Chaffetz Statement on New CBO Compensation Report

Published: Apr 25, 2017

WASHINGTON – Today, House Oversight and Government Reform Committee Chairman Jason Chaffetz (R-UT) released the following statement after the Congressional Budget Office (CBO) – at his request – updated a report comparing the compensation of federal and private-sector employees.
 
“CBO’s report underscores the urgent need for comprehensive civil service reform. We need a system that values and rewards performance over longevity. The committee is embarking on various reforms to bring accountability and modernization to the federal civilian workforce. We thank CBO for this report and important data which will greatly inform our efforts going forward.”
 
Background:
In 2012, CBO released a report that compared the compensation of federal and private-sector employees for the 2005-2010 period. At Chairman Chaffetz request, CBO update the report it issued in 2012.
 
 
Key Stats in the Report:
  • All Compensation: Overall, the federal government paid 17 percent more in total compensation than it would have if average compensation had been comparable with that in the private sector, after accounting for certain observable characteristics of workers.
  • Wages:   Overall for wages, on average CBO found the federal government paid three percent more in total wages than it would have in the private sector. 
  • BENEFITS:  On average for workers at all levels of education, the cost of benefits was 47 percent higher for federal civilian.
  • In fiscal year 2016, the government spent roughly $215 billion to compensate federal civilian employees.
  • CBO’s analysis reflects the non-postal civilian workforce.