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Social Security Workforce Cuts Raise Concerns Over Delayed Benefits

Trump administration's restructuring plan, led by Elon Musk's DOGE office, prompts warnings from SSA employees about potential service disruptions.

Senior citizens exercise together in front of the General Grant National Memorial in upper Manhattan, in New York City, U.S. June 29, 2022. REUTERS/Mike Segar/File Photo
The seal of the US Social Security Administration outside the agencys headquarters in Woodlawn, Maryland, US, on Wednesday, Feb. 19, 2025. The acting commissioner of the Social Security Administration and her top deputy have left following a confrontation with Elon Musk's Department of Government Efficiency team over access to data on 70 million beneficiaries, according to people familiar with the moves. Photographer: Stefani Reynolds/Bloomberg
The sign for the Social Security Administration in Madison, Wis., on July 25, 2021.
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Overview

  • The Social Security Administration (SSA) plans to reduce its workforce by 7,000 employees, offering buyouts of up to $25,000 to encourage early retirements.
  • SSA employees warn that the cuts could lead to delayed payments, longer wait times, and increased financial hardship for the 73 million Americans relying on benefits.
  • The agency is already experiencing backlogs, with disability claims taking an average of over seven months to process, and phone wait times exceeding 30 minutes in 2023.
  • Critics argue the restructuring could result in the loss of experienced staff and hinder the SSA's ability to address issues like overpayments and fraud prevention.
  • The workforce reduction comes as the number of Social Security beneficiaries continues to rise, driven by the aging baby boomer population reaching retirement age.