Category Archives: Compensation

The Plight of Teacher Salaries Is Traceable to a Few Key Developments

Source: Gary Burtless, Real Clear Markets, May 23, 2018

In recent months teachers in five states have struck for better pay or benefits. Perhaps unsurprisingly, the five states—Arizona, Kentucky, North Carolina, Oklahoma, and West Virginia—spend less than the national average on each pupil enrolled in public schools. They pay their teachers substantially less than the nationwide average salary, which in the 2015-2016 school year was $58,064. More importantly, teachers in all five states saw the purchasing power of their salaries shrink over the first six years of the economic recovery. In this they were hardly alone. Public school teachers in 39 states saw their real wages fall between 2009 and 2015. Teachers in Arizona, Oklahoma, and West Virginia suffered wage losses of 9 percent or more.

The plight of teachers is traceable to a couple of developments. The electoral success of conservatives has shifted political control in many statehouses to officeholders who are determined to hold down spending, including on the public schools. The economic recovery may have lifted state and local revenues in the great majority of states, but frugal lawmakers in many of them have kept public spending in check, sharply cutting state aid to local schools in the early years of the economic recovery….

As Wisconsin’s and Minnesota’s lawmakers took divergent paths, so did their economies – Since 2010, Minnesota’s economy has performed far better for working families than Wisconsin’s

Source: David Cooper, Economic Policy Institute, May 8, 2018

From the summary:
Since the 2010 election of Governor Scott Walker in Wisconsin and Governor Mark Dayton in Minnesota, lawmakers in these two neighboring states have enacted vastly different policy agendas. Governor Walker and the Wisconsin state legislature have pursued a highly conservative agenda centered on cutting taxes, shrinking government, and weakening unions. In contrast, Minnesota under Governor Dayton has enacted a slate of progressive priorities: raising the minimum wage, strengthening safety net programs and labor standards, and boosting public investments in infrastructure and education, financed through higher taxes (largely on the wealthy).

Because of the proximity and many similarities of these two states, comparing economic performance in the Badger State (WI) versus the Gopher State (MN) provides a compelling case study for assessing which agenda leads to better outcomes for working people and their families. Now, seven years removed from when each governor took office, there is ample data to assess which state’s economy—and by extension, which set of policies—delivered more for the welfare of its residents. The results could not be more clear: by virtually every available measure, Minnesota’s recovery has outperformed Wisconsin’s.

The following report describes how Minnesota’s and Wisconsin’s economies have performed since 2010 on a host of key dimensions, and discusses the policy decisions that influenced or drove those outcomes.

Key findings include:
– Job growth since December 2010 has been markedly stronger in Minnesota than Wisconsin, with Minnesota experiencing 11.0 percent growth in total nonfarm employment, compared with only 7.9 percent growth in Wisconsin. Minnesota’s job growth was better than Wisconsin’s in the overall private sector (12.5 percent vs. 9.7 percent) and in higher-wage industries, such as construction (38.6 percent vs. 26.0 percent) and education and health care (17.3 percent vs. 11.0 percent).

– From 2010 to 2017, wages grew faster in Minnesota than in Wisconsin at every decile in the wage distribution. Low-wage workers experienced much stronger growth in Minnesota than Wisconsin, with inflation-adjusted wages at the 10th and 20th percentile rising by 8.6 percent and 9.7 percent, respectively, in Minnesota vs. 6.3 percent and 6.4 percent in Wisconsin.

– Gender wage gaps also shrank more in Minnesota than in Wisconsin. From 2010 to 2017, women’s median wage as a share of men’s median wage rose by 3.0 percentage points in Minnesota, and by 1.5 percentage points in Wisconsin.

– Median household income in Minnesota grew by 7.2 percent from 2010 to 2016. In Wisconsin, it grew by 5.1 percent over the same period. Median family income exhibited a similar pattern, growing 8.5 percent in Minnesota compared with 6.4 percent in Wisconsin.

– Minnesota made greater progress than Wisconsin in reducing overall poverty, child poverty, and poverty as measured under the Census Bureau’s Supplemental Poverty Measure. As of 2016, the overall poverty rate in Wisconsin as measured in the American Community Survey (11.8 percent) was still roughly as high as the poverty rate in Minnesota at its peak in the wake of the Great Recession (11.9 percent, in 2011).

– Minnesota residents were more likely to have health insurance than their counterparts in Wisconsin, with stronger insurance take-up of both public and private health insurance since 2010.

– From 2010 to 2017, Minnesota has had stronger overall economic growth (12.8 percent vs. 10.1 percent), stronger growth per worker (3.4 percent vs. 2.7 percent), and stronger population growth (5.1 percent vs. 1.9 percent) than Wisconsin. In fact, over the whole period—as well as in the most recent year—more people have been moving out of Wisconsin to other states than have been moving in from elsewhere in the U.S. The same is not true of Minnesota.

Millionaires Average Annual Tax Cut in North Carolina Is Comparable to Average Teacher’s Salary

Source: Meg Wiehe, Institute on Taxation and Economic Policy, Press Release, May 11, 2018

….The misplaced priorities are evident: The recent tax cuts will provide the state’s millionaires with an average annual tax cut of more than $45,000, which is nearly as much as the average teacher’s annual salary of about $50,000…..

I Work with Mark Janus. Here’s How He Benefits from a Strong Union.

Source: Donnie Killen, Labor Notes, May 11, 2018

Like everyone else in the labor movement, I’m nervously awaiting the Supreme Court ruling in Janus v. AFSCME Council 31, which would weaken public sector unions by letting workers receive the benefits of representation without contributing toward the cost.

But I’ve got a unique vantage point: I work in the same building as the plaintiff, Mark Janus.

We’re both child support specialists for the state of Illinois, where we do accounting on child support cases. I do this work because it’s fulfilling to help kids and single parents get the resources they need to support themselves.

What convinced Mr. Janus to join this destructive lawsuit? Your guess is as good as mine. I do know it’s much bigger than him. He’s the public face, but this case is backed by a network of billionaires and corporate front groups like the National Right-to-Work Foundation.

But the truth is, even Mark Janus himself benefits from union representation. Here are a few of the ways:

1. Without our union, Mr. Janus’s job would probably have been outsourced by now. ….
2. Mr. Janus has received $17,000 in union-negotiated raises. ….
3. The public—including the parents and kids Mr. Janus serves—has access to resources like childcare that our union has fought to defend. ….
4. Our union blocked the employer from doubling the cost of Mr. Janus’s health benefits. ….
5. We make sure Mr. Janus’s office is warm in the winter and cool in the summer. ….
6. Thanks to our union, Mr. Janus will retire with a pension. ….
7. Mr. Janus can get sick and still have a job when he comes back. ….
8. Our union ensured that Mr. Janus could be fairly hired, regardless of his politics. ….

The Real Reason Behind Recent Teacher Strikes — And Why They’re Likely to Continue

Source: Katherine Barrett & Richard Greene, Governing, May 10, 2018

It’s about much more than low salaries.

…. In 26 states, average teacher salaries, adjusted for inflation, were less in 2016 than they were at the end of the 20th century, according to the National Center for Education Statistics. Two years ago, an Economic Policy Institute (EPI) report documented the dive in weekly wages for teachers compared to other workers with comparable education requirements. In 2015, an average teacher made 17 percent less than comparable workers in salary. Back in 1994, the salary gap was 1.8 percent. ….

…. Teachers in Oklahoma still worry about the dangers to student education of going to a four-day school week in some districts. In Kentucky, there’s been no money for teacher professional development, extended school services have been cut and schools haven’t been able to spend money on textbooks.
Arizona school districts will still struggle to fund all the needs that have piled up. Years of cuts have, for example, left the school transportation budget severely underfunded. ….

Related:
Where Teacher Salaries Most Lag Behind Private Sector
Source: Mike Maciag, Governing, April 30, 2018

States where teachers are protesting have among the largest pay discrepancies when compared with similarly educated private-sector workers.

How to Break an NDA, See If Your Pay Is Fair, Confront a Colleague, and More

Source: Mary Pilon, Bloomberg, May 1, 2018

Practical advice on some of the most uncomfortable—and important—things you could do for your career.

Related:
Employee Rights
Source: NOLO, 2018

Can you be required to take a drug test? Who is entitled to earn overtime? What kinds of conduct fall under the definition of illegal discrimination and harassment — and what should you do if you are a victim? Can you take time off work to care for a new child, serve in the military, cast your ballot, or recover from a serious illness? Get detailed answers to all of your questions about workplace rights here.

Your Workplace Rights
Source: Workplace Fairness, 2018
Hiring & Classifications
Looking for a new job? Wondering if the questions you were asked at the interview were legal? This section addresses some of the most common issues you may encounter in the hiring process, and how you are classified as a worker may affect your workplace rights.

Discrimination
Are you being treated differently at work? If so, is it because of your race, sex, age, disability, national origin or religion? Wondering what other kinds of discrimination are illegal? Get the facts on workplace discrimination here.

Harassment & Other Workplace Problems
Whether you’re being pressured to have sex with your boss, forced to listen to foul language or slurs, or wondering whether the comment you made might get you in trouble, you’ll find this information on harassment and other problems you might encounter on the job to be helpful.

Unpaid Wages/Wage & Hour Problems
Not getting paid what your employer owes you? Are you forced to work overtime, but not receiving any extra pay? Get the facts on “wage and hour” laws here.

Benefits & Leaves
For most employees, your job isn’t just about the pay, but also what benefits are included. Sick leave, disability leave, family/medical leave–the different kinds of leave you may be allowed to take can be confusing. Get information about health care coverage, pensions, leave eligibility and other benefit-related information here.

Privacy & Workplace Surveillance
Is somebody watching you? It just might be your employer. Find out here what rights to privacy in the workplace you do and do not have.

Health & Safety/Workplace Injuries
Is your workplace unsafe? Are you worried about getting hurt at work? Wondering what to do about it? Have questions about the workers’ compensation system? Find the answers here.

Whistleblowing & Retaliation
Fighting back when you see your employer doing something wrong can be scary, and risky. But there are laws that can protect you in a number of situations. Learn more about how you might be protected when you blow the whistle or challenge illegal conduct.

Unions & Collective Action
Facing an organizing campaign at work (or want to get involved in one)? Already a union member but don’t understand how things work? Fired for organizing or joining a union? This section covers information about your rights to organize and be in a union, and how unions work.

Termination & Unemployment
Whether you were suddenly fired, laid off, or asked to resign, you’ll want to know what happens now that you are out of a job.

Ohio State University – salary information

Source: Ohio State University, Office of Human Resources, 2018

From the press release:
The Ohio State University is breaking new ground for transparency among public universities in Ohio by making all non-student employee salaries available to the public in an online, searchable web-based application. ….

…. In calendar year 2017, 42,670 faculty and staff received $2.5 billion in total earnings – representing a one-year employee headcount increase of 1,855 (4.5 percent) and a 6.4 percent increase over the 2016 $2.35 billion payroll budget. The 2017 median annual base salary stood at $48,173, compared to $47,661 in 2016 – a 1.1 percent increase.

Two types of data are available on the Human Resources website: Users may enter a name, department, title or salary range to search for base salary information in the web-based application. A second option is available to download Excel spreadsheets of total employee earnings for calendar year 2017, which includes bonuses, overtime, deferred compensation, and vacation and sick leave payouts in addition to base salary. The data will be updated throughout the calendar year…..

Amazon Gets Tax Breaks While its Employees Rely on Food Stamps, New Data Shows

Source: Claire Brown, The Intercept, April 19, 2018

Later this year, Amazon will begin accepting grocery orders from customers using the Supplemental Nutrition Assistance Program, the federal anti-poverty program formerly known as food stamps. As the nation’s largest e-commerce grocer, Amazon stands to profit more than any other retailer when the $70 billion program goes online after an initial eight-state pilot. But this new revenue will effectively function as a double subsidy for the company: In Arizona, new data suggests that one in three of the company’s own employees depend on SNAP to put food on the table. In Pennsylvania and Ohio, the figure appears to be around one in 10. Overall, of five states that responded to a public records request for a list of their top employers of SNAP recipients, Amazon cracked the top 20 in four.

Post-Secondary Employment Outcomes (PSEO) (Beta)

Source: U.S. Census Bureau, April 2018

From the press release:
The U.S. Census Bureau announced the release of the first data sets from a pilot public-use data product on labor market outcomes for college graduates, offering prospective students a useful tool and a fresh perspective in their considerations of post-secondary education. This release covers graduates from the University of Texas System. A release scheduled for later this year will cover students within the Colorado Department of Higher Education. The Census Bureau’s Post-Secondary Employment Outcomes pilot research program is being conducted in cooperation with higher education institutional systems to examine college degree attainment and graduate earnings. Through agreements with the Census Bureau, Texas and Colorado provided administrative education data on enrollment and graduation provided by their university systems, which the Census Bureau matched with national jobs statistics produced by the Census Bureau’s Longitudinal Employer-Household Dynamics program in the Center for Economic Studies…..