You know how Governer Walker and the GOP want to end the wage gap?
And how there’s simply far too large of a gap in wages between the public and private sectors?
Turns out, they’re right. But now how they’ve been phrasing it. Let’s look at this quote from the Economist:
“…in Wisconsin, public-sector workers are not in fact paid more than their private-sector counterparts. They’re paid less. You can only make it appear that public-sector workers earn more by ignoring the fact that “both nationally and within Wisconsin, public sector workers are significantly more educated than their private sector counterparts.”
Nationally, 54% of full-time state and local public sector workers hold at least a four-year college degree, compared with 35% of full-time private sector workers. In Wisconsin, the difference is even greater: 59% of full-time Wisconsin public sector workers hold at least a four-year college degree, compared with 30% of full-time private sector workers.
…Public employees receive substantially lower wages, but much better benefits than their private sector counterparts. Wisconsin state and local governments pay public employees 14.2% lower annual wages than comparable private sector employees. On an hourly basis, they earn 10.7% less in wages. College-educated employees earn on average 28% less in wages and 25% less in total compensation in the public sector than in the private sector.
The EPI study does find there’s a class of public-sector workers who earn a bit more than their private-sector counterparts: those without high-school degrees. In other words, district attorneys earn less than corporate lawyers, but janitors at the district attorney’s office may earn more than janitors at a corporate law office—provided the government hasn’t outsourced its facilities staff to the same private company the law office uses, which it may have, since governments have been targeting low-skilled workers for outsourcing precisely because that’s how they can save money.
The one area where the public sector DOES cash in on is government pensions, which are traditionally lofty. There’s just one issue; most states are too broke to actually pay them out, and there’s nothing legally stopping them from simply reneging their promises, especially if legislation being pushed through by the GOP to allow states to declare bankruptcy actually pass.