Elon Musk and the Department of Government Efficiency (DOGE) have revealed a startling fact: the United States Postal Service (USPS) has not achieved a balanced budget since 2007, despite a legal mandate to do so. This disclosure, shared via posts on X, highlights ongoing financial struggles for the agency, which reported a $9.5 billion loss in 2024 alone.
The USPS, an independent government agency, is required by law to maintain fiscal balance but has faced challenges due to regulations imposed in 2007. These rules have contributed to over $100 billion in losses over the past 17 years, with an 80% drop in first-class mail volume since 1997 exacerbating the issue. Musk has suggested privatizing the USPS, a move he believes could restore efficiency, though it would require congressional approval.
Postmaster General Louis DeJoy has partnered with DOGE to address these “big problems,” implementing measures like cutting 10,000 jobs through voluntary retirements and adopting new service standards to save $36 billion over a decade. However, critics argue that privatization could jeopardize the USPS’s universal service obligation, vital for rural communities.
As DOGE continues its mission to curb federal spending, the USPS’s financial woes remain a focal point. Will privatization or reforms turn the tide, or is the agency stuck in the past? Stay tuned for updates on this developing story.
