There are a lot of complicated ways in which to describe the schemes being floated by President Obama and congressional Republicans to abandon the traditional Consumer Price Index in favor of the so-called “chained-CPI” scheme. But there is nothing complicated about the reality that changing the calculations on which cost-of-living increases for Social Security recipients are based has the potential to dramatically reduce the buying power of Americans who rely on this successful and stable federal program.
So the word for what is being proposed is “cut”—as in: President Obama and congressional Republicans are proposing to cut Social Security.
“This is a cut affecting every single beneficiary—widows, orphans, people with disabilities and many others. It is a cut which hurts the most those who are most vulnerable: the oldest of the old, those disabled at the youngest ages, and the poorest of the poor. Perhaps fittingly, this will be done during the holiday season, when the American people are distracted,” says Nancy Altman, the founding co-director of the advocacy group Social Security Works. “They will cut Social Security not openly but by stealth—through a cruel cut known colloquially as the chained CPI.”
This is what Democrats—and most Republicans—said during the recently finished campaign that they would never do.
If Obama cuts the deal, he will, in the words of CREDO political director Becky Bond, be engaging in a “massive betrayal” of his own campaign commitments, and of the voters who reelected him barely a month ago.
The question is whether the president’s backers will back the betrayal.
The only responsible response is to say “No!”
The American Association of Retired People has does just that, rejecting the “chained-CPI” scheme as a “dramatic benefit cut would push thousands more into poverty and result in increased economic hardship for those trying desperately to keep up with rising prices.”
In this case, AARP speaks not just for seniors but for the vast majority of voters. Sixty percent of voters say it is unacceptable to change the way Social Security benefits are calculated so that benefits increase with inflation at a slower rate than they do now, according to a new Washington Post/ABC News poll.
Needless to say, those numbers put congressional Democrats and progressive interest groups in a bind. They can look the other way as President Obama cuts a deal that cuts Social Security, or they can do what the American people expect them to do: raise their voices in loud objection—so loud that the president has no choice except to keep his campaign promises. For congressional Democrats, the stakes are much higher than they are for Obama. The president is done with elections. But the Democratic Party must compete in elections to come, and the fight that is now playing out will define whether they do so as defenders of Social Security or as a party that is always on the watch for ways to compromise with House Budget Committee chairman Paul Ryan and other Republicans who salivate at the prospect of weakening and eventually privatizing Social Security.