The day after the House passed a bill to repeal the Postal Service’s mandate to pre-fund health care benefits for future retirees, USPS leadership see the legislation as a positive step in the long road to overhauling its business model and its financial outlook.
While the Postal Service saw its “best holiday peak period in recent history,” according to Robert Duncan, the chair of its Board of Governors, USPS still posted a net loss of $748 million in the first quarter of fiscal 2020. However, that net loss is about half of the $1.5 billion net loss the agency reported for the same period last year.
Had Congress already passed the USPS Fairness Act into law, USPS Chief Financial Officer Joe Corbett said it would have improved the agency’s fortunes by about $1.2 billion this quarter.
“We’re very nearly breaking even, were it not for pre-funding,” said Governor David Williams.