Republicans Admit Privatization Will Mean Major Cuts in Social Security Benefits

Pelosi: Republicans Admit Privatization Will Mean Major Cuts in Social Security Benefits

Washington, D.C.-House Democratic Leader Nancy Pelosi released the following statement today on the White House Council of Economic Advisers admission that major cuts in Social Security benefits are part of their privatization plan, and on the Bureau of Labor Statistics' announcement that only 112,000 jobs were created in November, far lower than what economists had predicted:

"Yesterday, the Chairman of the White House Council of Economic Advisers finally admitted what Democrats have long known: Republicans will make major cuts in Social Security benefits as part of their plan to privatize Social Security. This attack on Social Security would destroy the foundation of a safe, secure retirement for millions of Americans. It is unacceptable, and Democrats will fight to save and strengthen Social Security.

"And today's lackluster jobs report makes clear that the economy has not 'turned the corner,' as President Bush claimed during the campaign. Under Republican leadership, the manufacturing sector has been devastated, wages have not kept pace with inflation, and we have the worst record of job creation since the Great Depression.

"According to the President's spokesman, the Bush Administration is planning an economic summit in two weeks, to 'force' the President to focus on economic issues. Instead of using this summit to push the radical Republican plan to cut retirement benefits, or to discuss the merits of exporting American jobs, Republicans should use that time to come up with a real plan to create good paying jobs here at home, control the deficit, and help the middle class achieve financial security. Bipartisan solutions exist. But first, the Republicans must replace economic theory with real-world strategies that focus on job creation."