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Posts Tagged ‘Federal Employees’

Wonder what you would find if you frisked federal employees’ average compensation and compared them to the private sector?

Answer: A startling difference.

USA Today reports:

At a time when workers’ pay and benefits have stagnated, federal employees’ average compensation has grown to more than double what private sector workers earn, a USA TODAY analysis finds.

Federal workers have been awarded bigger average pay and benefit increases than private employees for nine years in a row. The compensation gap between federal and private workers has doubled in the past decade.

Federal civil servants earned average pay and benefits of $123,049 in 2009 while private workers made $61,051 in total compensation, according to the Bureau of Economic Analysis. The data are the latest available.

The federal compensation advantage has grown from $30,415 in 2000 to $61,998 last year.

After seeing numbers like this, there’s no wonder why President Obama just announced a two-year pay freeze for overpaid federal employees (reminder: the number of federal employees earning over $150,000 doubled under President Obama). According to the White House, the pay freeze will save $2 billion for the remainder of FY 2011.

Every little bit helps, but the White House will have to come up with something better than this minuscule “symbolic gesture” that shows the American public they are getting serious about tackling bloated government and our massive debt.

Let’s be honest, the majority of us (who do not receive a paycheck from the federal government) are sick and tired of seeing the public employee pay scales dominating the private sector. Fortunately, the people over at The Heritage Foundation have a few solutions that would address this issue:

  • Abolish the general schedule and implement performance-based pay.
  • Hire more private contractors.
  • Reduce federal benefits.
  • End dismissal restrictions.

Of course these solutions are not popular with the powerful and greedy organized labor unions. In the end, it will be a fight if we are going to be serious about tackling this problem.

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Wonder what you would find if you frisked our federal employees?

Answer: A few greenbacks in their pockets.

Trust me, I’m all for capitalism and achieving the ‘American dream’ but when it comes down to our citizens’ tax dollars… This might be a little bit over the top:

Federal employees making salaries of $100,000 or more jumped from 14% to 19% of civil servants during the recession’s first 18 months — and that’s before overtime pay and bonuses are counted.

Federal workers are enjoying an extraordinary boom time — in pay and hiring — during a recession that has cost 7.3 million jobs in the private sector.

The highest-paid federal employees are doing best of all on salary increases. Defense Department civilian employees earning $150,000 or more increased from 1,868 in December 2007 to 10,100 in June 2009, the most recent figure available.

Here’s the interesting tidbits about this whole issue:

When the recession started, the Transportation Department had only one person earning a salary of $170,000 or more. Eighteen months later, 1,690 employees had salaries above $170,000.

The growth in six-figure salaries has pushed the average federal worker’s pay to $71,206, compared with $40,331 in the private sector.

Let me get this straight… So while everyday Americans around the country are forced to tighten their belts, our government is doing the exact opposite in a recession? I must say, the logic within our government is pretty interesting especially when they are the ones dictating pay within the private sector. All I can say is: Please explain.

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