This week, the American Postal Workers Union (APWU) initiated a national advertising campaign to inform the public about proposed plans to privatize the postal service. The advertisement, titled “Memo,” references a document from Wells Fargo Equity Research sent to investors. It outlines how White House proposals for postal service privatization could result in local Post Office closures, significant price increases for mailing services, and an end to the “Universal Service Obligation” of delivering mail six or seven days a week to 169 million addresses.
“The Wells Fargo memo spells out what is being whispered in Washington,” said APWU President Mark Dimondstein. “Wall Street stands to make huge profits if all or parts of the USPS are sold off, but those who live on Main Street would have less service and higher costs. Those who live in rural areas would be especially hard hit. It also would be devastating to many small businesses, the trillion-dollar ecommerce industry and threaten the ability to vote by mail.”
According to Wells Fargo’s report, a privatized USPS could lead to price hikes between 30% and 140% across its product lines. Many local Post Offices might close, with real estate sold for value extraction.
National Public Radio’s Midwest Newsroom recently aired an investigative piece titled “Privatize or downsize the USPS? Rural customers worry either option will hurt them.” This report highlighted concerns about how privatization could negatively impact rural postal customers.
On Tuesday, David P. Steiner was appointed as the 76th Postmaster General of the United States. Previously serving on FedEx’s board, his appointment has been seen as controversial due to FedEx being a competitor of USPS.
During his first term as President, Donald Trump described USPS as “a joke” and suggested its privatization. In his current term, discussions have continued about both privatizing USPS and transferring it under the Department of Commerce. Before departing from his role in the Trump administration last spring, Elon Musk prioritized postal service privatization.
“The USPS is a national treasure,” Dimondstein stated. “This month marks the 250th anniversary of this vital service. It belongs to the people. The people need to understand what’s at stake and send the message: The U.S. Mail is not for sale.”
