Friday, March 7, 2025

You Should Start Worrying About the Raid on Social Security. Now.


Perhaps the most frequently cited quote from President Donald Trump relevant to his purported efforts to root out government waste has been “we’re not touching Social Security,” or variations thereof.

I expressed skepticism about this pledge shortly after the election by listing all the oblique ways the Trump administration could hack away at the program.

It gives me no pleasure to update my observation with the words, “I told you so.”

Among the weapons Trump could wield, I wrote, was starving the program of administrative resources — think money and staff. Sure enough, on Feb. 28 the program, which is currently led by acting Commissioner Leland Dudek, announced plans to reduce the program’s employee base to 50,000 from 57,000.

Its news release about the reduction referred to the program’s “bloated workforce.”

To anyone who knows anything about the Social Security Administration, calling its workforce “bloated” sounds like a sick joke. The truth is that the agency is hopelessly understaffed, and has been for years.

In November, then-Commissioner Martin O’Malley told a House committee that the agency was serving a record number of beneficiaries with staffing that had reached a 50-year low. (...)

Nearly 69 million Americans were receiving benefits as of Dec. 31, according to the agency. That figure encompassed 54.3 million retired workers, their spouses and their children, nearly 6 million survivors of deceased workers and more than 8.3 million disabled workers and their dependents. Agency employment peaked in 2009 at about 67,000, when it served about 55 million people. (...)

Not only beneficiaries could be affected by Trump’s raid on Social Security. About 183 million people pay Social Security taxes on their earnings. Their right to collect what they’re entitled to based on their contributions is dependent on the system recording those payments and calculating their benefits accurately, to the last penny. Any incursion by DOGE into the program’s systems or the scattershot firings that Dudek forecasts puts all that at risk.

In his testimony, O’Malley talked about how the agency had struggled to establish an acceptable level of customer service. In 2023, he said, wait times on the program’s 800 number had ballooned to nearly an hour. Of the average 7 million clients who called the number each month for advice or assistance, 4 million “hung up in frustration after waiting far too long.” The agency had worked the wait down to an average of less than 13 minutes, in part by encouraging customers to wait off the line for a call back.

Disability applicants faced the worst frustrations, O’Malley said. The backlog of disability determinations, which often require multiple rounds of inquiries, hearings and appeals, had reached a near-record 1.2 million. The program estimated that about 30,000 applicants had died in 2023 while awaiting decisions.

O’Malley had asked for a budget increase in fiscal 2025 to add at least 3,000 workers to the customer-service ranks, but it wasn’t approved.

Make no mistake: The starving of Social Security’s administrative resources, which is currently taking place under the guise of ferreting out fraud and waste, is no accident. It’s part of a decades-long Republican project aimed at undermining public confidence in the program.

Back in 1983, for example, the libertarian Cato Institute published an article by Stuart Butler and Peter Germanis calling for a “Leninist” strategy to “prepare the political ground” for privatizing Social Security on behalf of “the banks, insurance companies, and other institutions that will gain from providing such plans to the public.” Political opposition, as it happens, resulted in the death of George W. Bush’s push to privatize Social Security in 2005.

Germanis has since become a fierce critic of conservative economics and politics. Butler, who had spent 35 years at the right-wing Heritage Foundation before joining the Brookings Institution in 2014, told me by email he now advocates a private retirement system as an “add-on” private option rather than an alternative to Social Security. He also said he thinks “cutting staff and the claim that Social Security is rife with fraud and abuse are both ridiculous.” (...)

By the way, the search for waste, fraud and abuse — call it WFA — has a long and discreditable history. Ronald Reagan pledged to ferret out enough WFA to cut the federal budget by more than 6% (sometimes he said 10%). One of his first steps, however, was to fire 15 departmental inspectors general, whose jobs involved finding WFA. Sound familiar? One of Trump’s first orders upon taking office was to fire inspectors-general at 17 federal agencies. (...)

The truth is that Social Security is one of the most efficient agencies in the federal government. Its administrative costs are one-half of one-percent of its total costs, which include benefit payments.

by Michael Hiltzik, LA Times/Seattle Times | Read more:
Image: Wrecking Crew by Thomas Frank via
[ed. Like everything else they're doing to hobble government and make it seem inefficient (which it definitely will be once they're done with it, ripe for privatization). Reposting this image in case anyone missed it. The ultimate wet dream of Republicans and Wall Street.]