Senator Collins Cosponsors Bipartisan Bill to Guarantee Proper Retirement Benefits for Freed American Hostages

Washington, D.C. - U.S. Senator Susan Collins, Vice Chair of the Senate Appropriations Committee, cosponsored the Retirement Security for American Hostages Act, a bill introduced by Senators Chris Coons (D-DE) and Bill Cassidy, M.D. (R-LA) to protect the Social Security benefits of Americans who have been held hostage or wrongfully detained abroad. The bill comes following the release of four Americans, including Bowdoin College graduate Evan Gershkovich, from unlawful detention in Russian prison on August 1.

"When an American hostage is finally returned home from their unjust detention, they should not be forced to face undue financial stress as a result of their unavoidable time lost in the workforce," said Senator Collins. "This bipartisan legislation will help ensure that freed Americans, such as the recently released Evan Gershkovich and Paul Whelan, are not left in permanent financial distress as a result of their undeserved time in bondage."

Returning hostages face several financial obstacles resulting from their captivity, including diminished Social Security benefits when they reach retirement. Because they may not have received a paycheck or paid payroll taxes while in captivity, their Average Indexed Monthly Earnings (AIME), which determines their Social Security benefit upon retirement, may have diminished by a meaningful amount.

The Retirement Security for American Hostages Act would amend the Social Security Administration's (SSA) calculation of Social Security benefits for individuals identified as wrongful detainees by the U.S. Department of State and individuals identified as hostages by the U.S. Department of Justice's Hostage Recovery Fusion Cell. The bill would require SSA to assume "deemed wages" equal to the national average for each month a former hostage or detainee was detained when calculating their AIME.

The complete text of the bill can be read here.

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