Berkeley CSUA MOTD:Entry 37526
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2025/07/08 [General] UID:1000 Activity:popular
7/8     

2005/5/5 [Politics/Domestic/SocialSecurity] UID:37526 Activity:nil
5/5     http://www.cnn.com/2005/POLITICS/05/04/social.security.ap
        If GWB cuts social security for the middle and upper-middle class,
        then doesn't it simply mean SS = welfare system for the old people?
        Second question. If we can invest in private accounts, can we invest
        in foreign stock market?                        -SS dumb guy
2025/07/08 [General] UID:1000 Activity:popular
7/8     

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www.cnn.com/2005/POLITICS/05/04/social.security.ap -> www.cnn.com/2005/POLITICS/05/04/social.security.ap/
WASHINGTON (AP) -- The Labor Department cautioned organized labor in a le tter made public Wednesday not to use money from pension funds to lobby against President Bush's proposal to overhaul Social Security. "The department is very concerned about the potential use of plan assets to promote particular policy positions," Alan D Lebowitz, a department official, wrote AFL-CIO's top lawyer. In the letter to Jonathan P Hiatt, AFL-CIO's general counsel, Lebowitz a lso wrote that officials charged with administering multi-state pension funds must not hire or fire service providers primarily on the basis of their positions on Social Security legislation. Damon Silvers, an AFL-CIO lawyer, declined comment on the portion of the letter relating to what he termed "participant education." As for hiring decisions about investment companies, he said, "we have no problem" with the letter. He said the AFL-CIO has considered a company's position on Social Security as a "collateral issue," and not as the sol e or primary basis for a decision. John Boehner of Ohio and Sam Joh nson of Texas requested an investigation. They cited media reports "indi cating that organized labor has engaged in concerted activity to pressur e financial firms and brokerage interests to withdraw their support of t he president's proposal to reform Social Security." The Labor Department letter to the AFL-CIO marked a political turnabout o f sorts. Democrats have complained for months that the White House has i mproperly used the Social Security Administration itself to lobby on beh alf of Bush's proposals. Last month, the AFL-CIO trumpeted success in persuading one financial ser vices company, Waddell & Reed, to drop its membership in the Alliance fo r Worker Retirement Security, a group lobbying for personal accounts. Th e announcement came a day before the labor federation planned a demonstr ation at the firm's headquarters outside Kansas City, Mo Organized labor opposes Bush's call for Social Security solvency legislat ion that would allow younger workers to divert a portion of their payrol l taxes into personal accounts. Democrats also are strongly opposed, and congressional Republicans are mo ving slowly, fearful of potential political repercussions. Bill Thomas, R-California, chairman of the House Ways and Means Comm ittee, has announced plans for weekly hearings beginning this month on r etirement issues, including Social Security. Among the witnesses schedul ed to testify is Robert C Pozen, an investment company executive and ar chitect of a plan to help restore solvency to Social Security. Bush spoke favorably last week of Pozen's approach, which would reduce be nefits promised to future middle and upper income retirees. Thomas said last week he hopes to present legislation to the committee in June. Speaker Dennis Hastert, R-Illinois, said during the day he wasn't going to be "nailed down to one specific timetable" for a vote by the f ull House.