Resolution seeks Social Security for GovGuam employees
Guam - Senator Michael San Nicolas is hoping for Congresswoman Madeleine Bordallo's assistance in ensuring that thousands of Government of Guam employees under the Defined Contribution Plan be included under Social Security. Resolution 379 introduced earlier this month calls on Guam's delegate to introduce federal legislation to allow GovGuam employees this opportunity.
"We want to make sure that our defined contribution employees, we have 7,000 of them and their retirement is limited only to what they put in and what it grows to but there is no Social Security element to it which means it is no social safety net and if they retire and their money gets depleted they're not going to be anything to backstop them and then that puts them at risk of having to go on welfare, the government having to subsidize their living in other ways," he said.
San Nicolas says the reason Guam doesn't have a Social Security option in the Government of Guam plan is because federal law explicitly excludes the island from being able to participate at the state level. An Office of Public Accountability report from 2011 meanwhile concluded that GovGuam employees under the DC plan will not have enough to sustain themselves when they plan to retire.