Chart of the day

Posted: 30 January 2012 in Uncategorized
Tags: , , , , ,

Here are some of the conclusions from the report by the Congressional Budget Office comparing the compensation of federal and private-sector employees:

  • Overall, the federal government paid 2 percent more in total wages than it would have if average wages had been comparable with those in the private sector.
  • On average, the benefits earned by federal civilian employees cost 48 percent more than the benefits earned by private-sector employees.
  • Overall, the federal government paid 16 percent more in total compensation than it would have if average compensation had been comparable with that in the private sector.

Good! Now raise the wages and benefits of all private-sector workers to match those of federal workers.

The report also notes two other items of interest:

1. Federal government employment has been shrinking as a percentage of total employment in the United States.

In 1980, when about 79 million people worked in the private sector and 13 million worked for state or local governments, federal employees made up 2.3 percent of the workforce. By 2010, private-sector employment had reached 111 million and employment by state and local governments had reached 20 million. As a result, federal civilian employees accounted for 1.7 percent of the workforce in 2010.

2. The difference in benefits between federal and private-sector workers is a result of worsening benefits in the private sector not overly generous federal benefits.

The federal government provides retirement benefits to its workers through both a defined-benefit plan and a defined-contribution plan, whereas many large private-sector employers have replaced defined-benefit plans with defined-contribution plans. The federal government also provides subsidized health insurance to qualified retirees, an arrangement that has become uncommon in the private sector.

OK, that should set the record straight.

Comments
  1. Well if your a fricking terrorist of course you would want to do something about it but Daniel isn’t a terrorist so what does she have to be scared of?

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