Friday, February 28, 2025

SSA to Cut 7,000 Jobs



The Social Security Administration (SSA) plans to cut approximately 7,000 Jobs to Align with an Executive Order from Trump (R) to broadly Slash the Federal Workforce, which sends about 73 million Retired and Disabled Beneficiaries more than $126 billion each month. Thats from its 57,000 Member Work Force.

The Agency will also Shut Six Regional Offices, which Coordinate and Provide Support to Workers on the Front Lines who serve Beneficiaries, bringing the Total Count to Four: in the Northeast, Southeast, Midwest/West Region and Southwest. The Agency said the Reductions would Focus on Functions and Employees “who do not directly provide mission critical services.”

Those who do Work with Beneficiaries Hold Positions in Field Offices, Disability Hearing Offices and Payment Centers and support its Toll-Free Customer Service Line.

Amid the Cuts, Two Dozen Senior Staff Members have announced their Departures, according to a Memo issued Friday from Leland C. Dudek (R), the Social Security Administration’s Acting Commissioner. He took the reins after Michelle King, the previous Acting Commissioner, left abruptly after Refusing to give People Working on the Government’s Cost-Cutting Initiative Access to Closely held Data.

“I have never seen so many senior executives leave the Social Security Administration at one time,” said Jason Fichtner, who has served in several Positions at the Agency, including Deputy Commissioner and Chief Economist. “Coming so soon after the resignation of acting Commissioner Michelle King, this is evidence that the agency is in turmoil and needs an experienced leader to take control.”

Democrats in Congress were quick to Criticize the Agency’s Staff Reductions, and said it was inevitable that Customer Service would be Harmed.

Senator Patty Murray (D-WA) and Vice Chair of the Senate Appropriations Committee, said Customer Service Operations had long had Historically Low Staffing Levels and inadequate Discretionary Funding, pointing to 30-minute Wait times when Beneficiaries call the Toll-Free Number, which receives 80 million Calls Annually. That is on Top of 57 Million Calls and 30 Million Visits to its 1,200 Field Offices, according to Her Office.

The Programs has faced a Financing Shortfall for years, partly because of Demographic Shifts. Falling Birthrates mean fewer People are Ppaying into the Program, Thousands of Baby Doomers are Retiring Daily, and Retirees are Lliving Longer and Collecting Benefits for Llonger periods. In addition, because of Income Inequality, a Larger Share of the Country’s Income Base is Not subject to the Tax compared with Years past. This is because an ever-growing Share of High Earners’ Iincome is Not subject to Payroll Taxes.

The Trust Fund that Ppays Social Security’s Retiree Benefits is expected to Run Dry in 2033, when Tax Revenue will be enough to Pay 79% of Scheduled Benefits. That means Beneficiaries’ Checks would be Reduced by 21% if Congress does Not Intervene. Several of Trump’s Policy Initiatives are expected to Worsen that Shortfall.










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