Louis DeJoy, the embattled head of the United States Postal Service, stepped down on Monday, March 24, 2025, ending a nearly five-year tenure defined by sweeping reforms, rising tensions, and mounting financial woes. His resignation—effective immediately—comes at a time when the USPS is teetering on the edge of insolvency and facing growing pressure from the Trump administration to privatize or radically overhaul its operations. For the agency’s 640,000 employees and the millions of Americans who rely on its services, the news lands like a gut punch, accompanied by a wave of uncertainty.
While DeJoy had hinted at stepping aside back in February, asking the USPS Board of Governors to begin the search for his successor, the timing of his departure—just one day after nationwide protests erupted against privatization plans—has ignited fresh controversy. In a farewell letter to colleagues, DeJoy described his tenure as a “crowning achievement” and added, “It’s been a hell of a ride.” Deputy Postmaster General Doug Tulino has now stepped in as acting head until a permanent replacement is chosen.
Why DeJoy Stepped Down
DeJoy took over the USPS in June 2020 under Trump’s first term, inheriting an agency already burdened by projected losses of $160 billion over the next decade. His solution came in the form of the “Delivering for America” plan—a 10-year strategy focused on cutting costs, raising postage rates, and slowing certain mail services to stabilize finances. By 2025, the plan had halved the loss forecast to $80 billion, according to The Guardian, and included efforts like rolling out electric mail trucks to modernize the fleet.
But even those gains couldn’t offset the setbacks. The USPS lost $9.5 billion in fiscal year 2024 alone, and workforce morale hit a low point after 8,500 early retirements were approved this month.
The pressure intensified in February 2025, when President Trump floated the idea of merging or privatizing parts of the USPS. Speaking at Commerce Secretary Howard Lutnick’s swearing-in on February 21, Trump called the Postal Service a “tremendous loser” and suggested, “We’re thinking about a merger—it’ll still be the USPS, but better.” Days later, DeJoy signaled cooperation with Elon Musk’s newly created Department of Government Efficiency (DOGE), offering proposals to cut 10,000 more jobs and slash billions in spending. That sparked immediate backlash, culminating in mass protests on March 23, as postal workers from Chicago to D.C. rallied under banners reading “Not for Sale.”
According to TIME, DeJoy clashed with DOGE representatives behind the scenes. He reportedly pushed for targeted help with retail leases and counterfeit stamp issues, but resisted a full-blown privatization. As tensions rose, DeJoy opted to step aside. “Much work remains,” he stated in his resignation, leaving the USPS in the hands of Tulino and a board now scrambling to hire a new chief amid mounting political pressure.
The USPS isn’t just a mail carrier—it’s a lifeline for many communities. In rural areas, the agency plays a critical role in delivering medication, ballots, and essential goods. Businesses also rely heavily on its infrastructure, which processes more than $78 billion in annual operations. Any move toward privatization or a merger with the Commerce Department could jeopardize unprofitable routes and result in significant price hikes.
Union leaders, including American Postal Workers Union (APWU) President Mark Dimondstein, have been vocal in opposition. Speaking at a rally in St. Paul, Dimondstein declared, “This belongs to the people, not billionaires.” Senator Tina Smith called the DOGE initiative a “hostile takeover,” and over 260 coordinated protests echoed similar fears across the country.
Defenders of DeJoy argue that he brought stability to a deeply troubled institution and helped it avoid total collapse. But critics have pointed to slower delivery times, increased worker burnout, and DeJoy’s alignment with Trump’s political goals as evidence of his failure. Reaction online has been split, with one user writing, “Good riddance—privatize it already,” while another commented, “Keep Cain Velasquez locked up, but save the USPS!”
Doug Tulino now takes the helm in an interim capacity, but all eyes are on the USPS Board of Governors as they begin their search for a permanent leader. The APWU and other labor groups are pushing hard for someone who will resist privatization efforts and defend the agency’s universal service mandate. Meanwhile, the Trump administration appears committed to a leaner USPS—even if it means facing legal challenges for sidestepping federal laws that protect its independent status.
Trump has insisted that changes are coming, saying, “It’ll operate better,” but has yet to provide detailed plans. Lawsuits are likely if the administration attempts a privatization scheme without congressional approval, and legal scholars are already debating what steps the executive branch can legally take.
The End of an Era—Or the Beginning of One?
DeJoy’s departure marks the end of one of the most contentious periods in USPS history. For his supporters, he was a necessary reformer who kept the agency afloat. For his detractors, he was a political appointee who undermined a national institution. Either way, his resignation signals a new chapter for the Postal Service—one that could determine whether it remains a public service or evolves into something very different.
For now, workers, customers, and communities across the U.S. are left waiting, watching, and wondering what comes next.