Approximately 3 million former teachers, police officers, firefighters, and civil servants will see their Social Security benefits restored thanks to a recently passed bill. This legislation, known as the Social Security Fairness Act, reverses rules from the 1980s that reduced benefits for public employees also receiving state pensions. It addresses the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO), two regulations that have long been criticized by law enforcement groups and public sector unions.
The act garnered significant bipartisan support, passing with overwhelming majorities in both the House and Senate before being sent to President Biden for his signature. Proponents argue this corrects a long-standing injustice for public servants who have contributed to both public pension systems and Social Security.
Mick McHale, president of the National Association of Police Organizations, celebrated the bill's passage, emphasizing that it rectifies a 40-year-old penalty affecting public safety professionals and others. The WEP, designed to prevent "double-dipping," reduced Social Security benefits for individuals with public pensions who also worked in the private sector. The GPO, similarly, adjusted spousal benefits to account for income from public pensions.
While the bill has been widely praised, critics like Senator Mike Lee (R-Utah) voiced concerns about its financial impact. The Congressional Budget Office projects the legislation will add $196 billion to the federal deficit over the next decade. Lee argued the bill unfairly burdens the majority of workers who solely contribute to Social Security to subsidize a smaller percentage who also benefit from non-covered pensions.
Despite this opposition, the bill enjoyed broad support in Congress. McHale underscored the recognition by lawmakers of the unfairness imposed on those who had earned Social Security benefits through their service. He acknowledged that many retirees continue working in other sectors that contribute to Social Security, but stressed that the penalty applied during their public service careers was unjust.
