The average public service employee makes far more than a private sector employee. Some governors are using this statement to drive a wedge between private and public workers and put an end to collective bargaining.
According to a new analysis by the Economic Policy Institute, state and local public employees are compensated, on average, 3.75 percent less than workers in the private sector.
The study factored in education, experience, hours of work, organizational size, gender, race, ethnicity and disability. It found that, compared to private sector workers, state government employees are under-compensated by 7.55 percent, and local government employees are under-compensated by 1.84 percent. The study also found that the benefits state and local government workers receive do not offset the lower wages they are paid.
The EPI is an independent, nonprofit, nonpartisan think tank that researches the impact of economic trends and policies on working people. To learn more, visit www.epi.org.