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Tuesday, February 14, 2012

Downsizing Company Affects Rising Social Security Disability Claims

Nowadays, some companies that were experiencing difficulties often strive to downsize in order to save money as well as to increase their productivity. This downsizing will then affect the increasing number of social security disability claims.

In 1995, downsizing has been highly commended for being one of the factors behind the increase in productivity growth.

Downsizing might be good in the economy. However, it does not always bring a positive result. Workers who are less productive often lose their job during the process. Usually, workers with ages 50 and above are those that are often kicked out of their job. Such workers may already have mental or physical problems that can limit their ability to perform their job well.

More often, terminated workers would have a hard time in finding a new job and eventually, they will end up opting to apply for a social security disability claim.

For many years, social security disability costs moderately, but in the past couple of decades the cost increased. Definitely it is due to the downsizing efforts done by most companies.

Obviously, a faster increase in productivity will mean an increase in the social security disability claim as well.

Meanwhile, economists describe social security disability as a political swamp and one of the main reasons why the federal expenditure and budget shortage are hard to deal with.

Apparently, choosing which one must prevail between the less productivity with less disability claims and the excellent productivity with high disability claims is difficult to do. It seems that there’ no way to go between both of them.

However, when it comes to approval of the social security claims, it still depends on the agency whether to grant or deny such applications. Sometimes, a claimant sees having social security disability lawyers as their advantage in filing for a claim.