Mr. Speaker, I thank the gentleman so much. I would be remiss if I did not first off thank the gentleman from Connecticut (Mr. Larson) for being so outstanding and helping us provide this special hour here tonight. As you know, we were at…
Mr. Speaker, I thank the gentleman so much. I would be remiss if I did not first off thank the gentleman from Connecticut (Mr. Larson) for being so outstanding and helping us provide this special hour here tonight.
As you know, we were at another engagement honoring women, new Members of Congress as well, and also to be joined with other distinguished Members of our California delegation and our cochair for the Women's Bipartisan Caucus, as well as the Democratic Caucus.
Mr. Speaker, if the gentleman will yield further, the gentleman from New York (Mr. Rangel) did a wonderful job.
I want to thank the gentleman. I cannot think of a more important issue that needs to be discussed at this time in our history than Social Security, and the fact that this administration would lead you to believe that there is a crisis occurring in our country with respect to Social Security.
As the gentleman and I know, some of us held some forums in our district this last week and a half, and we happened to have 15 of those in my districts, and we found resoundingly that people are saying wait a minute, stop the clock; who says there is a crisis here, when we know that this system has been working for so many people.
In my district, I represent 59,000 people who right now receive Social Security, the majority of them being elderly women. It is unfortunately in the district I represent in Southern California, the majority there are minority
women, women of color, Hispanic-Latino women.
This is something that I want to talk about, because people do not understand that women work very hard, those that have the ability and chance and sometimes have to for no other reason. If they take time out of that career to raise their children or to care for someone in the family household who is ill, those quarters are missed; they do not pay into the Social Security system. So on the whole, women tend not to be able to obtain the same kind of financial privileges that most males do, and in fact women only get 70 cents on the dollar. So that also adds to the frustration of women not being able to have the full benefits as others in our society, and it hurts.
I want to point this chart out here, if we might, to just go over what some of the myths and maybe realities that need to be pointed out.
Women, as you know, rely more heavily on income from Social Security. That is probably true across the board. Social Security provides well over half, 50.8 percent, of the income of women 65 and older, and just over one-third, 35 percent, for older men's income. So that is a substantial difference there.
Women have to rely on that source. Social Security provides 90 percent or more of the total income for 44 percent of all nonmarried, 44 percent. In these categories, widowed, divorced and never married. So we are talking about single women. Women 56 and older, 74 percent of the older non married African American women rely on this source. 66 percent of older nonmarried Hispanic women rely on this source. Without Social Security over half of all women 65 and older and 40 percent of older men would be poor. Social Security was invented 70 years ago to be that, Social Security, that protection so people could live their lives out of poverty and it is something that we have to keep talking about to educate the public.
Thank you so much. Again, I want to also reiterate as we said earlier, women earn 70 cents on every dollar earned by a man. On the average, that is about $11,000 less income earned each year compared to men. So that is something that we have to put in perspective. And as a result, women have less money to invest in private accounts, so there goes that theory about, gee, we have disposable income to put away to put in a private account. That is not necessarily the case for many people that I represent in my home district. And I know we are hearing a lot from our constituents right now. In fact, in my office alone, we have received well over 300 correspondence saying no privatization. Privatization, what does that mean?
In my opinion, it means that there is going to be money that is actually going to be taken out of their benefits, and in the long run, our young people that are paying, say, would pay into something like that are not going to receive the same return once they are eligible for that. And, in fact, those people that choose not to set up a private account are also going to be penalized. So over the long haul, I do not think that privatizing Social Security is actually going to end what the President is saying is a crisis because it is bankrupt. In fact, it will not do anything to make it solvent. Privatization will not do that. So I think we need to keep this discussion going.
And I would like to point out in this graph here we are talking about women's issues tonight because it is appropriate. This is Women's History Month, the month of March. And why not? Is it fitting to talk about the reality of how women fit into this figure of Social Security and how that piece of pie is divvied up.
And retired workers, for women basically represent 33 percent. Very different from a pie chart that you would see for males. Widows and mothers, 20 percent. Disabled adult children, 1 percent. Wives, 11 percent. Dually eligible, 24 percent. Disabled workers, 10 percent. This is how money is divvied up for these different categories of women who are affected and how the funds are distributed.
I can tell you now this would change dramatically if this whole new privatization effort came in and we changed the criterion formula. I do not want to tinker with it. I have parents right now who are on Social Security and I also have a family member who benefits right now from survivor relief because she also lost her spouse and had three children to raise. They were teenagers and one was a younger child. Two have now gone on to get married. One is still with her. And if it was not for that small check that still helps her out, she probably would have had to sell her home, change her lifestyle, would not be living the comfort life that she does, and I do not mean comfort by being extreme and wealthy or anything. I just mean by being able to hold a family together. And most people do not see that face. They think that it is somebody else
I just want to say how grateful I am to our colleagues in the House for allowing us the opportunity this special hour to have this special presentation on how Social Security, the proposed Social Security changes that the administration is proposing, the Bush administration, would affect our constituents. And, in fact, women are going to be disproportionately affected, and especially if you come from communities of color or you have not had a long history because of maybe illness or because you were raising your children and took time out of the workforce to do that. You are going to be penalized.
And I just want to make it clear for the very young people or those that are looking to put money away and that this privatization is going to help them, they need to understand it is not the same thing as a 401(k). What they put in is not what they are going to bring out. And they need to understand that if we go forward, if the President moves forward with this plan, we are going to have to give up $2 trillion over 10 years that will be paid out. Somebody is going to have to pay that back and it is going to come back in the form of lower benefits for people who go into these private accounts and those that do not.
So I am not for it and I am telling my constituents to call us, to let Members of Congress as well as the administration know where they stand. And I am hearing that there are not quite a few members on the other side of the aisle that are convinced that the plan that the President has is one that truly will address the shortages, the so- called shortages or bankruptcy that might be occurring.
So I am very pleased that we have an opportunity and we will be back as much as we can in the next few weeks to talk more about this very important issue that we know thousands and thousands, if not millions of people rely on a source of income and livelihood.
Just as you said, I have several constituents whose only sole source of income is that one check that comes in. And maybe 2 or $3 out of that check that can give them a chance to get out of the house to go and have a meal with another friend or to go visit the senior center and pay $1.50 to get a reduced meal to share with others, knowing that they are all in the same kind of situation and they are horrified to hear that someone wants to take it away. So with that, I believe our hour might be up. If not, any concluding remarks?