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The President of the United States, Joe Biden, approved a law that will increase pensions for approximately three million former public employees.
Biden eliminated two federal regulations that had been in place for 40 years, which restricted Social Security benefits for former officials if they received pensions from other sources, including public retirement programs from state or local governments.
On Sunday, the president signed the Social Security Equity Act, which assists individuals who have worked in public service, primarily police officers, teachers, and firefighters, among other professions.
"Today I signed a law that expands Social Security benefits for millions of teachers, firefighters, nurses, police officers, and other public employees, as well as their spouses and survivors. This is a great agreement," he stated at an event at the White House.
The Democratic leader recalled that many retired public sector Americans have to return to work to make ends meet, and revealed that the new law represents an average monthly increase of about $360 for beneficiaries.
"I am proud to be the first president in over 20 years to expand the benefits of Social Security. Workers who have devoted their lives to their communities deserve to retire with dignity and economic security," he emphasized.
The Equity in Social Security Act was approved in December by Congress with the consensus of both parties.
The change applies to payments starting from January 2024 onwards, meaning that the Social Security Administration will need to make retroactive payments.
According to América TeVe, activists defending the new provision are concerned about the pressure it will place on the Social Security Trust Funds, whose reserves face an uncertain future. Currently, about 72.5 million people, including retirees, individuals with disabilities, and children, receive Social Security benefits.
Additionally, the new measure will bring more administrative work to the Social Security Administration, which currently has its lowest level of staff in the past 50 years, and paradoxically serves more people than ever.
Frequently Asked Questions about Pension Increases for Former Public Employees in the U.S.
Who will benefit from the pension increase approved by Biden?
The increase in pensions will benefit about three million former public employees, including teachers, firefighters, nurses, police officers, and other public service workers, along with their spouses and survivors. President Biden signed the Social Security Equity Act to expand these benefits.
How much will the pensions of former public employees increase?
The new law will mean an average monthly increase of about 360 dollars for beneficiaries. This increase is significant, as many public sector retirees face financial difficulties and need to work to make ends meet.
When will the pension increase for former public employees take effect?
The increase in pensions will take effect starting January 2024, and the Social Security Administration will need to make retroactive payments. This means that beneficiaries will receive the pending increases from the beginning of the year.
What challenges does the implementation of this new pension law face?
The implementation of the new pension law faces significant challenges, such as pressure on the Social Security Trust Funds and the increased administrative workload for the Social Security Administration, which currently has its lowest staffing levels in 50 years. These factors could complicate the management and sustainability of the pension increases.
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