USPS Focuses on Revenue Growth Amid Financial Challenges

Sat Nov 15 2025 01:32:28 GMT+0200 (Eastern European Standard Time)

Postmaster General David Steiner emphasizes the need for the U.S. Postal Service to expand revenue streams to overcome financial obstacles, while also assuring the public about plans to modernize operations without privatization.

During a recent meeting, Postmaster General David Steiner highlighted that the U.S. Postal Service cannot solely rely on cost-cutting measures to address its financial challenges. With ongoing net losses and an urgent need for revenue growth, he discussed plans to enhance last-mile delivery services and engage with retail partners for improved delivery options. Steiner stressed the importance of modernization and innovation to ensure USPS remains a vital service without privatization, reassured by Board Chair Amber McReynolds who indicated that there are no current plans for privatization.

The U.S. Postal Service (USPS) is facing significant financial hurdles that cannot be resolved through cuts alone, according to Postmaster General David Steiner. Speaking at the Postal Board of Governors meeting in Washington, Steiner called for a broader approach, stating that expanding revenue sources is essential for restoring USPS's prominence in the nation’s delivery network.

“I cannot emphasize enough that we cannot cost-cut our way to prosperity,” Steiner said, highlighting the need for growth. To boost revenues, he proposed enhancing services such as last-mile delivery for homes and businesses, which is often the most expensive part of the delivery process.

Currently, USPS is in discussions with private parcel delivery companies like UPS to strengthen its last-mile offerings. Steiner noted an increasing demand from retailers for reliable and quick delivery options, suggesting that USPS could provide same-day and next-day services while leveraging its extensive delivery footprint.

Despite a reported operating revenue increase to $80.5 billion, USPS still recorded a net loss of $9 billion, indicating ongoing financial difficulty. Board Chair Amber McReynolds pointed out that restrictive policies contribute to these losses, calling for urgent legislative action to enhance financial sustainability.

Additionally, there are calls for updating the postal service's pricing, worker compensation, and borrowing limits, some of which have remained untouched since 1991. To enhance efficiency, Steiner indicated the necessity of adopting innovative technologies, including artificial intelligence, to streamline operations.

Steiner, who recently celebrated his 100-day milestone as the new postmaster general, affirmed his commitment to a decade-long $40 billion modernization strategy initiated by his predecessor, Louis DeJoy. This plan is expected to improve service quality, with recent trends suggesting faster and more reliable mail delivery. As the holiday season approaches, USPS has invested significantly in logistics and workforce stability, planning for minimal seasonal hiring.

Amid discussions of potential privatization, McReynolds assured the public that there are no proposals under consideration, emphasizing the commitment to maintaining USPS as a public service.