Trump’s plan to privatize the US Postal Service is just the beginning
Trump is trying to privatise the US postal service.
And, with a Republican in the White House, he’s taking the first steps toward it.
In a bid to save $1.2 trillion, the president plans to privatisation the US Post Office.
The plan, known as Trump’s “Bipartisan Postal Accountability and Enhancement Act”, was announced by the president on Tuesday.
Trump’s plans for postal reform are in line with his other election promises, which have included privatisation of the Veterans Affairs system, the Postal Service, and the Federal Reserve.
The Postal Service and the Department of Veterans Affairs are both under Republican control.
A majority of Congress now backs the plan, according to a USA Today/Gallup poll.
The Trump administration is looking to make a series of moves in the postal sector, according the Washington Post.
Among them, Trump wants to privatising the Postal Services’ core functions, like mail sorting and tracking, as well as the National Archives and Records Administration.
The administration wants to sell off the US’ first two post offices to private interests, and it is also considering a plan to use the money to reduce the federal deficit.
A second White House initiative, the National Rural Electrification Initiative, is also looking to privatises the postal service and other federal agencies.
In addition to privatisations, Trump is also proposing to cut $1 trillion in public spending, according an Axios report.
According to the plan released by the administration, the first phase would see the USPS slash its $50 billion in operating costs and $200 billion in spending.
The second phase would save the USPS an additional $20 billion.
The cuts would come from the Postal Accountability Office, which would be created under the plan.
The US Postal Services would also have to lay off 8 million workers.
The postal service currently has around 8.5 million workers and has a $70 billion annual budget.
A report released by Trump’s transition team last month said the postal services savings would be “significant”.
The USPS currently has about 5.5 billion dollars in debt, and a portion of that amount is owned by the federal government.
The $200 million to $250 million the USPS is seeking to privatised is also a drop in the bucket for the agency.
According the Associated Press, Trump has yet to reveal how he plans to cut spending on the Postal Department.