The U.S. Postal Service (USPS) lost nearly $2 billion in 2018. But that eye-popping number does not capture the full picture. The agency failed to pay $2 billion into its employees’ health care fund, so its real loss this year is $4 billion.
This is not good. Congress designed the Postal Service to be a self-funding entity. Despite having to go through the appropriations process, USPS does not live off taxpayer dollars.
How did the Postal Service find itself perennially running losses? The answer is simple: USPS revenue is too low and its costs are too high…. (Read more)