Next Year’s Social Security 
Increase Is Lowest Ever

Under the Social Security program beneficiaries receive an annual cost of living adjustment (COLA) that is supposed to keep pace with price increases. Next year’s increase will be 1.5% (or about $19 a month), and it is the lowest COLA in history. This prompted Edward F. Coyle, the executive director of the Alliance for Retired Americans, to say, “I hope this news about next year’s Social Security COLA will cause politicians in Washington to reconsider their support for reducing this annual adjustment.

Yes, it’s true, many Republican members of Congress are calling for a reduction in the annual COLA in order to save the government money. They are calling it the ‘chained’ CPI, and it would reduce cost-of-living adjustments for Social Security and prevent benefits from keeping up with inflation. Just last month, 51 Republican members of the House, led by Rep. Reid Ribble (R-Wis.) signed a letter to Speaker John Boehner supporting COLA cuts, among other unspecified proposed Social Security benefit cuts.

U.S. labor unions have responded through the AFL-CIO. Unions oppose any benefit cuts to Social Security, Medicare and Medicaid, the AFL-CIO said, adding that it would hold accountable any elected officials — including Democrats — who support these cuts.

“I don’t know which is more shocking, the fact that seniors are only getting a 1.5 percent COLA increase in their Social Security benefits or the fact that 51 Republican members of the House of Representatives want to cut that paltry amount even more,” Peter Ward said. “We think it is important for our members and their families to know that unions across the country oppose any efforts to reduce the Social Security benefits workers have already earned.”