Opening Pandora’s Box in 2022: Out pop WEP and GPO

Many people are either angry at benefits denied, or angry that Congress is considering repeal or modification of WEP and Offset. While that’s a very long shot...

To the ancient Greeks, opening Pandora’s box meant unleashing all kinds of pesky-to-fatal ailments and curses on mankind. If such a container existed and was opened now, many older federal and public employees would swear it was unleashed by Congress in the 80s to, in their view, unfairly reduce or wipe out Social Security benefits they earned for themselves or a surviving spouse. The two changes, known as WEP and Offset to backers who say they prevented a ripoff of Social Security benefits, or as “The Evil Twins” to millions of aging federal and public retirees and their spouses who have been denied owed benefits for decades.

Most of those impacted are retired federal and public employees whose government jobs weren’t then covered by Social Security. But many earned entitlement to Social Security by working under a covered private sector job before, during or after federal service. At the time, backers of WEP and Offset claimed some feds were “gaming” the system either by working in low-wage jobs to earn minimum Social Security eligibility and benefits or friend-hiring-friend to get coverage. Whether that was correct and widespread or overblown political hype to win votes, the two became law. The two laws were intentionally designed to reduce the benefit they got for shorter service under a Social Security covered job. For many of their survivors the laws drastically reduced or wiped out their spousal benefit.

The pro and con camps each firmly believe their positions are correct. Over the years the feud between them has only intensified as the impacted population gets older and, in many cases, harder-pressed financially.

Critics of the two laws, the Windfall Elimination Provision and the Government Pension Offset, call them the Evil Twins. Just the thought of them enrages millions of retired public employees or their surviving spouses. They said it has denied million of dollars in earned benefits to public employees who were covered by Social Security for only part of their careers. Calling them windfall and offset provisions only fans the flames for those denied some or all Social Security benefits they feel they’ve earned and paid for. Over the years, the amount of money they say they’ve earned but were denied has grown astronomically. Explaining them is like a dental visit sans painkillers.

Backers of WEP and Offset say the two 1980s laws plugged loopholes that allowed some feds under the old CSRS retirement program to take advantage of what some politicians called the “welfare tilt,” which gives proportionately larger benefits to persons with lower earnings or who worked only the minimum time in non-government jobs covered by Social Security.

While confusing to outsiders, people on both sides of the issues are deadly serious. Either angry at benefits denied, or angry that Congress is considering repeal or modification of WEP and Offset. While that’s a very long shot, the fact that it is possible has both sides on guard. And itching for a fight. And I have the editorial scars to prove it. Earlier this month I did a column: War on Social Security’s WEP/OFF rule: No end in sight. That prompted lots of responses from the other side: People who say they remember why Congress approved them. One was written by a janitor-to-high-level federal official, former Marine and long-time civil servant who said the laws were necessary and should not be repealed. But, maybe like the War of the Roses or the Chicago Cubs v. White Sox feud, this one isn’t going away because one side convinced the other of the wisdom and fairness of their argument.  Especially if it appears Congress may act on changes in the law this year.

Meantime here’s a counter-response from a retiree who is definitely NOT a fan of WEP and GPO. Or of any of its defenders, including the official cited in the evil-twins-not-so-bad column:

“I was certainly glad that the man that cleaned out toilets became a millionaire but for him to say that he was glad that WEP became law is absolutely crazy. I worked 37 years at Social Security in Woodlawn, Maryland, and while it’s true I have a great pension, the law [WEP] passed by President Reagan in 1984 is one of the unfairest laws ever passed that has hurt the working man. Because of my work ethic and commitment to my family I worked part time jobs to make life a little easier for everybody. In doing so I earned my 40 quarters of coverage to collect Social Security. However when they took out deductions for my earnings they taxed my FICA at the full amount. Now when it came time to collect my social security they penalized me 65% on the amount I received. Now, if anybody can tell me that the law passed that allowed that to happen is fair, then I will eat my hat. That law was passed to eliminate so called double dipping. I sincerely wish somebody, anybody can explain to me how that is double dipping. I paid into my federal pension at 7% every payday and paid into FICA at the full amount. That law has hurt the working man now for over 38 years with nobody really caring to change it.” – Robert Lancione

Nearly Useless Factoid

By David Thornton

The interior temperature of NASCAR cars during a race can reach as high as 170 degrees, and drivers can lose 5-10 lbs. of sweat in a race.

Source: CNN.com

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