State Employee Salaries Rise But More Investment Is Needed,
Says Study by AFT Public Employees
AFT President Urges States To Pay Competitive Salaries, Strengthen Public Services

WASHINGTON, D.C.-Salaries for state government professionals registered a modest 2.4 percent increase from 2007 to 2008, according to the ninth annual AFT Public Employees Compensation Survey, the only national survey that tracks such trends.

The 2.4 percent increase-which was the average across the 45 occupations surveyed-was less than the inflation rate, 4 percent, for the time period surveyed, and significantly less than the previous year's average increase of 5.7 percent. It also was lower than the increase in overall state spending for fiscal year 2008, estimated at 5.1 percent by the National Association of State Budget Officers.

"This report is more evidence that we're not doing enough to support the essential work of public employees," said AFT President Randi Weingarten. "Public structures such as roads and bridges, and public services such as healthcare and public safety, drive our economy and promote the common good. If we want strong states and communities, we need to invest in these engines of growth and prosperity-and the people behind them."

Salary changes from 2007 to 2008 ranged from a low of -2.6 percent to a high of 5.8 percent among the 45 jobs surveyed. The highest-paying jobs were senior psychologists ($71,010), attorneys ($67,985), senior environmental engineers ($66,576) and senior economists ($65,804). The lowest-paying jobs were data-processing clerks ($26,801), correctional officers ($36,495), licensed practical nurses ($37,803), and family support specialists ($37,885).

State Employee Salaries Still Lag Behind Private Sector

For the ninth consecutive year, the AFT study shows that the salaries of most state-employed professionals trail those of their private sector peers. This year, private sector salaries exceed state employee salaries in 20 of the 24 job classifications in which comparisons were made. In 12 jobs, the gap is 30 percent or more, with the biggest discrepancies found in occupations that require highly specialized education and skills: geologists (102 percent), attorneys (97 percent), economists (59 percent), and chemists (52 percent). Across all 24 classifications, private sector salaries are, on average, 26 percent higher than those of state employees.

The persistent private-public salary gap could exacerbate the recruitment and retention challenges that states already face. According to a study by retired economics professor Stuart Greenfield, 68 percent of state employees are "knowledge workers"-workers who require specialized education, training or skills-compared with only 32 percent in the private sector.

Greenfield's study notes that 60 percent of knowledge workers in state government are older than 40. Additionally, 40 percent are eligible to retire over the next decade, compared with only 20 percent of knowledge workers in the private sector. This means the public sector will soon need to replace a far greater percentage of knowledge workers than the private sector.

"We face the threat of a crippling brain drain in state government if we don't get serious about paying public employees what they're worth," said Weingarten. "It's not uncommon for private sector employees to earn twice as much as their public sector counterparts. What message does this send about how we value the public sector?"

State Employees with Collective Bargaining Earn More

For the ninth consecutive year, the AFT report finds that collective bargaining is a key factor in reducing the private-public sector salary gap. For example, foresters in collective-bargaining states earn 18 percent more than their noncollective-bargaining counterparts, licensed practical nurses earn 15 percent more, and economists earn 14 percent more. The study shows a collective-bargaining advantage in 42 of the 45 occupations surveyed; in 25 job classifications, the advantage is 10 percent or more.

The 2008 AFT Public Employees Compensation Survey examines 45 representative professional job titles, asking states to match the job description provided by AFT Public Employees. This methodology allows for salary comparisons across states for a particular job title, although cost of living and other factors should be considered. For the fifth year in a row, the survey includes data from all 50 states and the District of Columbia.

The full report, including supplemental tables, can be found at:
www.aft.org/pubemps/pubs-reports/PEcompsurvey08.htm.

 

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