New Report Comparing Public and Private Compensation
As reported by CNN Money, the Center for State and Local Government Excellence looked at 20 years of data compiled by the National Labor Bureau (NLB) to fact check the pervasive belief that government salaries are unsustainable because they are out of line with private sector salaries. This belief is based on anecdotal evidence and cherry-picked data. The results of the study have been published as “Out of Balance? Comparing Public and Private Sector Compensation over 20 Years.” Bullet points from the report’s Executive Summary: Jobs in the public sector typically require more education than private sector positions. Thus, state and local employees are twice as likely to hold a college degree or higher as compared to private sector employees. Only 23% of private sector employees have completed college as compared to about 48% in the public sector. Wages and salaries of state and local employees are lower than those for private sector employees with comparable earnings determinants suc