Need I say that our nation is still in an economic crisis, regardless of what the White House says? Prices in the stores are still going up and incomes are not. The housing market is supposedly improving, but in many areas, for sale signs are sitting in front yards for months and even years. Jobs are still a scarce commodity, especially full time jobs. A recent report stated that 750,000 jobs out of the last 1 million were for part time work. Home foreclosures and bankruptcies are still much higher than they should be as millions of middle income Americans are slipping into the ranks of official poverty.
But if you’re one of the lucky ones that have a job with the federal government, you’ve got it made. To begin with, the average federal salary for a full-time, non-seasonal permanent employee is $78,467 a year. The median income for American households is only $50,502 a year, and that’s often reflecting two incomes in the household. That means the average federal employee makes nearly $28,000 a year more than the median American household.
Now consider the fact that the federal government is giving many federal employees a subsidy to pay for their Obamacare coverage. At the same time that taxpayers are paying for their health coverage, the federal government is forcing us to either purchase our own healthcare coverage or pay a tax penalty. When you add this together, the difference between what federal employees make and the subsidies they receive compared to the median household income and their being forced to pay for their own healthcare and the subsidy given to the federal employees, the difference in greater than just $28,000.
To add a little insult to the injury, last Friday, President Obama laid out his alternative federal pay plan in which he intends to give a 1% pay raise to every civilian federal employee in 2014. One percent may not sound like much but when you already make 55% or more than the median American households, it seems a little harder to justify to those American households that are seeing their incomes being reduced by 25% due to Obamacare. Millions of Americans are seeing their jobs go from 40 hours a week to less than 30 hours a week so their employers don’t have to provide expensive healthcare benefits. Not only are these American households losing 25% of their income, but they are also being forced by Obamacare to purchase healthcare coverage that they can’t afford. And if they don’t buy it, they end up paying a penalty tax which only throws them further into debt.
It’s not that I begrudge federal employees a raise since their wages have been frozen for the past three years, it’s just that I can’t justify it now with the everything that is happening to the average American household. Under Obamacare and the employer mandate and insurance mandate, millions of American workers are going to lose their homes and file bankruptcy all while having to pay for the subsidies of many federal employees along with the fed’s 1% pay raise.
If any federal employees deserve a pay raise, it’s our military men and women. A brand new recruit, E-1 makes an average starting salary of $16,106 a year. After three to four years or more of military service, an E-5 sergeant averages only $27,460 a year. Not much for sacrificing life and limb, is it? But notice Obama’s pay raise is only for all CIVILIAN federal employees who already make 2-3 times what our military does.
This whole situation reminds me of the old adage of those who have get more and those who don’t have lose what little they do have. Welcome to Obama’s America.