Disabled veterans currently face reductions in their retirement pay if they also receive service-connected disability compensation, a practice sometimes referred to as the “Wounded Veteran Tax.” The Major Richard Star Act, which has been introduced in both the U.S. House of Representatives and Senate, aims to change this policy by allowing qualified veterans to receive full retirement pay alongside their disability benefits.
The International Association of Machinists and Aerospace Workers (IAM Union), a labor union with many members who have served in the U.S. military, has announced its support for the legislation. Other national veterans organizations, including Veterans of Foreign Wars (VFW), Vietnam Veterans of America (VVA), Wounded Warrior Project (WWP), The American Legion, and Disabled American Veterans (DAV), have also expressed their backing.
Currently, combat-injured and medically retired veterans see their retirement pay reduced by an amount equal to what they receive from disability compensation. Supporters of the Major Richard Star Act argue that this offset is unfair to those who have been injured in service.
“On behalf of the 600,000 active and retired members of IAM Union, I want to thank the bipartisan group of U.S. Senators and members of the U.S. House of Representatives for supporting this very important piece of legislation that is intended to improve the lives of those who have sacrificed so much for this country,” said IAM Union International President Brian Bryant. “The IAM is a diverse labor union with a very significant number of veterans in our membership. We will always fight for the rights of our veterans. The House and the Senate must pass the Major Richard Star Act to end the unjust offset that penalizes combat-injured veterans by denying them the full benefits they have earned.”
If passed, the bill would remove restrictions that prevent eligible combat-injured veterans from receiving both types of compensation at once.
