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Reason Foundation

Federal Pay Outpacing Private Sector

Anthony Randazzo
May 14, 2009, 11:44pm

Government continues to grow, this time with federal pay. Our friends over at the CATO Institute have done some digging and found the pay gap between federal employees and private sector employees has grown to 102%. Check out the CNN report here. See my report on the subject from Tuesday here.

One note on the CATO/CNN data: there probably is some caveat that should come with this research in that the straight difference in average pay doesn't account for the wider range of employment types and pay scales in the private sector as opposed to the federal sector. Nevertheless, the wage gap is staggering and quite telling. How is it that the government can't be tightening its belt while the rest of America is?


Anthony Randazzo is Director of Economic Research


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