“The major trends in our business continue,” he says.
USPS recorded $19.7 billion in total revenue, but operating expenses were $21.2 billion, leaving the organization with a net loss of $1.5 billion.
Several factors contributed to the loss, including continued increases in retiree health costs; higher transportation costs; salaries and benefits, which were affected by inflation; and declining First-Class Mail volume.
Corbett reports the Postal Service is taking steps to manage its business, including growing package deliveries, upgrading mail and package sorting equipment, matching hours to workload, and working to increase Marketing Mail.
Additionally, USPS is continuing to promote Informed Delivery, which Corbett calls “one of our most important enhancements to mail.”
He adds that three things are needed to improve the organization’s long-term financial stability: legislative postal reform, a better pricing system and continued efforts to innovate and improve efficiency.
“With these changes, we can put the Postal Service back on solid financial footing,” Corbett says.