Social Security changes proposed by Obama could hurt African Americans more than other groups, a new report by the Center for Global Policy Solutions finds.
In this fiscal year 2014 budget, President Obama proposes switching the way benefit programs such as Social Security and civil service retirement adjust for inflation to the chained consumer price index, or chained CPI.
Chained CPI calculates inflation differently from the consumer price index, the current yardstick. The move would save approximately $230 billion, according to the president’s budget.
“The chained CPI significantly reduces the purchasing power of those who rely on benefits issued by the federal government, and especially disadvantages retirees and the long-term disabled because it fails to take into account the higher costs they shoulder as a result of their increased need for health care services and related products,” the report reads. (Black Voice News)