Snyder: “The state pays a great price. The compensation of private sector workers dropped 13 percent in nearly 10 years. At the same time the pay of state employees increased by 19 percent.”

Michigan Gov. Rick Snyder recently voiced his concern on the financial compensation public employees receive. He says the state pays a great price. According to Snyder the compensation of private sector workers dropped 13 percent in nearly 10 years. At the same time the pay of state employees increased by 19 percent.

In a report issued by Snyder on the state’s fiscal situation state workers earn an average of $53,453 annually, $31,623 in fringes and $13,000 for insurance. The figures are twice the amount of what workers in the private sector earn.  Snyder said state and local governments including schools received $82.5 billion in revenue and spent $84.8 billion in 2010 resulting in a shortfall of $2.3 billion. Snyder told the Citizens Guide to Michigan’s Financial Health that government at every level in the state frequently overspends its income. Snyder recently presented the report at a conference held by the Business Leaders for Michigan that more than 400 attended in Lansing.

The report warns that public agencies in Michigan borrow extensively and have accumulated unfunded pension and retiree health care liabilities. The report also states Michigan has borrowed money at a faster rate than incomes have grown over the last 20 years. In 2009 the average state resident was in debt $2,430 as opposed to $724 in 1979 the report reads.