United States Postal Services Postmaster General Patrick Donahoe announced that he will retire from his position amid a troublesome situation for the USPS with losses over $5 billion and ongoing debate with Congress over cost-cutting efforts.
Donahoe will be replaced by agency veteran Megan Brenan on Feb. 1, the agency's fist female postmaster general.
"We have grown our revenue for two years in a row, primarily through growth in our package business and price changes," Donahue said Friday. "While we still have major issues to resolve with regard to our business model and legislative constraints, our message today is about momentum and progress."
Protesters rallied outside during the board meeting the agency's headquarters, expressing their dismay over post office closures.
Donahoe's retirement came as the agency is facing optimistic $569 million increase in revenue in the latest fiscal year that ended Sept.30.
However, the U.S. Postal Services also faced monumental losses of $5.5 billion.
Meanwhile, Donahoe, who spent almost four decades in the U.S. Postal Services and started as a clerk, was assigned postmaster general back when the agency was still burdened by a serious financial crisis. He led a restructuring plan in an attempt to address the sharp declines in the volume of first-class mail. He admitted that "there's still more to be done" in order to improve service to customers.
"Pat was the calm in the financial storm. He ignored the naysayers and went forward with his team and built a comprehensive plan for the future of the organization, made tough decisions and executed against those decisions," said Mickey D. Barnett, chairman of the Board of Postal Governors. "That's a testament to the great team he built and his own personal leadership."
On the other hand, incoming postmaster general Brennan was grateful for being given the opportunity, deeming it as an "honor of a lifetime."
