Tuesday, September 24, 2013

A Rough Economy is resulting in a Swell in U.S. Disability Rolls

The huge mills along the Penobscot River roared virtually nonstop for more than a century, turning the dense Maine forests into paper and lifting the thousands of men who did the hot and often backbreaking work into the middle class. 
But the mills have struggled in recent years, shedding thousands of jobs. Now this area, whose well-paying jobs provided an economic foothold for generations of blue-collar workers, has become a place where an unusually large share of the unemployed are seeking economic shelter on federal disability rolls.
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Between 2000 and 2012, the number of people in Penobscot County receiving Social Security disability benefits skyrocketed, rising from 4,475 to 7,955 — or nearly one in 12 of the county’s adults between the ages of 18 and 64, according to Social Security statistics. 
The fast expansion of disability here is part of a national trend that has seen the number of former workers receiving benefits soar from just over 5 million to 8.8 million between 2000 and 2012. An additional 2.1 million dependent children and spouses also receive benefits.
Eugene LaPorte worked at the Great Northern mill in 
East Millinocket for 38 years before being laid off  in 
2011. Since then, LaPorte, who has a number of health 
issues, has been among an increasing number of 
disability recipients.
The crush of new recipients is putting unsustainable financial pressure on the program. Federal officials project that the program will exhaust its trust fund by 2016 — 20 years before the trust fund that supports Social Security’s old-age benefits is projected to run dry. 
The growth of the disability rolls has accelerated since the recession hit in 2007. As the labor market tightened, workers with disabilities that employers previously accommodated on the job — painful hips, mental disorders, weak hearts — were often the first to go. Finding new work often proved difficult, causing many to turn to the disability rolls for support. 
The migration of so many people from work to the disability rolls is raising concern among lawmakers in Congress that the program is being stretched beyond its original intent of providing a safety net for former workers whose medical problems make them unable to work.
Read the Rest of the story HERE.

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