A potential government shutdown just before Christmas could disrupt holiday travel, leading to longer airport wait times due to increased TSA staff absences. However, mail deliveries and Social Security payments would continue unaffected, as the Postal Service operates independently and Social Security is a mandatory program. Stock markets may react with short-term volatility, but historically, shutdowns have had minimal lasting effects on equity performance.
A U.S. House committee is set to hold a hearing on the U.S. Postal Service on December 10. The Postal Service has cautioned that it must continue to implement cost-cutting measures to avoid the risk of a government bailout or facing significant operational changes.
The U.S. Postal Service announced the necessity of ongoing cost-cutting measures to address persistent financial losses. Without these actions, the organization risks facing a government bailout or potentially ceasing to operate as it currently does.
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