Conclusion

Average public sector employment benefits have been out of line with private sector averages for a while.[85] These disparities exist at all levels of government in Michigan. Considering as many employment benefits for which data are available — insurance coverage, retirement benefits, paid leave and supplemental pay — there is an estimated $5.8 billion gap between what public sector employers pay for employment benefits on average compared to what private sector employers pay on average. This gap, if left unaddressed, will continue to divert taxpayer resources from their primary purpose — provision of government services — and contribute to the ongoing government cost spiral in Michigan.