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LULAC Fights for Social Security

Calls for Reform Not Privatization

Washington, DC—The League of United Latin American Citizens (LULAC) is opposed to efforts to privatize Social Security by carving out funds from the traditional program. According to a recent survey by AARP Latinos are very concerned about a secure retirement and believe that Social Security should be reformed not privatized.

“AARP’s findings demonstrate that Hispanics overwhelmingly want to keep Social Security in its current form with modifications where necessary,” said Dr. Gabriela Lemus, LULAC National Director of Policy and Legislation. Sixty-two percent of Hispanics believe that private accounts will hurt Social Security.

The vast majority of Hispanics believe Social Security should be strengthened, not replaced. The changes, however, should be made now. According to the survey, nearly nine in ten Hispanics (85%) reported that changes should be made sooner rather than later to avoid more severe changes in the future.

The Hispanic community has an enormous stake in this debate. According to information from the U.S. Census Bureau, more than 75 percent of Latinos aged 65 or older receive income from Social Security, but only 15 percent have income from pensions or annuities and 28 percent have income from assets. Over three-quarters of these individuals are reliant on Social Security for half or more of their total income. Almost half rely on Social Security for 90 percent or more of their total income. The overall numbers increase even more for non-married Hispanic men and women, particularly unmarried Latinas: 83 percent rely on Social Security for 50 percent or more of their total income.

The numbers are clear, the Latino population over 65 years of age is heavily reliant on Social Security and according to the U.S. Bureau of Census, without it, 33 percent of older Hispanics would fall into poverty. As it stands, approximately 22 percent of older Latinos are living in poverty. “Without Social Security, the numbers would definitely increase placing additional burdens on their families and diminishing their sense of independence,” added Lemus.

Lastly, every dollar diverted to private accounts will add a dollar to public borrowing. Current estimates state that the government would have to borrow anywhere from $1 trillion to $2 trillion over the first 10 years of the program to create private accounts. It is estimated that more than $6 trillion would be added to the public debt over the life of the program. “Unfortunately, it will be young Latinos and Latinas, among other young people, who will have to foot the bill,” Lemus concluded.

The League of United Latin American Citizens (LULAC) is the oldest and largest Latino civil rights organization in the United States. LULAC advances the economic condition, educational attainment, political influence, health, and civil rights of Hispanic Americans through community-based programs run by more than 700 LULAC councils nationwide.

For more information go to www.latinosforasecureretirement.org