Wisconsin one of 41 states where public workers earn more
usatoday.com
Wisconsin is one of 41 states where public employees earn higher average pay and benefits than private workers in the same state, a USA TODAY analysis finds. Still, the compensation of Wisconsin's government workers ranks below the national average for non-federal public employees and has increased only slightly since 2000.
The finding comes as the Midwestern state remains in the center of efforts by several governors to reduce budget shortfalls in part by requiring state and local government workers to pay more for health and retirement benefits.
The standoff reaches a crucial point today when Republican Gov. Scott Walker presents a proposed budget for the year beginning July 1. He says layoffs of state workers may begin if the Legislature does not adopt his proposal to curb collective-bargaining rights of public workers and require them to pay a higher share of the cost of benefits.
The analysis of government data found that public employees' compensation has grown faster than the earnings of private workers since 2000. Primary cause: the rising value of benefits.
Wisconsin is typical. State, city and school district workers earned an average of $50,774 in wages and benefits in 2009, about $1,800 more than in the private sector. The state ranked 33rd in public employee compensation among the states and Washington, D.C. It had ranked 20th in 2000.
In contrast, California's public employees enjoyed soaring compensation throughout that state's decade-long budget crisis.
The analysis included full and part-time workers and did not adjust for specific jobs, age, education or experience. In an earlier job-to-job comparison, USA TODAY found that state and local government workers make about the same salary as those in the private sector but get more generous benefits.
Economist Jeffrey Keefe of the liberal Economic Policy Institute says the analysis is misleading because it doesn't reflect factors such as education that result in higher pay for public employees.
Key state-by-state findings:
•California. Public employee compensation rose 28% above the inflation rate from 2000 to 2009 to an average of $71,385 in 2009.
•Nevada. Government employees earned an average of $17,815 more — or 35% — than private workers, the nation's biggest pay gap. The state's low-paying private jobs in tourism were the cause, says Bob Potts of the Center for Business and Economic Research at University of Nevada, Las Vegas.
• Texas. The state ranked last in benefits for public employees. The state hasn't granted cost-of-living increases to most retirees since 2001.
Some states that limit the right of public employees to unionize — such as Texas, Georgia and Virginia — pay less in compensation than the private sector. Massachusetts and New Hampshire generally permit unions but pay less than the private sector in those high-income states.
Compensation gap by state for public, private workersState and local government workers earn more than private-sector workers in 41 states. Average compensation (including salaries and benefits) in 2009 and difference with private-sector workers:
Rank State Compensation Difference
1 District of Columbia $82,607 +$457
2 Connecticut $77,697 +$7,687
3 New Jersey $72,007 +$6,681
4 California $71,385 +$7,977
5 New York $71,282 +$1,699
6 Rhode Island $69,284 +$17,603
7 Nevada $68,785 +$17,815
8 Maryland $65,947 +$6,931
9 Massachusetts $62,562 —$4,688
10 Alaska $60,882 +$2,764
11 Illinois $60,274 +$485
12 Delaware $60,077 +$2,911
13 Hawaii $59,595 +$12,243
14 Washington $59,288 +$532
15 Michigan $58,801 +$6,436
16 Florida $58,749 +$9,099
17 Arizona $56,321 +$4,310
18 Minnesota $55,826 +$1,259
19 Virginia $55,705 —$2,328
20 Oregon $55,682 +$5,607
21 Pennsylvania $55,137 +$1,567
22 Colorado $54,184 —$3,391
23 Wyoming $53,460 +$3,116
24 South Carolina $52,591 +$7,590
25 Ohio $52,473 +$2,392
26 Louisiana $52,412 +$2,473
27 New Hampshire $52,181 —$1,876
28 Vermont $51,503 +$5,811
29 New Mexico $51,428 +$5,715
30 Texas $51,310 —$3,580
31 Alabama $50,999 +$5,001
32 North Carolina $50,902 +$1,857
33 Wisconsin $50,774 +$1,802
34 Iowa $50,394 +$6,178
35 Utah $50,149 +$2,611
36 Maine $49,850 +$4,912
37 Georgia $49,600 —$3,875
38 Indiana $49,157 +$1,183
39 Missouri $49,092 —$1,075
40 Nebraska $48,953 +$3,130
41 Kentucky $48,046 +$2,313
42 Arkansas $48,033 +$4,196
43 West Virginia $47,899 +$3,655
44 Tennessee $47,891 —$756
45 Montana $47,596 +$7,396
46 Oklahoma $47,258 +$1,667
47 Mississippi $46,375 +$4,713
48 Idaho $45,280 +$2,855
49 Kansas $44,803 —$3,229
50 North Dakota $43,619 +$389
51 South Dakota $41,684 +$1,909
Total United States $57,775 +$2,511
Sources: Bureau of Economic Analysis; USA TODAY analysis |
