Everyone Needs Money Now, but Federal Employees are Getting Raises
Heven’t they Heard we have a Recession On?
At a time when many Americans need money now, a shocking new analysis by USA Today of federal salary information shows a dramatic increase in the number of federal employees who are making six-figure incomes. Looking at the numbers, it would seem that these workers are not feeling the effects of the recession at all.
Employees that used to make $ 100,000 or more got an increase between 14 and 19 percent, and that’s before bonuses or overtime. That’s an awful lot of money for those that already are well off - and at a time when more people are hurting than ever.
And the Rich Get …Well, You Know the Rest
The number of civilian employees in the Defense Department earning $ 150,000 salaries increased from 1,868 at the end of 2007 to 10,100 in June of the current year. This news can be hard to swallow at a time when millions of Americans have lost their jobs and are struggling to make ends meets. A lot of people would love to be working, but can’t find even a basic job.
Conversely, federal hiring has been on a steady rise in recent months. In the last 18 months, the Transportation Department has bumped 1,689 people to over $ 170,000 - compared to only ONE person earning that before now.
Is this where it Ends?
Perhaps this would be easier to stomach if this were the extent of it. Amazingly, the truth is that raises in pay are occurring in all areas of the federal government. Six-figure salaries are becoming increasingly common in these areas. Meanwhile in the rest of the country we desperately need money now.
How Do They Explain it?
According to government affairs director for the Federal Managers Association, Jessica Klement, these government employees are working in areas that require a great deal of training and skill, and they are working for far less than they would make at similar private jobs. In fact, the USA Today article reports that Klement says that these workers make a whopping 26 percent less than private employees working in the same fields.
Does their Story Hold Water?
USA Today went on to assess the federal worker salary data from the Office of Personnel Management (excluding workers in the White House, Congress, the Postal Service, intelligence agencies and uniformed military personnel). The study found the average private sector salary was $ 41, 331, and average federal pay was $ 71, 206.
Shocking, but True
For the majority of Americans who really need money now, this is going to be some tough news to hear. The previous administration approved pay increases of 3 percent in January of 2008 and 3.9 percent in January of 2009 across the board for federal employees. The President has recommended to decrease this to 2 percent for first quarter of 2010, which might sound high, but that’s the lowest increase since 1975. These raises, among others and modified pay systems, have led to these egregious salary increases.