The myth of over-paid public sector workers

PUBLIC SECTOR

The myth of over-paid public sector workers

Pay in the public sector is lower than in the private sector once education gaps are factored in, says economist David Blanchflower writing today in The Independent newspaper.

Blanchflower used earnings data from the Labour Force Survey on approximately 70,000 employees from January 2011 to September 2012 and also estimated a series of regressions.

He concludes: “Contrary to what some commentators have suggested, pay in the public sector is lower than in the private once differences in characteristics are accounted for. Public-sector workers do not appear to be overpaid.”

An analysis of the public-private pay gap by the Office for National Statistics was published in November 2012.

 

The myth of over-paid public sector workers, by David Blanchflower | The Independent: independent.co.uk/voices/comment…

— e-reward.co.uk team (@ereward) December 17, 2012