#JobsDay
Deportations
Should high earners support scrapping Social Security’s taxable earnings
Social Security
Trade

Today the BLS released two months of payroll data and one month of household data.

⚠️ Mind the gap: it is the first gap in data on the unemployment rate in the history of the survey.

Also alarming is the significant rise in unemployment — 4.6%, up from 4.0% in January.

Read the full analysis →

If the Trump administration follows through on its goal of deporting 4 million people over four years, the direct care industry would lose nearly 400,000 jobs. 

This dramatic reduction in trained care workers would compromise home-based care services, forcing family members to scramble for informal arrangements to support relatives who are older or have disabilities.

It doesn’t have to be this way →

Earnings above a cap aren’t subject to the payroll taxes that fund Social Security. As a result, billionaires pay the same tax as someone earning $176,100 in 2025.

“Scrapping the cap” is a popular and effective way to address Social Security’s funding gap. Nearly three-fourths of Social Security’s projected long-term shortfall would be eliminated if the cap were scrapped without increasing benefits.

Should high earners oppose such a move? The answer isn’t what you think.

Trump replaced NAFTA with the United States-Mexico-Canada agreement in 2020. But his USMCA has failed to make trade work for North American workers.

The U.S. trade deficit with Mexico and Canada has widened; U.S. manufacturers have shed jobs as the wage gap with Mexico continues to fuel offshoring; and loopholes Trump left in the deal allow imports from China to masquerade as “Made in America.”

With USMCA up for its 2026 sunset review, we propose leveraging this opportunity to cement a model that protects workers and preserves the mutual benefits of trade.

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EPI in the news

  • Albany Times Union | December 16, 2025
  • Quartz | December 16, 2025
  • Rocky Mountain PBS | December 16, 2025
  • MarketWatch | December 16, 2025
  • Common Dreams | December 16, 2025
  • The Boston Globe | December 16, 2025
  • | December 16, 2025

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