Biden Signs Landmark Bill to Boost Social Security for Public Servants

President Joe Biden has signed a measure into law to increase Social Security payments for public employees, affecting nearly 3 million retirees. The law addresses unfair benefit reductions but may strain Social Security Trust Funds. The Congressional Budget Office predicts significant monetary boosts for affected beneficiaries by 2025.

In a landmark decision, President Joe Biden has signed a new law set to enhance Social Security payments for up to 3 million public service retirees, including teachers, firefighters, and police officers. The legislation aims to rectify long-standing inequities in benefit calculations.

The Social Security Fairness Act removes the Windfall Elimination Provision and Government Pension Offset, which previously curtailed benefits for those receiving pensions from state or local public retirement systems. The Congressional Budget Office estimates these changes will notably increase payments by December 2025.

While hailed by many as a historic victory for public service workers, the new law places additional pressures on the already strained Social Security Trust Funds, pushing its insolvency date closer by half a year. Debate remains among lawmakers about the sustainability and long-term impact of these adjustments.

(With inputs from agencies.)