Truthout recently highlighted a report by the Revolving Door Project which shows major banks supporting the idea of privatizing the United States Postal Service. According to the analysis, Wells Fargo equity analysts have circulated a document among banking professionals. This document argues for the benefits investors could reap from postal privatization by selling profitable segments such as packages and parcels while leaving the government to manage the less profitable areas.
The Postal Service generates nearly $80 billion annually, a significant amount currently inaccessible to Wall Street investors. Privatization could result in price hikes, potentially doubling current rates, and cause mass layoffs. This change could drastically affect the unionized workforce, which makes up 91 percent of the service’s 640,000 employees.
Mark Dimondstein, President of the American Postal Workers Union (APWU), remarked on the report by stating, “We know that privatized postal services will lead to higher postage prices, and lower service quality to the public.”
The complete Wells Fargo report and the Truthout article are available through specified links.
