USPS Chief Louis DeJoy Resigns Amid Privatization Debate, Trump Administration Scrutiny

Postmaster General Louis DeJoy stepped down as head of the U.S. Postal Service (USPS) on Monday. His resignation comes as the agency faces pressure for privatization and scrutiny from the Trump administration.

DeJoy Confident in USPS Future Despite Ongoing Need for Modernization

In a statement issued on Monday, DeJoy said the 250-year-old service had improved from a struggling organization, but emphasized that more work was needed to maintain its progress.

"I believe strongly that the organization is well positioned and capable of carrying forward and fully implementing the many strategies and initiatives that comprise our transformation and modernization," he said in the official statement.

"While our management team and the men and women of the Postal Service have established the path toward financial sustainability and high operating performance — and we have instituted an enormous beneficial change to what had been an adrift and moribund organization — much work remains that is necessary to sustain our positive trajectory," DeJoy added.

DeJoy Steps Down as USPS Chief Amid Controversial Reforms and Calls for Further Changes

DeJoy, appointed postmaster general during the COVID-19 pandemic, had announced in February that he would step down. He led the USPS through the pandemic and two high-turnout elections with increased mail-in ballots.

In 2021, he introduced a 10-year plan to modernize the agency and reduce financial losses. However, some of his changes, such as consolidating deliveries, were criticized for slowing down mail service.

He also pushed for higher postage rates, warning Americans in 2022 to expect "uncomfortable" increases. Since his arrival, the cost of a First-Class stamp has risen from $0.55 to $0.73. Despite ongoing USPS cost-cutting efforts, President Donald Trump has called for further changes.

Trump Proposes Shifting USPS Oversight to Commerce Department

Trump has suggested placing USPS under the oversight of the Commerce Department, rather than its independent board of governors. He proposed giving Commerce Secretary Howard Lutnick control over the USPS, which is currently managed by its board of governors.

At Lutnick's swearing-in on Feb. 21, shortly after DeJoy announced his resignation, Trump suggested merging the USPS with another entity to improve its efficiency and reduce financial losses. This proposal could signal a move toward privatization, a concept recently endorsed by tech billionaire and White House adviser Elon Musk.

Mark Dimondstein, leader of the American Postal Workers Union, has urged the USPS to appoint a postmaster general who opposes privatization. He warned that the White House aims to break up and sell the public postal service.

He argued that privatization would result in higher postage costs and lower service quality for the public, calling it part of a broader effort by wealthy elites to weaken essential public services.