Senators to Trump Social Security nominee: 'You will be responsible' if benefits are interrupted
As the Social Security Administration cuts staff, that could impact the agency's ability to pay millions of benefit checks each month, Democratic senators warn
Democratic Senators Elizabeth Warren of Massachusetts and Ron Wyden of Oregon are warning Frank Bisignano, the nominee to lead the Social Security Administration, that he will be responsible if staff cuts interfere with the agency's ability to process and disburse benefit checks.
President Donald Trump has nominated Bisignano, chief executive of payments and financial technology company Fiserv, to serve as commissioner of the agency, which is responsible for sending monthly benefit payments to more than 72 million Americans.
"As President Trump's nominee for SSA Commissioner, you will be responsible if the Trump Administration's attacks on the program result in failures or delays in getting Americans their Social Security checks — in other words, a backdoor cut to benefits," Warren and Wyden wrote in a March 11 letter to Bisignano, shared exclusively with CNBC.
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Bisignano's Senate confirmation hearing is expected to take place later this month, according to a source familiar with the situation.
In the interim, the agency is under the leadership of acting commissioner Lee Dudek, who according to reports publicly stated before his appointment that he had been put on administrative leave after helping representatives of Elon Musk's so-called Department of Government Efficiency. Dudek replaced former acting commissioner Michelle King, who stepped down following reported disagreements with DOGE over access to sensitive data.
The Social Security Administration recently announced plans to cut 7,000 employees and close regional offices.
"This would represent a reduction in workforce of over 10 percent and will have devastating impacts on the program," Warren and Wyden wrote.
Social Security beneficiaries already may face longer wait times because of the changes, the senators wrote. If the agency seeks to reduce its staff further, "the results will be devastating," Warren and Wyden wrote.
In the 1980s, smaller Social Security work force cuts led to 80,000 Americans not receiving their benefits, the senators said.
The new cuts could prompt millions of Americans to miss out on the benefits they earned and limit the Social Security Administration's ability to catch and correct payment errors, the Democratic leaders said.
"The net result could be a disaster: more overpayments and waste in the system, at the same time that Americans who have earned their Social Security benefits are unable to receive them," the senators wrote.
In response, a Social Security Administration spokesperson told CNBC via email that improving Social Security services for all Americans is "our common goal."
"We are identifying efficiencies and reducing costs, with a renewed focus on mission critical work for the American people," the spokesperson wrote. "These steps prioritize customer service by streamlining redundant layers of management, reducing non-mission critical work, and potential reassignment of employees to customer service positions. SSA is committed to ensuring that all Americans can get the help they need whether that is in our field offices, telephone, or through automated solutions."
While Trump has vowed not to touch Social Security benefits, he has said that he plans to target "waste, fraud and abuse" in entitlement programs.
The White House on Tuesday said that Trump will "always protect" Social Security and Medicare.
"The Trump Administration will not cut Social Security, Medicare, or Medicaid benefits," the White House stated in a fact check statement.
The White House was not immediately available for further comment.
Bisignano did not respond to a request from CNBC for comment by press time.
This story originally appeared on: CNBC - Author:Lorie Konish
