Disabled veterans who have served in the U.S. military are currently subject to a reduction in their retirement pay by the amount they receive in service-connected disability compensation, a practice often 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 their full retirement pay alongside disability benefits.
The International Association of Machinists and Aerospace Workers (IAM Union), a labor union with many members who are veterans, has voiced its support for the legislation. Other organizations backing the bill include Veterans of Foreign Wars (VFW), Vietnam Veterans of America (VVA), Wounded Warrior Project (WWP), The American Legion, and Disabled American Veterans (DAV).
IAM Union International President Brian Bryant stated: “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. 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.”
The proposed bipartisan bill seeks to address what supporters call an unjust offset that prevents combat-injured, medically retired veterans from receiving both forms of compensation.


