George Bush and Republican leaders have made phasing out Social Security through privatization and massive benefit cuts their top priority for 2005. Members of Congress are choosing sides over the next couple of weeks.
We need to make sure they choose correctly now—before a massive election-style campaign by George Bush and the Wall Street interests gets to them including what might be a $100 million TV ad campaign.
MoveOn’s trying to gather 200,000 signatures to present to lawmakers when they return after the inauguration. You can sign the petition now at:
Social Security is a complicated issue, but the basics are really pretty simple:
° Social Security provides monthly benefits to some 44 million Americans who are retired, disabled or the survivor of a deceased parent. It provides most of the income for older Americans--some 64 percent of their support. It has lifted generations of seniors out of poverty.
° Social Security is not in crisis. That is an outright lie perpetrated in order to create the urgency for radical changes. Under conservative forecasts, the long-term challenges in Social Security do not manifest themselves until 2042. Even then Social Security has 70 percent of needed funds. That shortfall is smaller than the amount needed in 1983, the last time we overhauled Social Security. George Bush's Social Security crisis-talk is an effort to create a specter of doom -- just like the weapons of mass destruction claim in Iraq.
° Phasing out Social Security and replacing it with privatized accounts means one thing: massive cuts in monthly benefits for everybody. Social Security privatization requires diverting taxes used to pay current benefits into privatized accounts invested in risky stocks. Without that money Social Security benefits will inevitably be cut -- some proposals even cut benefits of current retirees. These benefit cuts are inevitable, since diverting Social Security money into privatized accounts means less money to pay current and future benefits.
° Every serious privatization proposal raises the Social Security retirement age to 70. That might be fine if you're a Washington special interest lobbyist but it is incredibly unfair to blue-collar Americans with tough, physical jobs, or for African Americans and Latinos with lower life expectancies.
° Privatization means gambling with your retirement security. There is probably an appropriate place for a little stock market risk in retirement planning -- but it isn't Social Security. Privatization exposes your entire retirement portfolio to stock market risks -- and the risk that you'll outlive any of your savings at retirement. You can't outlive your Social Security benefit.
° So who does benefit? Wall Street. Giant financial services firms have been salivating for decades over the prospect of taking over Social Security. Wall Street would make billions of dollars in profit by managing the privatized accounts -- money that would come directly from your benefits.
° Action is urgently needed today. President Bush and Republican leaders in Congress are joining forces with the financial services industry for a major campaign to convince the public there is a major crisis and pressure members of Congress to vote for privatization. Action is needed now before it is too late. Please sign MoveOn’s petition to protect Social Security at the link below.