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Government workers’ pay 10.6% higher than private-sector: study

Benefits for federal, provincial and municipal employees are also more generous.

December 8, 2016   by PLANT STAFF

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.


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5 Comments » for Government workers’ pay 10.6% higher than private-sector: study
  1. Robert says:

    Once again, another totally bullshit Fraser report. I’m a govie engineer and my colleagues in the private consulting world make double my salary. How do I know? I pay them via contracts.

    • Jack says:

      Robert – you are an engineer. Engineers in the private sector command higher wages as you have pointed out. But if you add up the thousands of Administrative Assistants in government, and compare their wages to those AAs in the private sector, it would be a very different story. In general, more specialized (like engineers) and higher level positions make less in government than private sector, but lower level jobs make more in the government. And there are many more lower level jobs to be had than specialized and executive jobs.

      I imagine your work is more secure than those contracted engineers you work with. And it is easier for you to book vacation and you have a great benefits plan (which can add the equivalent of 17-20% to salaries)

  2. Allan says:

    That’s it. Get on the band wagon to reduce government wages and benefits…unions have been gutted, wages stagnating….lets get on those who are doing well and ignore increasing standards and wages for workers??? Dystopia 2016.

  3. Mick Marrs says:

    News alert, governement workers make more than private sector and have better benefits. Everyone except government workers know this. We can also deduce this from not seeing any improvement in government services even though year by year our taxes are going up. That leads me to conclude that the money is going somewhere? either to waste or to higher salaries, its definitely not going to better services.

  4. Max Sarte says:

    Well.. considering that government workers produce exactly *nothing*, only red tape and control our lives, then even 1 cent of wages is too many wages. And let’s not forget that *all* government wages actually come from our taxes. The supposedly taxes that they pay are noting but a discount to us from our taxes. So, is the Fraser report correct? Probably. However, on principle alone, it is irrefutable!!!

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