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Is It Time to Privatize the USPS?
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Is It Time to Privatize the USPS?
U.S. Postal Service customers wait in line to mail Christmas presents on December 20, 2004, in Washington, D.C. (Joe Raedle via Getty Images)
If there’s any part of the federal apparatus that could use a dose of radical disruption, it’s the postal service.
By Charles Lane
03.26.25 — U.S. Politics
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Is It Time to Privatize the USPS?
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Here’s an idea: Let’s create a federally sponsored corporation to spend $89.5 billion a year moving stuff—mostly documents made of paper—from place to place. Let’s hire 635,000 people to do it, grant them expensive health and pension benefits such that personnel costs are 80 percent of the total, then make it almost impossible to lay them off.

Let’s keep doing so long after the service has been rendered technologically obsolete, and demand for it has cratered. In fact, let’s keep it up even though recipients have decided that nearly three-fifths of what we deliver to them is “junk” that they discard almost as soon as it arrives.

Insane, you say? Well, what you have just read is an accurate portrayal of the United States Postal Service, which lost $9.5 billion shuffling paper around the country in fiscal year 2024, while Americans sent one another six billion text messages daily. Half the people surveyed in 2021 hadn’t received a personal letter in five years; 14 percent had never received one.

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Charles Lane

Charles Lane was previously an editor and columnist for The Washington Post, where he was a finalist for the 2009 Pulitzer Prize. The author of three books, he has also been a foreign correspondent and editor of the New Republic; his action against a notorious journalistic fraud at that magazine became the subject of the acclaimed 2003 film, Shattered Glass.

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