Protect Your Social Security: Support Repeal of WEP and GPO
What is the Government Pension Offset (GPO)?
The Government Pension Offset (GPO) reduces public employees’ Social Security spousal or survivor benefits by an amount equal to two-thirds of their public pensions. As a result, the GPO sharply reduces—and in most cases eliminates—the Social Security spousal benefit for workers who receive a public pension, even though their deceased spouse paid Social Security taxes for many years. Some 300,000 individuals lose an average of $3,600 a year due to the GPO—an amount that can make the difference between self-sufficiency in retirement and poverty.
What is the Windfall Elimination Provision (WEP)?
The Windfall Elimination Provision (WEP) changes the formula used to calculate the Social Security benefits earned by retirees who have worked in both the public and private sectors, if a retiree earned a public pension not covered by Social Security and also worked at jobs where they paid Social Security taxes long enough to qualify for retirement or disability benefits. The WEP chips away at the retirement security of hard-working public servants who paid Social Security taxes but still cannot collect benefits they worked hard to earn.
How do the GPO and WEP affect public employees?
GPO and WEP unfairly reduce retirement benefits earned by public employees and their families and deter workers from pursuing a career in public service. The GPO and WEP only affect retirees with public pensions that are not covered by Social Security—private pensions and public pensions covered by Social Security are unaffected by these provisions. The vast majority of retirees who are hurt by these provisions are public sector workers.
How do the GPO and WEP affect women?
Women are disproportionately impacted by GPO/WEP. Women are more likely to temporarily leave the workforce to care for their child or aging parents. While women are away from the workforce, they do not earn wages or accumulate retirement benefits. Over the course of their lifetime, women earn less and accumulate less retirement benefits than their male counterparts. When the GPO/ WEP act to reduce their earned benefits, women retirees may well be forced into poverty.
Which states are primarily impacted by GPO and WEP?
In states where a high proportion of public employees work outside of Social Security, the effects of the GPO/WEP provisions are profound. GPO affects government employees and retirees in every state but the impact is most acute in 15 states: Alaska, California, Colorado, Connecticut, Georgia (in certain local Governments), Illinois, Louisiana, Kentucky (in certain local governments), Maine, Massachusetts, Missouri, Nevada, Ohio, Rhode Island (in certain local governments), and Texas.
Has Congress taken action on this issue?
On September 18, 2007, NAGE leaders met with Senator Kennedy and Senator Kerry in Washington, D.C., to discuss issues and concerns facing public employees. Among those issues were the Government Pension Offset and the Windfall Elimination Provision, two provisions that deny public employees benefits they and their spouses have paid for during their working lives.
Since that September meeting, the union has been working tirelessly to gain support for passage of the “Social Security Fairness Act” H.R. 82 and S. 206, the legislation that calls for a full repeal of these discriminatory provisions. Many members have emailed Senator Kerry to urge him to move this legislation forward.
On November 6, 2007, we attended a hearing of the Senate Subcommittee on Social Security, Pensions and Family Policy. Senator John Kerry is the chair of that committee and had previously stated his support for repealing GPO and WEP.
Following that hearing, thousands of NAGE members sent email messages to Senator Kerry explaining the hardship these unfair provisions cast on our families. Our concerns were voiced to no avail, as this legislation continues to lie dormant, and Senator Kerry continues to dodge inquiries from our leaders.
We are now asking members to send an email to Senator Kennedy asking him to reach out to Senator Kerry to urge him to give appropriate attention to this very important piece of legislation.
Take Action! Send an email message to Senator Kennedy today.
