Bill to eliminate Social Security reductions impacting firefighters advances to a vote

WASHINGTON — Active-duty first responders may have never heard of the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO) in the tax code, but retirees very likely have. What are they and why should firefighters care? Some key points:

• The WEP can reduce Social Security benefits for firefighters who receive a pension from work not covered by Social Security. Many firefighters work for local governments that don’t participate in Social Security, so when they retire, their benefits from other covered employment may be reduced by the WEP.
• The GPO can affect firefighters’ spouses or widow(er)s. If a firefighter receives a pension from a job not covered by Social Security, the GPO may reduce or eliminate any spousal or survivor benefits their spouse or widow(er) would otherwise receive.
• The provisions only apply to firefighters who receive pensions from jobs not covered by Social Security. Firefighters who have always worked in positions where they paid into Social Security are not impacted by the WEP or GPO.
• The WEP can reduce a firefighter’s Social Security benefit by up to half of their non-covered pension amount, but it’s capped at a maximum reduction. For 2024, the maximum monthly reduction is $560 for workers first eligible for Social Security at age 62.

Now, almost two years after a second bill to address the issue was introduced, and nearly as long since a committee held a hearing but merely two months before an election, enough members of the U.S. House have signed onto a discharge petition to force a floor vote on the Social Security Fairness Act, a bipartisan bill co-sponsored by two retiring members – U.S. Representatives Abigail Spanberger (D-Va.) and Garret Graves (R-La.).

“Millions of public servants across our country – police officers, firefighters, federal, state, and local government employees, and educators – have waited more than 40 years for Congress to address this basic issue of fairness,” Spanberger and Graves stated in a joint press release. “We have worked together for years to build a broad bipartisan coalition behind our effort and encourage House leadership to stand up for these Americans who serve our communities and keep our country strong. Our colleagues – both Republicans and Democrats – understand that the time is now to remove the penalties that reduce or eliminate the earned Social Security benefits of Americans who dedicated much of their careers to public service. Members on both sides of the aisle understand that every American deserves their full retirement benefits – just like everyone else who paid into the system. Momentum is building, and we will continue working to get this done.”

Baltimore Fire Officers IAFF Local 964 President Josh Fannon added: “We believe that theft is immoral and that it’s prohibited under the law. But it’s not prohibited under the WEP and the GPO. Those provisions say that it’s OK to steal from our retirees.”

Freshman Rep. Mike Garcia (R-Calif.) welcomed the effort to “effectively kill this prehistoric and what is otherwise a dinosaur policy that we should have repealed a long time ago.”

Spanberger underscored, “millions of Americans who are unjustly penalized deserve this vote.”

What’s the practical effect in the House of a discharge petition to bypass committee? The House can vote after a short period of time on the measure. The sudden rush to correct a 40-year-old problem for public servants in the House will still face a traditionally slower Senate.

Read more about the decades-old provisions – WEP and GPO.