Paulsen Reacts to State Employee Raises

Today House Republican Leader Kraig Paulsen (R-Hiawatha) reacted to news that, despite taking a pay “freeze,” some state employees will actually see up to a 9 percent increase in salary and benefits.

In addition to the merit and step raises that state employees will see this new fiscal year, they will also receive an increase in deferred compensation benefits as well as insurance premiums. These benefits add up to an $886,000 and $474,000 increase respectively.

“At a time when the government’s current budget is out of balance and next year’s budget is facing a billion dollar hole, it’s irresponsible to be handing out salary increases and benefits,” said Paulsen. “While private sector employees are dealing with layoffs, furloughs, and higher health insurance premiums, state government is actually doing the opposite. Only in government does a pay freeze cost the taxpayers over $120 million.”

Today marks the first day of the 2010 fiscal year.