Government workers’ pay 10.6% higher than private-sector: study
Benefits for federal, provincial and municipal employees are also more generous.
VANCOUVER — It pays to work for the government. A Fraser Institute study shows government workers at all levels enjoy higher wages and more generous benefits – including earlier retirement – than their private-sector counterparts.
The study finds on average federal, provincial and municipal workers received 10.6% higher wages than comparable private sector workers in 2015, the most recent year of data from Statistics Canada’s Labour Force Survey. The gap takes into account differences such as age, gender, education, tenure, type of work, industry and occupation.
Non-wage benefits are also more generous.
The study shows that in 2015, 89.3% of public-sector workers were covered by a registered pension plan compared to only 23.8% in the private sector. Almost all government workers (93.7%) have defined-benefit pensions that offer a guaranteed level of income and benefits, compared to 45% of private sector workers.
Public-sector workers retired 2.3 years earlier and were absent (average 12.7 days) for private reasons 60% more often than private sector workers (7.8 days).
Job security is also better. Public-sector employees (0.5%) were approximately seven times less likely to experience job loss than private-sector workers (3.8%).
Click here for the report.