Average compensation for Michigan government employees exceeds six figures for the first time – Michigan Capitol Confidential


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The combined cost of salary and benefits for government employees fell from $ 98,000 to $ 104,000 last year

The Michigan Civil Service Commission website boasts, “Invest your talent with the State of Michigan. The rewards are huge.

In fact, for the first time, the average salary and benefits of state employees exceeded $ 100,000 per year in 2011-2012.

The combined average cost of salary and benefits for a government employee jumped to $ 104,067 in 2011-12, from $ 97,883 in 2010-11.

James Hohman, deputy director of fiscal policy at the Mackinac Center for Public Policy, performed the analysis using the Michigan Civil Service Commission certified payroll.

Adjusting for inflation, the cost of benefits for a government employee has increased 75 percent since 1998-99. Overall, average compensation has increased by 31% over the past 13 years.

The 2011-12 fiscal year was the first involving Governor Rick Snyder. The number of full-time jobs in the state has remained almost the same. There were 47,818 full-time equivalent employees in 2010-2011. This figure fell to 47,802 in 2011-12.

The state’s total base salary increased from $ 2.87 billion in 2010-11 to $ 2.81 billion in 2011-12. However, the cost of benefits increased from $ 1.8 billion to $ 2.2 billion in 2011-2012. Just over $ 350 million of the increase in benefit costs has been attributed to the state’s beginning to pre-fund employee retirement health care, Hohman said.

Spokesmen for Governor Snyder did not respond to a request for comment.

The cost of a government employee has increased steadily since 1998-99, when the average cost of compensation and benefits was $ 79,409, after adjusting for inflation.

The state’s full-time workforce has grown from 60,066 in 1998-99 to 47,802 in 2011-12. However, the cost of government benefits increased from $ 1.23 billion in 1998-99 including inflation to $ 2.16 billion in 2011-12, an increase of 76%.

Hohman said costs to the state will rise if it doesn’t cut health care for retirees. Hohman said employees wouldn’t see the extra money, but the state would pay a lot more to make up for years spent when retiree health care was not pre-funded.


See also:

Useful facts about Michigan’s public sector

Balancing public benefits

State pension fund: proof of overcompensation of the public class

The costs to taxpayers for the average government employee fell from $ 79,000 in 2001 to $ 95,000 in 2011

The government is not a job bank


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