New Business: Government jobs pay more than private sector jobs

Even as the economy struggles, workers in government jobs are enjoying an increase in pay and benefits.

According to the Bureau of Labor Statistics, the average private sector hourly wage in December 2008 was $27.35. Workers in government jobs were earning an average hourly wage of $39.25. These figures include pay and benefits, and it is in the area of benefits that the gap between private and public pay has widened. Public employees' benefits averaged $13.38 an hour, while private company employees averaged $7.98 an hour in benefits.

Health benefits were a major factor in the variance between public and private compensation. Government paid an average of $8,800 a year for a worker's medical insurance, while private companies paid $4,100.