School Information System
Newsletter Sign Up |

Subscribe to this site via RSS: | Newsletter signup | Send us your ideas

August 2, 2010

K-12 Tax & Spending Climate: Public Sector Benefits Under Fire, Wisconsin Tax Climate Update

Jon Ward:

America's recession is exposing societal fault lines, as various groups fight over increasingly smaller pieces of the pie. Tensions are particularly flaring between government workers and employees of private businesses.

David Walker, the U.S. comptroller appointed by President Bill Clinton who continued in the role under George Bush, on Friday gave a bracing indictment of the pension and salary benefits being rewarded to government workers at the federal, state and local level. Walker said that public sector workers are growing prosperous on the back of private sector workers.

"There is a huge gap. State and local plans on average ... are much more lucrative than typical plans for employees. State and local government employees, on average, have greater job security than people in the private sector. And state and local government employees, in the middle of government, in many cases make more money than their private sector counterparts," Walker said during a speech at the U.S. Chamber of Commerce. According to Pew numbers provided by the Chamber, the budget gap to cover state employees' benefits totals $1 trillion.

John Schmid:
Newly released U.S. census figures show that Wisconsin, often derided by its own residents as a "tax hell," stayed out of the top 10 highest tax states for the third consecutive year in 2008, the year of the latest available data.

State and local taxes claimed 11.8% of total state personal income, landing the Badger State 13th among the 50 states, and slipping a notch from No. 14 a year earlier, according to an analysis of census data from the Madison-based Wisconsin Taxpayers Alliance.

Posted by Jim Zellmer at August 2, 2010 1:32 AM
Subscribe to this site via RSS/Atom: Newsletter signup | Send us your ideas