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Protestors march through the rotunda during a demonstration inside the Wisconsin State Capitol in Madison, Wis., on on March 11, 2011.
Article Highlights
- Pension benefits for Wisconsin public employees are roughly 4.5 times more valuable than private sector levels
- Health benefits for Wis. public employees are about 2x as generous as paid by the state’s larger private sector employers
- Wisconsin public workers get a combined salary-benefits compensation premium of around 22 percent over private sector workers
Executive Summary
After a protracted legal and political battle, on March 11, 2011, the Wisconsin state Legislature passed Act 10, the Budget Repair Act, which increased public employee contributions toward pensions and health coverage and restricted union powers of collective bargaining and dues collection. This study analyzes public sector salaries and benefits in
We find that state and local government employees receive salaries roughly equal to those paid to private sector
However, even following Act 10, pension benefits for Wisconsin public employees are roughly 4.5 times more valuable than private sector levels while health benefits are about twice as generous as those paid by larger private sector Wisconsin employers. This difference results in a combined salary-benefits compensation premium of around 22 percent for state workers over private sector workers, with varying but often larger pay advantages for local government employees.
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