USPS Postmaster General Louis DeJoy To Step Down

The US Postal Service (USPS) announced on Tuesday that Postmaster General Louis DeJoy will step down after five years marked by controversy and significant challenges. His tenure saw the agency navigate the COVID-19 pandemic, a surge in mail-in election ballots, and ongoing efforts to cut costs and curb financial losses.

DeJoy, America's 75th Postmaster General, sent a letter on Monday to the Postal Service Board of Governors, asking them to start searching for his replacement.

The announcement comes after USPS reported a rare net profit for the first quarter of fiscal 2025 in early February.

"As you know, I have worked tirelessly to lead the 640,000 men and women of the Postal Service in accomplishing an extraordinary transformation," the letter mentioned.

"We have served the American people through an unprecedented pandemic and through a period of high inflation and sensationalized politics."

DeJoy's Leadership and the 10-Year Plan to Transform USPS

DeJoy became the head of the postal service in 2020 during a period of major financial and operational challenges.

He helped craft a 10-year plan called Delivering for America to improve efficiency, and financial stability, and modernize operations. The plan focused on streamlining the network, updating pricing strategies, and investing in people, facilities and technology.

According to the postal service, four years into the plan, the strategies have shown positive results.

USPS Strategy: Cutting Costs, Boosting Revenue, and Leadership Transition

The postal service plans to cut costs by over $4 billion per year, increase revenue by more than $5 billion, and restructure its operations to handle mail and package deliveries efficiently.

DeJoy said he believes it is essential to bring in a new postmaster general who understands the Postal Service's mission and can lead effectively.

"Our achievement of $1 billion in controllable income and $140 million in GAAP profit for the most
recent quarter is a strong indicator that the Postal Service is on the path to fulfilling its long-neglected legal duty to operate in a self-financing manner. We have reduced the cost of
operations and have grown revenue substantially while executing a massive organizational and
operational transformation. Our new package shipping products are extremely popular and are
overtaking the marketplace," DeJoy's letter said.

DeJoy's Involvement During Elections and Mail Delivery Challenges

DeJoy led the postal service during two presidential elections, both of which saw an increase in mail-in ballots. Before the 2020 presidential election, a federal judge ruled against one of the postal service's cost-cutting measures, stating that it caused mail delivery delays.

That summer, DeJoy limited overtime for postal workers and ended the long-standing practice of allowing late and extra truck deliveries. While these changes helped cut costs, they also caused some mail to be delayed.

In his letter, DeJoy said that he was committed to helping ensure a smooth transition.

Board of Governors Recognizes DeJoy's Work

Chairwoman of the Board of Governors Amber McReynolds acknowledged DeJoy's dedication over the past five years, appreciating his leadership in modernizing the postal service and addressing years of neglect.

She added, "Louis is a fighter, and he has fought hard for the women and men of the postal service and to ensure that the American people have reliable and affordable service for years to come."