Tuesday, March 08, 2005

Top 10 Reasons to Reject Social Security Privatization

From the AFL-CIO....There are 1,000 reasons to convince Congress to sign the pledge. Here are just 10:

10 Reasons to Stop Social Security Privatization
1. Privatization would slash guaranteed benefits by 40 percent even for workers who DON'T choose private accounts. The average young worker would lose $152,000 in retirement benefits. (The Century Foundation, Center on Budget and Policy Priorities, Center for Economic and Policy Research)

2. The government would take back 70 cents in retirement benefits for every $1 in a private account. And that's on top of the 40 percent benefit cut. (Center on Budget and Policy Priorities)

3. Privatization would weaken Social Security by diverting money from the Trust Fund to pay for private accounts. That would make our retirement security problems WORSE.

4. Privatization would explode the federal deficit—forcing the government to borrow some $4.9 trillion in just the first 20 years—mostly from foreign countries such as China and Japan. (Center on Budget and Policy Priorities)

5. Privatization would leave retirees in poverty. Taxpayers and family members would have to provide them with the help that now comes from Social Security's guaranteed benefits.

6. Privatization would open Social Security up to corruption, waste and Enron-ization because politicians would decide which Wall Street firms make billions in inflated fees off our private accounts. You wouldn't control your private account—someone on Wall Street would.

7. Privatization could raise the retirement age. Do YOU want to work until you're 70?

8. Privatization threatens benefits for people with disabilities and survivors of workers who have died. Today, Social Security is a lifeline for 7.8 million people with disabilities and 7.5 million survivors. (Social Security Administration)

9. We can strengthen Social Security without slashing guaranteed retirement benefits. Congress should pay back the money it borrowed from Social Security before even thinking about cutting our benefits, for example.

10. We can convince Congress to stop privatization in its tracks. Every day we see news reports that even Republicans in Congress have grave concerns about privatization. Members of Congress are waiting to hear from you that privatizing Social Security is the wrong way to go.

Please don't wait—act now by urging Congress to pledge to stop privatization and to protect Social Security.

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