Taxpayers Are Getting a Bargain with Public Employee Compensation



While offering no source, Jahncke claims that, “for more than a decade, state employee compensation has exceeded compensation in Connecticut’s private sector by about 40 percent, the biggest gap in the nation.”  That unattributed claim likely came from a 2015 report by the Yankee Institute asserting Connecticut public sector workers earn 25-46% more than comparable private sector workers. 

First, consider that the Yankee Institute is not a reputable source of research, but a right-wing, dark money-fueled, propaganda outlet associated with conservative North Carolina billionaire Thomas Roe’s State Policy Network.  Roe’s particular objective, as revealed in Jane Mayer’s book, “Dark Money,” was the destruction of public sector unions. 

In a meticulous analysis for the respected Economic Policy Institute, Monique Morrissey debunked the Yankee Institute report, revealing it was based on a cherry-picked sample of workers, used nonstandard control variables, and inflated the cost of retiree benefits in the public sector, while minimizing their cost in the private sector.  Morrissey concluded that Connecticut public sector workers without college degrees are compensated somewhat more than those in the private sector, while those with college and graduate degrees are compensated somewhat less than in the private sector, even when factoring in more generous public sector benefits.  In short, Morrissey writes, “taxpayers are getting a bargain!”

Author(s): Sean B. Goldrick

Publication Date: 26 March 2021

Publication Site: CT Examiner