Governor Chris Christie Taking On Public Sector Pay And Pensions This Will Impact Everyone

Large budget deficits in both state and local governments across the country are on the rise

. When the economy is good and tax revenues increase so does government spending. This all comes to a stop when the economy is bad and tax revenues plummet. This forces state and local governments to either raise taxes or make serious cuts in services.

How will cuts impact teachers, police, fire and other public sector employees? For some it will probably mean a wage freeze and a halt in overtime hours. The fact is many states and local governments are going to have to lay people off. Politicians will begin to ask that public sector employees start contributing more to medical and pension benefit packages to avoid layoffs.

Governor Chris Christie has already demanded pay freezes and is pushing public employees to contribute more to their pension and health benefit packages. Public employees in New Jersey contribute 1.5% of their pay to benefits and pension. Most teachers in that state contribute zero to their health plans. That is a great deal for hard working public employees, but it looks like some changes must occur.

Other states will have to choose between raising taxes or follow Governor Christie's lead and start freezing public sector pay and demanding more benefits and pension contributions. The other choice is to raise taxes on everyone.

Most private sector employees don't have benefits and retirement plans that compare to those enjoyed by public employees. It is difficult to ask those in the private sector, without good benefits and pensions, to pay more for to support public sector benefits and pensions.

New Jersey is not alone. California has a budget deficit that is even larger. The plain truth is that state coffers are empty and cuts have to and will be made. We will all have to do with less government services. Those in government service may find that their job is not as safe as it once was.

The truth is that everyone in both the private and public sectors should consider alternative ways to supplement their income and save for retirement. America is still the greatest place to live on earth.

There are plenty of examples of people who start home business to make extra money. Go to Ebay.com and there are plenty of people who have set up small on-line shops. There are hundred of different Network Marketing Companies from Amway to the Numis Network selling everything from soap to collectible coins. There are literally thousands of people making extra money using network marketing. There are plenty of opportunities for people who look.

by: Bruce Holmes

POST COMMENT

Structured Settlements -making The Right Decision When And What Should You Eat For An Effective Workout? Pad Change And Brighten Terminal Settlement Proposals And Some Valid Points Black And Decker Corded Lawn Mower (model Mm875/mm575) - My Two Cents To Save You A Few Bucks Claustrophobia And Hypnotism Window Prices And How To Manage Them Get The Best Massage And Remedy Cramps More Effectively What Are Menstrual Migraines And Why Do They Occur? His And Hers Pajamas The Tallest And Most Amazing Trees In The World! Buy Essay In A Simplest And Fastest Way Fitting And Getting Used To Hearing Aids