2010 Public Sector Compensation Study
Discussions over the cost of government swiftly move to the cost of labor, as government at all levels is a labor intensive enterprise. In 2010 the Minnesota Chamber of Commerce and NAIOP Minnesota commissioned the Minnesota Taxpayers Association to conduct an examination of state and local government employee compensation levels and design. The purpose of this investigation is to examine state and local employee compensation and evaluate the impact on state service delivery and budget sustainability. We conducted an examination of total employee compensation among state and local government employees to answer the following questions:
- How does Minnesota’s state and local government workforce compare to the rest of the
nation in terms of size and compensation?
- How do government employee salary, health, and retirement packages compare with
comparable jobs in the private sector? What is the magnitude of any public sector
compensation premiums in these areas
- What are the cost trends in employee compensation and how do these trends compare to
revenue and tax base trends and projections?
- What types of compensation-related spending driven by contract provisions, state laws,
and mandates have weak or inconsistent relationships with public sector outcomes?
What are the opportunity cost implications of these provisions?
Read Part 1: Costs, Trends, and Comparisons to the Private Sector
Read Part 2: Frozen Assets in Public Sector Compensation:
Issues in Promoting Results-Oriented Workforce
Reform