USPS Restructuring and Nationwide Protests: Can Public Service Survive Privatization?

USPS Restructuring Sparks Nationwide Protests in the U.S.

 
 


✉️ 1. Background and Plan of USPS Restructuring

📌 1-1. Financial Crisis and the Need for Reform
The United States Postal Service (USPS) is facing an unprecedented financial crisis, recording a net loss of $9 billion in the most recent fiscal year. This is largely attributed to the decline in mail volume due to the digital era.
While USPS handled 213 billion pieces of mail in 2006, that number is expected to drop to under 170 billion by 2025.

Faced with this reality, USPS has launched a large-scale reform plan described as “painful as cutting off our own limbs.”

 

📌 1-2. Key Restructuring Measures

  • Mass Asset Sales: Over $140 million in post office assets have already been sold, with 250 processing centers and 3,700 branches slated for closure

  • Workforce Reductions: Approximately 120,000 employees are expected to be laid off

  • Service Cuts: Elimination of Saturday deliveries and extended delivery times for first-class mail

  • Reorganization Model Review:

    1. Maintain as a government agency

    2. Transition to a privatized corporation

    3. Become a commercial government enterprise (USPS's preferred option)

USPS supports the third model, combining public accountability with commercial efficiency.

 
 


2. The Spread and Nature of Protests

📌 2-1. Major Protest Events

  • August 25, 2020: Protesters gathered outside the Bicentennial Post Office in Los Angeles demanding increased federal funding

  • 2021: Demonstrations in Washington, D.C., with over 20 state attorneys general announcing legal action

  • October 2023: National Association of Letter Carriers (NALC) held nationwide protests calling for postal worker protection

  • March 20, 2025: American Postal Workers Union (APWU) organized a “National Day of Action” opposing hostile takeover efforts

📌 2-2. Key Organizers and Demands

  • APWU: Campaigning under “US Mail Not For Sale,” APWU opposes privatization and mass layoffs

  • NALC: Leading protests against leadership cuts and deregulation threatening postal workers and universal service

Their demands include:

  • Preserve USPS as a public service

  • Maintain the Universal Service Obligation (USO)

  • Withdraw plans for mass layoffs

  • Uphold USPS independence and federal oversight

 
 


⚖️ 3. Key Issues in the Restructuring Debate

📌 3-1. Privatization vs. Public Service
Opponents of privatization argue that USPS is a cornerstone of democracy and a vital public good. They warn that privatization could result in higher costs, lower service quality, and regional inequality.
Proponents emphasize operational inefficiencies and ongoing deficits, urging structural reform for long-term sustainability.

📌 3-2. USPS in the Digital Age
Declining mail volume challenges USPS’s relevance. APWU proposes expanding services (e.g., postal banking), improving pension investment strategies, and modernizing its business model.

📌 3-3. Economic and Social Impact
Restructuring threatens the livelihood of 500,000 workers. Rural and underserved communities may face service cutoffs, exacerbating digital and economic divides.

 
 


✅ Conclusion: A Balance Between Public Value and Efficiency

USPS restructuring represents more than administrative reform — it raises critical questions about the future of public services in a digital society, labor rights, and the role of government.

Successful reform will depend on three pillars:

  • Financial sustainability

  • Preservation and expansion of public service

  • Development of new revenue models

Union and civic resistance serve as a democratic check, ensuring reforms don't lean too far toward austerity.
As Senator Susan Collins of Maine said, “Cutting services won’t attract more business.” The path forward for USPS must prioritize a balanced approach between restructuring and preserving public utility.

 

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