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Call for action

USPS needs legislation now, PMG tells Senate

PMG Megan J. Brennan testified before a Senate committee Jan. 21.

PMG Megan J. Brennan told congressional leaders Jan. 21 that the Postal Service “[needs] legislation now.”

Brennan said USPS has streamlined operations, restructured networks, improved productivity for six consecutive years, grown its package business and stabilized its mail business, but without legislative reform, the organization’s losses will continue.

“Our financial challenges are serious, but they can be solved,” the PMG said at a hearing of the Senate Homeland Security and Governmental Affairs Committee, which oversees postal matters.

After months of listening to its stakeholders, identifying their concerns and educating them about the Postal Service’s needs, the PMG said the organization has identified several key areas where Congress could help.

For example, USPS wants Congress to require Medicare integration for all postal retiree health plans.

This would save the Postal Service money and reduce costs for employees and retirees while providing them with the same or better health coverage.

USPS also wants more flexibility to offer new products and services.

Additionally, the organization wants to continue the “exigent” surcharge in effect since 2014 and use postal-specific assumptions to calculate pension liabilities.

The PMG said enacting these provisions would save the Postal Service $27 billion during the next five years and allow the organization to “continue to provide affordable, reliable and secure delivery service.”

Brennan’s written testimony is available in the online newsroom.

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