The Federal-Private Wage Differential: How Has It Evolved
Sun-Ki Choi & John Garen
We find that federal workers were consistently paid more than comparable private-sector workers throughout the 1995 to 2017 time period. Moreover, federal works had higher pension and health insurance coverage. For 2017, we estimate that federal workers were paid 12.5% more. If policymakers were able to save 12.5% on federal worker compensation, this translates into roughly $35 billion; approximately the same as the entire budget of the Department of Justice or Department of State.
Published: February, 2019