Congress Approves Social Security Amendment for Teachers, Firefighters

On December 21, 2024By Littum

WASHINGTON – Congress passed a bill early Saturday that would increase Social Security benefits for public employees.

The Social Security Fairness Act would eliminate the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO), which reduce Social Security benefits for certain retirees who also receive retirement income.

Combined, WEP and GPO affect nearly 3 million Americans, including police officers, firefighters, postal workers and elementary school teachers.

The Senate approved the bill by a vote of 70-26 at 12:15 p.m. It was passed by the House in November and now goes to the president’s desk for signature.

The legislation is “a great gift to our retired firefighters, police officers, postal workers, teachers and others who have contributed to Social Security for years but are now being penalized because of their time in public service,” said Senate Majority Leader Chuck Schumer. DN.Y. said Wednesday. “It’s unfair. It’s deeply unfair. It goes against the American ideal of working hard, earning a living and enjoying a well-earned retirement.”

However, some senators who voted against the legislation argued that it would unfairly benefit some workers while increasing the burden on others on Social Security and endangering the Social Security fund.

“Let’s be crystal clear: this bill would increase the inequity in how Social Security benefits are calculated,” Sen. Chuck Grassley, R-Iowa, said in a speech on the Senate floor Friday.

Late. Thom Tillis, RN.C., said Social Security is less than 10 years away from being insolvent, and said this bill will accelerate that.

“This policy solves a challenge with Social Security for a single-digit percentage of people who have a pension,” he said. “It’s something we have to fix, but that’s not the way to fix it.”

The bill will cost $196 billion over the next 10 years, according to estimates by the Congressional Budget Office.

The Windfall Elimination Provision (WEP) reduces Social Security for those earning “non-covered” retirement income from their jobs, which are typically public sector roles that have not contributed Social Security payroll taxes. These workers can lose up to half of the pension amount.

The Government Pension Equalization (GPO) reduces survivors’ or spouse’s benefits when a person’s pension is not covered. The GPO affects fewer people, but it reduces the Social Security benefit by two-thirds of the pension amount. If two-thirds of your public pension is more than your social security benefit, your benefit may be reduced to zero.

The rules were intended to prevent Social Security from overpaying people who worked in non-retirement covered jobs, experts told USA TODAY.

Employees in the public sector have strongly advocated for the Senate to take up the legislation.

“The Social Security Fairness Act rightes a wrong that has been unjust and uncorrected for far too long,” American Federation of Teachers President Randi Weingarten said in a statement. “When you contribute to Social Security, it should be there for you when you retire. Period.”