Congress might not receive a raise, and neither should federal employees

Congressmen Ron Paul and Harry Mitchell have sponsored a bill which would cancel Congress’ salary increases in 2011. Paul and Mitchell were also among sponsors of a bill which will do the same in 2010. This is a great idea, but why not go further?

Federal employee salaries are rising at a staggering rate. Since 2007, the number of employees earning over $100,000 hasveincreased by 46%, while those earning more than $150,000 have increased by 119%, and those earning more than $170,000 have increased by 93%. Just in case you were wondering, the average salary of a federal government employee is $71,206, compared to just $40,331 in the private sector. Why the huge disparity?

If Congress is ever going to get serious about reducing the deficit, it must cut spending and reduce costs. One place it needs to look are labor costs. Some might argue that any savings are small in comparison to trillion dollar deficits and the National Debt. As a percentage, there is some truth to that, but in absolute dollars, the savings could be substantial. If Congress and Barack Obama ever get serious about balancing the budget, labor costs will have to be a part of any savings plan.