WASHINGTON, D.C. – Today, U.S. Rep. Jim Renacci (OH-16) discussed the struggles many Ohioans are experiencing with Social Security at the House Ways and Means Social Security Subcommittee hearing. The hearing focused on Social Security provisions that unfairly reduce the benefits for certain public employees, as well as proposals for calculating public employees’ benefits in a proportional manner. 

Click here or the image above to watch Renacci question the witnesses

Teachers, police officers, firefighters, and other public workers often receive income that is not “covered” by Social Security.  This results in their average lifetime earnings to seem lower for Social Security benefits than they actually are because of all those years when they didn’t pay Social Security taxes.

The Windfall Elimination Provision (WEP) tries to correct this problem, but unfortunately, it is an arbitrary, one-size-fits-all approach that is just unfair for American workers. While WEP may impact every state, the state of Ohio has more than 120,000 people who are subject to the WEP, trailing only behind the significantly larger states of California and Texas. This is due to the state having multiple pension funds that pre-date Social Security and whose members do not have income that contributes to Social Security.

“I hear from Ohioans who have been negatively impacted by this unfair formula. That is why I am proud to support H.R. 711 – legislation that offers a replacement for WEP to treat all workers fairly and provide relief from WEP beginning in 2017.  While efforts have been made both at the state and federal level to better educate individuals impacted by WEP, still many retirees do not realize that they will lose benefits due to WEP until their first benefit check.

“That was the unfortunate case for Thomas from Medina, Ohio. Thomas worked many years starting as a teenager in a variety of jobs that paid into Social Security prior to joining the city of Cleveland police force where he served the community for 27 years. Throughout his time working in public law enforcement, he also worked as a private contractor, paying into Social Security; only to be told he would receive reduced benefits due to WEP once he retired.

“I have also heard from Tina from Brunswick, Ohio who spent more than 20 years working in the private sector before being hired by the Brunswick City School District in 2008. She is planning to retire in the next 5-7 years and is already preparing for the impact that the current WEP formula will have on her retirement,” Renacci said.

Renacci has represented the 16^th district of Ohio since 2011 and sits on the Ways and Means Committee and Budget Committee.

###