Comparing Public & Private Sector Compensation

Presentation to the board by:Dr. David Rasmussen, Dean of the College of Social Sciences & Public Policy,

Florida State University, June 7, 2011

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A Gross Comparison of Public and Private Total Compensation

State and Local 39.60/hr

Private 27.42/hr

Public Salaries + 35%

Benefits + 69%

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Factors that Cause Wage Differentials

• Education• Skills• Experience• Benefits (including post-retirement)• Security• Cost of Living• Compensating Variations

3

Cost of Living Comparison

Cost of Living Indexes Tallahassee Austin

Overall 87 106

Food 103 91

Housing 63 121

Utilities 96 89

Transportation 105 91

Health 99 96

Miscellaneous 99 111

Tallahassee, FL – Austin, TX

100 = National Average

• Austin is 22% more expensive than Tallahassee 4

Does Tallahassee Pay too Much?

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Case 1: Police Job Title Tallahassee Austin Tallahassee: Austin Averages

Average Average Nominal Real

Chief $127,650 $186,014 .686 .837

Deputy Chief $112,258 $153,388 .732 .893

Deputy Chief $103,917 $153,388 .677 .827

Captain $95,508 $133,410 .716 .873

Lieutenant $91,861 $114,930 .799 .975

Sergeant $78,685 $94,706 .831 1.014

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Case 2: Department DirectorsJob Title Tallahassee Austin Tallahassee: Austin Averages

Average Average Nominal RealParks & Rec $99,757 $167,086 .597 .728

Planning $101,358 $153,254 .661 .807

Public Works $129,854 $170,227 .763 .931

Solid Waste Ser $90,522 $153,754 .589 .718

Economic Dev $127,088 $149,677 .849 1.036

Aviation $132,309 $168,002 .788 .961

Transit $120,619 $158,870 .759 .926

Fleet Management

$104,333 $123,011 .848 1.035

City Manager $170,289 $242,008 .703 .8587

Case 3: Comparisons with Private Sector

Nominal Real

TLH Administrative Specialist III $55,288 $63,581

Nat’l Administrative Managers* $73,500 $73,50

TLH City Attorney $170,289 $195,832

TLH Deputy Assistant Attorney $157,164 $110,590

National ** $110,590 $110,590

Management of Companies & Enterprises

$145,770 $145,770

* median; middle 50% earned between $52,240 and $98,980

** median; middle 50% earned between $74,980 and $163,320

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