Social Security Looking at Lay Offs Now

The Social Security Administration is preparing to lay off at least 7,000 people from its workforce of 60,000, according to a person familiar with the agency’s plans who is not authorized to speak publicly. The workforce reduction, according to a second person who also spoke on the condition of anonymity, could be as high as 50%.

It’s unclear how the layoffs will directly impact the benefits of the 72.5 million Social Security beneficiaries, which include retirees and children who receive retirement and disability benefits. However, advocates and Democratic lawmakers warn that layoffs will reduce the agency’s ability to serve recipients in a timely manner.

Some say cuts to the workforce are, in effect, a cut in benefits.