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    Still Not the Time to Raise Federal Pay

    President Obama has announced a 1 percent across-the-board federal pay increase in 2014. This comes on top of federal employees’ already scheduled seniority-based raises. Unless Congress intervenes, the gap between federal and private pay will rise even higher next year. President Obama suspended the uniform federal pay increases in 2011 … More

    Are Americans Better Off Today Than They Were Four Decades Ago?

    Many pundits and politicians argue that middle-class incomes have stagnated over the past generation. But more accurate data show that the typical household’s income has risen by at least one-fifth in recent decades. Former Clinton Labor Secretary Robert Reich expressed this view when he argued that we have gone through … More

    Footnote Failure: Gap Between Productivity and Pay Is Overstated

      Paul Krugman and many others argue that compensation has not grown as fast as productivity. However, most of the apparent gap between the growth of pay and the growth of productivity is a statistical illusion. On the surface, the numbers appear to show pay and productivity diverging. Hourly wages … More

    Large Supply of Elementary Teachers Waiting to Be “Underpaid”

    The supply of elementary school teachers greatly exceeds the demand for them among public-school districts, according to data collected by Education Week. This fact has a number of implications for education policy, but one of them—not directly mentioned in the article—stands out: If elementary-school teachers are truly “underpaid,” as teacher … More

    Morning Bell: Should We Pay Government Employees More?

    Federal employees—who work on average a month less than private-sector workers and get paid more—are lobbying for higher pay. Government unions know that Congress is looking for ways to nip and tuck the federal budget, and they’re counting on being left out of the deal. “The Federal-Postal Coalition—a group representing … More

    Government Employees Work Less Than Private-Sector Employees

    A new Heritage Foundation study shows that government employees work around three hours less per week and roughly one month less per year than private-sector workers. Substantial differences in work time persist even after controlling for occupational and skill differences between sectors. The “underworked” government employee should obviously be of … More

    Morning Bell: 25,000 Chicago Teachers Walk Off the Job

    This morning, about 350,000 students in Chicago Public Schools will be without teachers. While the 25,000-plus unionized teachers take to the picket lines in a strike over benefits and teacher evaluations, working parents are scrambling to figure out what to do. “We know a strike is really going to be … More

    Yes, Federal Workers Are Overpaid

    The Government Accountability Office’s (GAO) report last week on federal and private-sector compensation showed that four recent studies agree: Federal compensation is higher than the private sector’s. Unlike the recent CBO paper on the same topic, the GAO did not crunch its own numbers or come to any firm conclusions. … More