U.S. Postal Service Calls for Revenue Growth Amid Financial Struggles

Sat Nov 15 2025 01:14:08 GMT+0200 (Eastern European Standard Time)

Postmaster General David Steiner emphasizes the need for the USPS to expand its revenue streams and address financial challenges during a recent Postal Board of Governors meeting.

Postmaster General David Steiner stated that the U.S. Postal Service must grow its revenue base to achieve financial sustainability, advocating for expansion into last-mile delivery services. Despite an increase in operating revenue, the agency reported a net loss of $9 billion. Steiner highlighted the necessity for legislative action to relieve USPS from restrictive mandates and pave the way for innovation and modernization while assuring the public of the agency's commitment to remaining publicly operated.

The U.S. Postal Service can’t fix its finances through cuts alone, Postmaster General David Steiner said Friday.

Steiner remarked that the 150-year-old agency must expand its revenue sources to restore its importance within the national delivery framework. He emphasized the need to utilize its legal obligation to deliver to every address.

During the Postal Board of Governors meeting in Washington, Steiner suggested that collaborating with more customers to provide last-mile delivery, which is the most costly part of the delivery process, could be a path forward. I’ve taken to saying that we cannot cost-cut our way to prosperity, Steiner stated. We have to grow.

The postal service, facing challenges since the Trump presidency, is currently in talks with private parcel delivery companies such as UPS to enhance its last-mile capabilities. Plans also aim to provide same-day and next-day delivery for both large and small retailers.

Steiner stated, We’ve begun discussions with a number of retailers and the desire for fast, reliable and affordable delivery is certainly strong among all retailers. He believes their unique position of delivering to all addresses almost daily is a significant asset.

Postal Service's Financial Outlook

Despite a recent report showing an operating revenue boost to $80.5 billion, the USPS reported net losses of $9 billion, slightly improving from last year's losses. Amber McReynolds, re-elected chair of the Postal Board of Governors, pointed out that outdated regulations burden the postal service and called for urgent legislative reforms for long-term sustainability.

McReynolds highlighted the agency's disproportionately high retirement system contributions and limitations on investment options as detrimental to fiscal health, stressing the need for updated pricing systems and borrowing limits.

This is urgent and it is time for action, she asserted. Steiner echoed these sentiments, noting the importance of cost efficiency, innovation, and leveraging capital, stating, To do all of this, we need capital and the ability to leverage our assets.

Modernization Initiatives

Steiner, who has toured over 20 postal facilities in his first few months, signaled his commitment to continuing the $40 billion, 10-year modernization plan initiated by his predecessor, Louis DeJoy. He expressed optimism over improved mail delivery times and cited significant investments made for modernization.

With the approaching holiday season, Steiner assured that $20 billion has been allocated to enhance logistics and mail processing. He anticipated only a modest need for seasonal hires as the workforce stabilizes.

Despite public concerns regarding potential privatization, stemming from proposals during the Trump administration, McReynolds reassured that there are currently no plans for privatizing the postal service, echoing Steiner’s commitment to public operation.