[quote=paramount]Let’s be clear about one thing, I don’t think anyone is saying gov’t workers shouldn’t get a fair salary and savings plan; it’s just that right now what they get is unfair to the rest of us who have to actually pay for their benefits.
For the most part, there is no reason gov’t workers shouldn’t receive benefits on par with those of us in the private sector.
They deserve:
A decent salary
A 401k Retirement account with 50% up to 6% match
A standard medical plan like the rest of us get: $20-$30 co-pays, 4k deductible, etc..
No Pensions
No lifetime medical benefits
Sign them up for social security[/quote]
Excellent post Paramount, totally agree. I’m totally in favor of Gov workers getting excellent pay, excellent benefits, 401k plans on par with the private sector, but NO tax payer supported pensions and NO healthcare for life. Just like in Greece, these have to go.
The Michael Lewis (author of “Liars Poker”) article/interview with Arnold and others a few weeks ago in Vanity Fair is required reading. It goes in depth about the bankruptcy of Vallejo CA and San Jose fiscal woes. And talks about how Arnold says he tried to get somewhere with pension reform but the state legislation wouldn’t have it (they probably get very nice pensions themselves). This is why I thought Meg Whitman was an interesting candidate (she doesn’t get or need a Gov pension so no conflicts of interest there, Gov Brown probably does get one). This article also had an example of a state prison psychiatrist that makes $850k a year on the Gov payroll.
I know a ex Fed Gov employee that gets a $8k/mo Gov pension for life. That is nuts! A working stiff in the private sector would have to accumulate say $2.5 million in capital in a safe investment (with principle not at stake) at say 4% to throw off that income per month! Or work their whole life to develop a free & clear rental property portfolio for a $8k annuity per month. Yet the tax payer is paying out thousands and thousands of these big ‘ol pensions!!
