The real pay gap is between public and private sector workers

Here's a stunning finding: Federal employees on average earned 78 percent more in total compensation than comparable private sector workers in 2014.

That's according to a Cato Institute study, as reported by the Las Vegas Review Journal:

Cato's Chris Edwards cited data from the Bureau of Economic Analysis to show that the average federal worker receives roughly $119,000 in salary and benefits each year, compared with $67,000 for the average private-sector employee performing the same job. When benefits are left out of the equation, federal employees collect paychecks that are 50 percent bigger than their private-sector counterparts.

As for the disparity between workers in the two sectors, the study found:

Add in the overly generous government retirement benefits that are no longer available in the private sector and the fact that it is virtually impossible to get fired from a federal job, and the disparity is even bigger.

Is this something that Democrats are talking about when they say that the middle class is getting the shaft? Apparently the wage gap doesn't apply to the friends that the Democrats have loaded into their ever-expanding bureaucracy.

Visit my new freelance writer website at

Want to be notified by email when I post? Type your email address in the box and click the "create subscription" button. My list is completely spam free, and you can opt out at any time.


Leave a comment
  • I hope Cato didn't spend a lot of money figuring out that the federal government is bloated, corrupt and inefficient. There are some 2-1/2 million federal employees and I would guess that as many of them are friends of Republicans as there are friends of Democrats. Even Hillary doesn't have that many friends. It's a bipartisan problem, but the fact is that the fed payroll exploded under G.W. Bush more than all the other increases combined. The Cato study, though is seriously flawed. The vast majority of those 2-1/2 million employees are lower echelon workers, only the very top (G-15 and above) level earn anything close to those numbers. Maybe it was just a study of federal employees making about $119,000 a year.

  • fb_avatar

    "Federal employees now make 78 percent more than those in the private sector."

    I hope Cato didn't spend a lot of money on a misleading apples to oranges comparison.

    When comparing ......equivalent...... public and private sector workers, it turns out that in cash wages, federal employees make roughly the same (about 2 percent more than private sector workers.) When adding in the value of benefits, the advantage rises to 16 percent.

    "Comparing the Compensation of Federal and Private-Sector Employees", CBO, Jan 30, 2012

Leave a comment

  • Advertisement:
  • Advertisement:
  • ChicagoNow is full of win

    Welcome to ChicagoNow.

    Meet our bloggers,
    post comments, or
    pitch your blog idea.

  • Visit my new website

    I'm a freelance writer, editor and author. I can help you with a wide variety of projects. Check out my new website at

  • Subscribe to The Barbershop

    Enter your email address:

    Delivered by FeedBurner

  • Dennis Byrne’s Facebook Fan Page

  • Like me on Facebook

  • Our National Debt

  • Twitter

  • Tags

  • Recent Comments

  • /Users/dennisby/Desktop/trailer.mp4
  • Advertisement: