There are now more people working in governement than in goods-producing jobs.

For the first time in history there are now more profit-eating government jobs than goods-producing jobs in the United States.
Clusterstock reported:

In the just-so story of the evolution of our economy, our old manufacturing based economy has been replaced by an innovative knowledge economy. That’s not quite true.

In fact, the decline of the jobs in goods producing sectors of the economy–construction, manufacturing, mining and agriculture–has largely been met with an increase in jobs on the government payroll. We’ve gone from providing jobs in profit-making private industry to providing jobs in profit-eating government work. Toward the end of 2007, the total number of government jobs exceeded the total number of goods producing jobs. Welcome to the government payroll economy.

The average government worker enjoys a $71,000 per year annual salary compared to the average individual working in the private sector who makes just $40,000 per year.

Related… December Rolling Tax Witholdings Collapse To Multi-Year Low

 

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  1. And then the government’s only source of revenue is the printing presses, like Zimbabwe hasn’t already done this –

  2. I assume the government employee tally also includes military personnel. The civilian numbers are just a bit lower.

    By my calculations, the effects of the taxation and deficit spending on government actually cost the U.S. economy 7.5 million jobs from 1993 to 2008 because the transfer of GDP to government spending reduced the GDP growth rate in that period by roughly 10%. Just that 10% haircut in growth over 15 years translates into the job losses. In that period, total U.S. government spending was roughly 35% of GDP, compared to 29% from 1953-1968, for example. So, an argument can be made that for every government job added, a larger number of private sector jobs are lost, all things being equal. We were lucky that that horrible affect was offset by increases in productivity and the technology innovation of the era, otherwise we could have been in even worse shape.

    For more:

    http://thanksforthelaughs.wordpress.com/2009/11/20/seven-million-missing-jobs-thanks-to-your-government-expansion/

    Lazy Jack

  3. The enhaced government pensions were always justified by the fact that the civil service paid less than the private sector. Now that that is no longer true, we should adjust pensions accordingly.

    Fat chance of that happening.

    Also, who are the unions representing, and against whom?

    Unions represent the civil service, against the public.

    Our government is turning against us, and bankrupting us in the process.

  4. Unions represent the civil service, against the public.

    I just think that needs to be said again, and
    brought out in discussions on this subject.

  5. Could someone overlay this graph with a line for each category as a percentage of GDP? It might be an interesting comparison to show how private sector employment becomes more productive while government employment less so.

  6. Re: productivity of government sector. Do you really want government to be more productive?

    Since these numbers include 20 million state and local gov employees, most of whom provide services like pothole repair, mass transit bus drivers, fire, police and schools, the answer is simple: STOP DEMANDING THOSE SERVICES. Behind the numbers is that almost half of all those government workers are teachers. I am personally all for larger class sizes and fewer teachers, but most communities believe “children are our future”, “education is an investment” and all that crap.

    This is further complicated because many localities classify public utilities like water and sewer and ambulance companies as public employees also, while other municipalities call them private, even though they perform the exact same service. Are the people who sell you clean water at your tap “producers” or “Profit-eaters”? On top of that, you have legions of contractors, even in the construction industry (road pavers, govt building maintenance, highway mowing, snow removal) that are considered as “producers” but are paid by government check to do government work… just like government employees.

    It makes a good chart, but it is misleading and the numbers behind the chart ultimately mean nothing.

  7. This shocking graph dovetails neatly with the presidency of a man who hasn’t done one productive thing in his entire life.

  8. Saying that this is unsustainable would be an is an understatement.

    Be afraid. Be very afraid.

  9. By God, I have come to despise our government and it’s minions.

    Now it looks as though the inexorable decline in my good will towards govt. “employees” is in direct correlation to this graph.

    The more of them that there are, the more entitled and privileged they become. And the more I despise them.

  10. I tend to agree with most things on this site, but this is another one of those crap analyses based on government employment “statistics”. Try this table on for size:

    http://www.opm.gov/feddata/HistoricalTables/TotalGovernmentSince1962.asp.

    Yes. Since 1962, the US population has gone up by 65% (from census data), but, the federal workforce has gone down by 20%. If you consider only the civilian federal employees, it has only gone up about 10% (about 250,000 jobs in almost 50 years).

  11. In CA. we have one Govt. employee for every 100 people. They are all SEIU. They have a job for life and are surly,slow and don’t give a damn..

  12. Nothing so clearly illustrates the betrayal of the 10th Amendment as the size of the federal workforce.

  13. Still too many overpaid government employees. the government shouldn’t hire any more workers than it can pay with normal revenues.

    Right now they all have high paying jobs, because the federal government can print all the money it needs to pay them. It’s just one big scam. It’s not even a PONZI scheme, since no one is putting in any money, madoff in his wildest dreams could never do what the government does.

    The states which cannot print money are all having massive problems with there budgets, cutting all essential services so they can keep paying there state employees.

    This only creates a class warfare, with the government employees being the new upper elite class, and everyone else just making ends meet. Just like the soviet union use to be.

  14. JonyJoe 101 #19

    And when the dust settles with our useless, entitiled, avaricious, arrogant work force the results will be the same. Political, economic, and societal collapse.
    YThe bureaucaratic state in history has always been a complete disaster and the USSRwas a textbook illustration of that reality.
    Russia’s population has declined by 5 million since the USSR dissolved in 1991 despite the return of 10 million Russians to the motherland from the former Republics and the influx of millions of immigrsnts from the former empire of the USSR. Ethnic Russians are fast becoming a minority in the Russian heartland. The average number of children born to a Russian woman in her lifetime is 1 and but she has had more than five abortions. And all of what destroyed the USSR is what B+ Odumber and his Chicago and Ivy League marxist idiots and thugs plan to bring to our country.

  15. Maybe the Republicans can figure out a way to send the Government Jobs overseas,just like they figured out how to send those Goods Producing Jobs overseas.

  16. Not InsaneNo Gravatar Said:
    January 7th, 2010 | 12:08 am | #22

    “Maybe the Republicans can figure out a way to send the Government Jobs overseas,just like they figured out how to send those Goods Producing Jobs overseas.”

    Actually it was President Kennedy who pushed and gave tax breaks to companies to move jobs overseas. This was all part of his plan to spread American good will with the Peace Corps and jobs from American companies so the people of the world would love us.

    The companies get to hide their money and not pay taxes on it. Then they get to fire Americans and hire foreigners for 1/10 the rate. Of course all these companies donate huge amounts of money to the DNC. Only part not working is that the world still hates us with a lot of them trying to blow us up. So like a lot of Kennedy projects it failed the American taxpayer.

    kinda biting us in the a$$ now, ain’t it?

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