Saturday, October 24, 2009

Proposed exemptions from "Cadillac" excise tax based on politics, not fairness.

****Union workers are already exempted from the weird excise tax on "Cadillac" health insurance plans in the current plans and now Dems want to exempt Federal workers as well.
WHY? The argument being made by liberal talking heads on Saturday is that Federal workers have already given up salary for the extra benefits. It is a falsehood! Federal workers actually are compensated considerably more than are comparable workers in the private sector.****

http://tinyurl.com/ygdwncn
Federal Pay Gap With Private Sector Growing By Ralph Smith August 25, 2009
According to the Bureau of Economic Analysis (an organization within the Department of Commerce), the average federal employee now makes $79,197, not including benefits. And, when benefits are added in, the average federal employee compensation averaged $119,982 based on 2008 figures...The average private sector employee salary averaged $49,935. And, when including benefits, the average private sector employee averaged $59,909 in total compensation...Stated differently, the benefit cost for the average federal employee back in 2008 was $40,785. The average benefit cost for private sector employees for the same year was $9974...
http://tinyurl.com/yhftq2u
U. S. Federal Employee Pay is Above Market 10 March 1996 Congresssional Testimony by Wendell Cox before Subcommittee on Civil Service, Committee on Government Reform and Oversight United States House of Representatives
****Why are Democrats proposing to exempt both these groups? Because they are base voters for Democrats. These together are 25% of the total workforce with the excise tax burden having to be borne by others, who are not so reliably-Democratic voters. ****

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