State employees outpace private sector by 20 percent
The gap between wages among public- and private-sector workers in Michigan grew 3.4 percentage points between 2007 and 2012, according to the Lansing State Journal.
“It suggests that Michigan should do more in terms of benchmarking,” James Hohman, assistant director of fiscal policy, told the Journal. “The ultimate goal would be that taxpayers get decent value for their money … to make sure they are paying a fair amount for the services they receive.”
The Journal’s analysis shows state employee wages are about 20 percent higher than those in the private sector.
Hohman previously addressed a similar issue, showing that taxpayers in Michigan could save about $5.7 billion a year if public-sector benefits were brought into balance with those in the private sector.