USPS Has No Reason to Have 630,000 Employees

The U.S. Postal Service (USPS) has 630,000 employees and 34,000 locations. It bills itself as one of America’s largest employers, as if it were Walmart or Amazon. Frankly, it has tens of thousands of workers it does not need and should not have. The USPS is a product of late 20th-century mail and package delivery that currently loses money.

In the most recently reported quarter, USPS revenue was $19.8 billion. Its net loss was $539 million. The room for improvement should come with a decision to have fewer employees and many fewer offices. It is hard to imagine why the number of locations is so large, particularly because so many are in very small towns, with populations sometimes only in the thousands.

This is the year of the layoff, both in the United states and in other developed countries. A coming recession (if it is not already here) has caused even the largest public corporations to cut staff. And many of these have billions of dollars on their balance sheets and could go through several years at current staffing levels.

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However, these companies have decided to pursue margins at the cost of people. That is an unfortunate reality. The USPS needs to follow the lead of corporate America and cut staff before it piles up more losses.

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