APWU Milwaukee Area Local 3
7/3/25
Reconciliation
Legislation Passes
Today, Republicans in the House of Representatives
narrowly passed President Trump’s tax-and-spending
reconciliation bill after its passage in the Senate just
two days ago. H.R. 1, the so-called “One Big Beautiful
Bill Act,” gives $4.5 trillion in tax cuts to the ultra-
wealthy, paid for by the working class. The bill slashes
Medicaid, food assistance, and green-energy programs
while it expands tax breaks and increases defense
spending. But thanks to an all-hands on deck
campaign by postal and federal union members, every
direct attack on our retirement security was stripped
from the bill before its final passage.
In the House and Senate, Democrats were united in
voting against the bill. A few Republicans broke with
their party to join Democrats in opposition, including
Senators Thom Tillis (NC), Rand Paul (KY), and Susan
Collins (ME). In the House, Representatives Brian
Fitzpatrick (PA-01) and Thomas Massie (KY-04) found
the bill to be not-so-beautiful and voted against it.
After Vice President JD Vance broke a tie in the Senate
on Tuesday and the House of Representatives passed
the bill today, it is now headed to the president's desk
to be signed into law.
As you may recall, earlier versions of the bill in the
House and Senate contained many disastrous
provisions aimed at postal and federal workers,
including:
1.
Increasing the Federal Employees Retirement
System (FERS) annuity contribution rate for all
active employees to 4.4%, resulting in a direct pay
cut for any active employee hired before 2014;
2.
Replacing the High-3 FERS annuity calculation with
a High-5 calculation, resulting in a reduction in
annuity payments;
3.
Eliminating the FERS Social Security supplement,
which allows workers who have earned their
retirement the ability to retire before their Social
Security benefits begin;
4.
Increasing the FERS annuity contribution rate for
new hires;
5.
Establishing a filing fee for the Merit Systems
Protection Board Claims and Appeals;
6.
Disposing of the Postal Service’s electric vehicle
(EV) fleet and rescinding EV funding.
Thanks to the tireless activism of APWU members, and
our coalition of postal and federal allies, the final
version of the reconciliation bill contains NONE of
these attacks!
“This was a direct result of APWU member activism
and shows our collective power,” said APWU
Legislative and Political Director Judy Beard. “I want to
thank every member who picked up the phone, sent
an email, wrote a letter, or who personally met with
their member of Congress. You have shown that even
when the odds are stacked against us, we can win!”
While we successfully fought off the threats most
affecting postal workers, we cannot lose sight of the
fact that this bill is no doubt a crushing blow to
millions of working families across the nation.
“Beauty is in the eyes of the beholder," declared APWU
President Dimondstein. "What is dubbed as ‘The One
Big Beautiful Bill Act’ is beautiful if you are part of the
1%, the fossil fuel industry, or multi-national defense
contractors. For the rest of us, the working folks, this is
as ugly as it gets.”
Dimondstein continued, “We are pleased that through
concerted efforts, including from our members and
the APWU, the major attacks on federal and postal
retirement benefits were stripped out of the final
package. But let’s be clear: Congress shamefully voted
for a massive transfer of wealth from the working and
low-income people to make permanent $4 trillion in
tax breaks for corporate America, Wall Street and the
fat cats. It should never be acceptable to reward those
who need it the least by taking away Medicaid health
care benefits, nutritional assistance and educational
support from those who need it the most.”
Although many harmful provisions were successfully
removed from this bill, we ask that you continue to
stay vigilant. There are other dangerous bills currently
moving through Congress and the APWU will keep you
informed of our future fights.