The U.S. Postal Service reported a drop in its parcel volume for the first time in nine years during its third quarter, as major customers like Amazon continue to shift business away from the USPS and take on some of the deliveries themselves. However parcel revenue was up thanks to rate increases and a DIM adjustment this year.
Postmaster General Megan Brennan told the House Oversight and Reform Committee that the USPS will run out of cash by 2024 if reforms are not enacted. Brennan also proposed saving billions by cutting back mail delivery to five days a week and increasing package delivery to seven days, which it already does for Amazon.
A Senate hearing on a task force report recommending U.S. Postal Service reforms, scheduled for Sept. 5, has been postponed as President Donald Trump is delaying release of the report. No new date has been set, indefinitely postponing any legislative action, including possible raising of postal rates or even privatization.