Government Workers: The New Privileged Class

America, in case you hadn't noticed, is dividing into two nations. The 22.5-million-strong public sector (that includes retirees) is growing ever larger, and enjoying ever greater wages and benefits often guaranteed by state constitutions. In private-sector America your job, assuming you still have one, hangs on the fate of the economy. _Forbes

America dividing into two nations? The private sector has grown subservient to a better-paid, and far more securely pensioned public sector of unionised government workers. Government workers' unions are one of the biggest lobbies at all levels of government, and have the power to swing election results. If you work in the private sector, you are in thrall to the mighty government employee, and his all powerful union.

They can pretty much spend as much as they need to in order to get what they want. They have literally billions of dollars annually in dues they collect from their members working in government. This is taxpayers money.

This is the genuine “two Americas,” those of us in the private sector who have to be wealthy in order to retire with any sort of financial security, and public sector workers, who earn as much or more than private sector employees during the years they work, then retire early with an income for life that dwarfs what they might have eventually gotten under social security. Not only is this unjust, but it has become totally unsustainable from a financial standpoint. _Ecoworld

Public employee's have very generous pensions. These huge pensions -- which all of our taxes pay for -- are being mismanaged and run into the ground by "socially responsible" fund managers who have used other people's money to invest in "global warming" and "social justice." As these idiot-run funds crash to the ground, one might ask "who will pay for these 'gilt-edged pensions'?" The answer? YOU!!! WILL!!! PAY!!!

We have watched with trepidation as the stock market declines and along with it the value of our retirement accounts. Yet with our personal accounts, it’s our own problem. When it comes to public pensions, it’s the taxpayer’s problem. Underfunded pensions could cut two ways, leading to much higher taxes and/or cuts in government spending. _NG

It is almost impossible to lay off unionised government employees. And "spending cuts" in the age of Obama are an oxymoron. Our debt -- which stretches out into the indefinite future -- can only grow by the trillions, as the new dominant class makes itself at home in the house of privilege.

Indeed, government workers have led a charmed life over the past decade. In California, state and local public employee job growth increased between 1999 and 2007 at roughly twice the rate of the private sector, according to calculations from the Beacon Economics consulting firm. Whereas the number of private sector jobs increased about 8 percent, the number of state government jobs was up 16 percent and the number of local government jobs was up 14 percent.

As for wages, state government and private sector pay increased about 34 percent during that period, while local government salaries went up 40 percent. But make no mistake: When the value of benefits is added in, public sector workers are well ahead, often enjoying pension benefits and retirement health benefits unmatched in the private sector.

Now that Obama is NIC (narcissist in chief), what is true for California will be true for the entire nation. Government work is privileged work -- sinecured, generous, with lifelong benefits. Meanwhile, the private sector is being sucked dry by the government vampire.

What parts of the private sector will profit? The parts that are well-connected to the Obama wrecking crew. The private interests that supported the campaigns of the new ruling class, the new aristocracy, the new nobility, the new royalty.

Will being King prove elevating enough for Barak? Probably not. But we will have to wait and see how long this huge, unsustainable charade can continue.