USPS signs agreement with DOGE, agrees to cut 10,000 workers: ‘Broken business model’

The US Postal Service has signed an agreement with Elon Musk’s Department of Government Efficiency to cut 10,000 workers and billions of dollars from the US Postal Service budget.

Postmaster General Louis DeJoy testifies before a House Oversight and Reform Committee hearing on the Postal Service on Capitol Hill, Monday, Aug. 24, 2020, in Washington. (Tom Brenner/Pool via AP)

USPS listed such issues as mismanagement of the agency's retirement assets and Workers' Compensation Program, as well as an array of regulatory requirements that the letter described as "restricting normal business practice."

"This is an effort aligned with our efforts, as while we have accomplished a great deal, there is much more to be done," DeJoy wrote.

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Critics of the agreement fear negative effects of the cuts will be felt across America. Democratic U.S. Rep. Gerald Connolly, of Virginia, who was sent the letter, said turning over the Postal Service to DOGE would result in it being undermined and privatized.

Elon Musk met with members of the Senate DOGE caucus at the White House. (Getty Images)

The service plans to cut 10,000 employees in the next 30 days through a voluntary early retirement program, according to the letter.

The agency previously announced plans to cut its operating costs by more than $3.5 billion annually. And this isn't the first time thousands of employees have been cut. In 2021, the agency cut 30,000 workers.

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As the service that has operated as an independent entity since 1970 has struggled to balance the books with the decline of first-class mail, it has fought calls from President Donald Trump and others that it be privatized. 

Last month, Trump said he may put USPS under the control of the Commerce Department in what would be an executive branch takeover.

Fox News Digital's Jessica Sonkin and The Associated Press contributed to this report.

Bradford Betz is a Fox News Digital breaking reporter covering crime, political issues, and much more. 

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