President Donald Trump has expressed his intention to potentially merge the U.S. Postal Service with the Commerce Department, thereby ending the agency’s independent status and placing it under his administration’s authority. This announcement follows the swearing-in of Howard Lutnick as the new Commerce secretary. Trump is reportedly preparing to issue an executive order to dismiss the postal service’s governing board, a move confirmed by the President himself. The proposed merger aims to improve the Postal Service’s operational efficiency and financial performance, which Trump criticized for incurring significant losses over the years.

However, this plan may face legal challenges as it could violate federal law, according to sources cited in The Washington Post. While The Wall Street Journal also reported on the story, the White House denied any plans for such an executive order. The potential implications of merging the Postal Service with Commerce could include cost-cutting measures that might adversely affect rural areas, such as ending six-day deliveries, post office closures, increased service costs, slower mail delivery, and employee layoffs.

Despite facing financial challenges primarily attributed to pension contributions and workers’ compensation claims, the Postal Service has garnered significant public support, ranking second in favorability among federal agencies. Opposition to the merger has been voiced by Democrats, postal workers, and Senator Gary Peters, who deems any unilateral action by Trump on the Postal Service as illegal and detrimental to various communities. While Trump previously considered privatizing the Postal Service, the idea has been met with skepticism, with concerns raised about its potential negative impact on veterans, small businesses, and rural areas.