NCPA - National Center for Policy Analysis

More Federal Workers' Pay Tops $150,000

November 11, 2010

The number of federal workers earning $150,000 or more a year has soared tenfold in the past five years and doubled since President Obama took office, a USA Today analysis finds.

The fast-growing pay of federal employees has captured the attention of fiscally conservative Republicans who won control of the U.S. House of Representatives in last week's elections.  Already, some lawmakers are planning to use the lame-duck session that starts Monday to challenge the president's plan to give a 1.4 percent across-the-board pay raise to 2.1 million federal workers.

Rep. Jason Chaffetz, R-Utah, who will head the panel overseeing federal pay, says he wants a pay freeze and prefers a 10 percent pay cut.

Federal salaries have grown robustly in recent years, according to a USA Today analysis of Office of Personnel Management data.  Key findings:

  • Top-paid staff have increased in every department and agency. The Defense Department had nine civilians earning $170,000 or more in 2005, 214 when Obama took office and 994 in June.
  • The biggest pay hikes have gone to employees who have been with the government for 15 years to 24 years. Since 2005, average salaries for this group climbed 25 percent compared with a 9 percent inflation rate.
  • Medical doctors at veterans hospitals, prisons and elsewhere earn an average of $179,500, up from $111,000 in 2005.

Federal workers earning $150,000 or more make up 3.9 percent of the workforce, up from 0.4 percent in 2005.

  • Since 2000, federal pay and benefits have increased 3 percent annually above inflation compared with 0.8 percent for private workers, according to the Bureau of Economic Analysis.
  • Members of Congress earn $174,000, up from $141,300 in 2000, an increase below the rate of inflation.

Source: Dennis Cauchon, "More Federal Workers' Pay Tops $150,000," USA Today, November 10, 2010.

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