Traditional progressive politics are not working in the current economic downturn thanks to America’s myopia about tax policy. We need to consider approaches that steer the new centrist policies toward positive outcomes. Let’s begin with Social Security "reform."
If Obama and Congress are seriously going to be discussing changes to Social Security, there is plenty of room for progressive policies to be implemented. It’s reasonable to raise the retirement age limit for more educated workers and those careers that are associated with increased longevity in recent decades. For many of us, old age is being postponed. While the French might want to retire while they’re relatively young, they have tax policy that can pay for that (or used to). America does not.
For those in manual labor, it makes sense to allow earlier retirement than we have today. Most laborers earn less monthly than the high income workers who retire later, so the offset is sustainable provided the right balance is found between benefit groups. This would also mean more opportunities for work and education among the early retirees. This would apply to the many service and retail workers who are increasingly looking at SSI as the only retirement plan they have.
Using the European education system as a model (given its widespread acceptability) might be one way to approach the discussion. The big critique of European secondary education is that it creates a class division, but job-related graduation of Social Security benefits in the U.S. would do the opposite. Instead of causing further class separation between professionals and manual labor, it would bring opportunities to the manual labor group that could result in greater affluence of a sort: more time for grandparents to take care of their grandchildren or to work another job for additional family income.
It’s a risky strategy to suggest any change given the cutthroat nature of the modern Republican Party and the tyranny of the minority in the Senate, but if change is in the offing anyway then maybe the fight could be steered toward something positive. Fighting to maintain what we have doesn’t seem to be working in every arena these days. With more than a few Democratic senators in favor of opening this debate, we need progressive alternatives to be on the table. And reseting tax policy isn't the only solution.