The Real Two Americas

From the Weekly Standard

The New Fat Cats

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The indefensible pensions of public-sector employees.

by Fred Barnes

John Edwards was right. There are two Americas, just not his two (the rich and powerful versus everyone else). The real divide today is, on one side, the 20 million people who work for state and local governments and the additional 3 million who’ve retired with fat pensions. On the other, the rest of us, roughly 280 million Americans. In short, there’s a gulf between the bureaucrats and the people.

Governor Chris Christie of New Jersey puts his fight with teachers and their union in roughly those terms. He says there are “two classes of citizens in New Jersey: those who enjoy rich public benefits and those who pay for them.” The teachers want to keep a pay raise and continue to pay a minimal share of their retiree benefits.

According to the U.S. Bureau of Labor Statistics, state and local government salaries are 34 percent higher than those for private sector jobs. Okay, that’s partly because government workers tend to have white-collar jobs. Benefits, 70 percent higher for these workers, are the real rub. And benefits for government retirees are the most flagrant. They’ve become a national scandal, a fiscal nightmare for states, cities, and towns, and an example of unfairness of the sort liberals routinely complain about but are mostly silent about just now.  Read the details.

I think there is another great divide, the educated and the poorly educated. But I will write on that another day.