Critics argue granting union’s wish would amount to an unnecessary, politically motivated “bailout.”
The country’s largest public employees union is pushing the Biden administration to extend rule changes that have drastically increased the number of government workers eligible for federal student loan relief, a move critics charge would not only amount to a “bailout” for an organization that donates almost exclusively to Democrats but also unfairly provide relief to people who make well above the median household income.
The American Federation of State, County, and Municipal Employees (AFSCME) is urging the administration to continue the Public Service Loan Forgiveness (PSLF) temporary waiver, which is set to expire on Oct. 31. The union hopes to get the waiver deadline pushed back until at least July 1 of next year so as many of its members can sign up as possible.
“So many AFSCME members have benefitted from the Biden administration’s temporary waiver that expanded eligibility for loan forgiveness,” said AFSCME President Lee Saunders in a statement. “But we are only scratching the surface of the need. It is time to extend the deadline and give more public service workers the time to learn about the program, apply for loan forgiveness, and get the relief they need.”
The PSLF is a federal government program intended to forgive all student debt for public servants if they first make 120 monthly payments under a qualifying repayment plan.
Last October, the Education Department made changes to the program, including the implementation of the temporary waiver, which allows borrowers to count all payments, regardless of loan program or payment plan, toward loan forgiveness through the PSLF, even ones previously deemed ineligible.
Roughly 3 million federal workers (does not include contractors). More than half dont have any student debt, not to mention 5 yrs of payments are required to potentially obtain relief. It will be a small amount to waive and i agree $1 is too much since its all of us that pay via taxes. Another program the feds have used for years as an incentive is the Student Loan Replayment program which authorizes the feds to pay up to $10k per year up to a maximum $60k that helps pay down student debt. Money goes directly to the loan vendor or institution (not the employee and its not taxable) and there is a service agreement for receiving that incentive. Private industry does the same thing but without a maximum per year or service agreement.
Feds are funded by taxpayers whereas private is investing their captial in people to produce more captial. Feds still cannot compete agsinst Private industry but at least try……with taxpayer money.
Didn’t OC just vote themselves a pay increase?
Yes. 👎
Discrimination !!! Pay MY college