US President Donald Trump stated Friday that he will not approve a $10bn mortgage for the US Postal Service except the company raises expenses for Amazon and different huge shippers to 4 to 5 occasions present charges.
“The Postal Service is a joke as a result of they’re handing out packages for Amazon and different web firms and each time they create a bundle, they lose cash on it,” Trump instructed reporters within the Oval Workplace.
The president was responding to a query about studies that his administration plans to pressure main modifications in postal operations as the worth for approving a $10bn mortgage that was included within the authorities’s $2 trillion financial rescue bundle.
Underneath the rescue bundle laws, Treasury Secretary Steven Mnuchin should approve the mortgage earlier than the Postal Service can obtain the cash. Officers on the Postal Service had no speedy response to Trump’s feedback.
Trump stated the modifications the administration will insist on will make it a “complete new ball sport” on the Postal Service. He stated the Postal Service didn’t wish to make the modifications as a result of they didn’t wish to offend Amazon and different firms.
Mnuchin, who was with him within the Oval Workplace, the president stated, “If they do not increase the worth of the service they provide … I am not signing something and I am not authorising you to do something.”
Mnuchin instructed reporters that he had Treasury officers working with the Postal Service on the phrases of the mortgage if postal officers determine they want extra money.
“We’re going to submit sure standards for [a] postal reform programme as a part of the mortgage,” Mnuchin stated. He stated the Postal Service board is already conducting a seek for a brand new postmaster common to run the company and enterprise reforms of operations.
The Washington Submit, which first reported the administration’s push for modifications on the Postal Service, quoted unnamed officers as saying that senior Postal Service officers have been instructed the administration needs to make use of the $10bn mortgage as leverage to affect how a lot the company expenses for delivering packages and the way it manages its funds.
Trump has complained for years that the Postal Service was being exploited by Amazon and different shippers and that was the explanation the company was dropping a lot cash.
He tweeted later Friday, nevertheless, that we can’t let the Submit Workplace fail.
“It has been mismanaged for years, particularly for the reason that introduction of the web and modern-day know-how,” Trump stated in a tweet. “The people who work there are nice, and we will preserve them completely happy, wholesome, and properly!”