spending and reduce the workforce by 10,000 through early retirement. DeJoy announced his resignation in February, raising uncertainty about USPS’s future.

Despite criticism, USPS claims the changes will improve efficiency by enhancing zip-code precision, reorganizing processing, and expanding same-region turnaround service. About 75% of Americans won’t see delivery changes, 14% will get faster service, and 11% will face delays.

The reforms are part of the “Delivering for America” plan, which has faced bipartisan opposition and lost $9.5 billion in 2024. The Postal Regulatory Commission warns these cuts could harm rural areas, but USPS insists most mail originates within 50 miles of processing centers, enabling faster service. A second rollout is set for July 1.

Sign up for the KCLY Digital Newspaper, The Regional

Name(Required)
This field is for validation purposes and should be left unchanged.