Trump Orders Review of USPS
After accusing Amazon for months of not paying its fair share of postage, President Trump has ordered a review of the US Postal Service’s finances via an executive order issued late Thursday night. The order calls for a task force to evaluate the operations and finances of the USPS. The order does not mention Amazon by name, but it seems clear that Trump is trying to back his claim that the USPS is losing “many billions of dollars a year” due to the financial arrangement with its biggest shipper of packages, or about $1.50 for every Amazon package it delivers.
Trump may very well be correct regarding the numbers, although his rage seems misplaced. Experts, and even Trump’s own advisers, have said that the enormous volume of packages shipped by Amazon have helped keep the Postal Service afloat. Rather, the long, slow decline in junk and first-class mail are the reasons for the USPS’s mounting financial losses. Trump’s executive order acknowledges this.
“A number of factors, including the steep decline in First-Class Mail volume, coupled with legal mandates that compel the USPS to incur substantial and inflexible costs, have resulted in a structural deficit,” the president says in the order. “The U.S.P.S. is on an unsustainable financial path and must be restructured to prevent a taxpayer-funded bailout.”
Amid ongoing public targeting of Amazon's use of the U.S. Postal Service, President Trump orders an evaluation of the USPS in executive order: "The USPS is on an unsustainable financial path and must be restructured to prevent a taxpayer-funded bailout."
It’s unclear how quickly the task force will begin its review, but it has 120 days to respond to the president with a summary of its findings and recommendations.
Read more at The Verge.