The US Postal Service is considering a plan to shed 220,000 workers from its payrolls over the next few years, US media report.
With mail volume dropping fast, the cash-strapped service could let as many as 120,000 workers go by 2015.
Another 100,000 workers will not be replaced, the US postmaster general told Reuters news agency.
The service, which does not take taxpayer funds, suffered a $3.1bn (£1.9bn) net loss last quarter.
"We know that the [mail] volume will continue to drop off from a First Class standpoint, so we've got to do the responsible thing and get ourselves in order," Patrick Donahoe, the postmaster general, told Reuters.
The plan would require congressional approval, the Washington Post reported.
The Postal Service recently announced it was studying plans to close as many as 3,700 post offices in rural areas in a money-saving bid.