The Budget’s Effects on Public Workers

by Kids Forward | June 22, 2011

Home 9 Tax and Budget 9 The Budget’s Effects on Public Workers

Changes in the state budget and budget repair legislation will make it harder for low-income workers in the public sector to make ends meet, according to a new analysis by the Wisconsin Council on Children and Families.

A two-page brief released today examines these changes and their impact on the families of people employed in public sector jobs. Beginning teachers, janitors, workers in school, and other working-class public employees could lose thousands of dollars per year, the equivalent of as much as six months of grocery costs.The new WCCF analysis found that:

  • Workers earning the least will take the biggest hits to their budget – as much as 15% in lost income and increased costs.
  • The impact on low-income public sector workers, in terms of monetary impact, will be far greater than that on workers in the private sector.
  • Working-class families with children will be hit especially hard, as the state rolls back tax credits for working families with children and support for child care.

Taken together, changes in the budget and budget repair bills could potentially push many families that are barely scraping by and still reeling from the recession into insolvency.

Thousands of Wisconsin households, many of whom are not very well off to begin with, stand to take a huge pay cut. It’s bound to take a toll on the well-being of those families and on the well-being of the state’s economy. The degree to which low- and moderate-income people are being asked to pay the tab for closing the budget deficit is striking, and that is especially true for low-income public sector workers with children.

The brief can be found here.

Join us to build a Wisconsin where
every child and family thrives.

Recent

State Budget: Early Care & Education

State Budget: Early Care & Education

Main Takeaways Child care is unaffordable and unavailable for too many working families. Child care staff are severely underpaid and this critical industry is on the verge of collapse unless there is continued economic support. The Governor's budget takes several...

State Budget: Immigration

State Budget: Immigration

Main Takeaways Wisconsin is home to nearly 300,000 immigrants, and they are vital contributors to the economic and social fabric of our communities. Despite their significant contributions, immigrants face barriers in their daily lives. The Governor’s 2025-27 State...

The Room Where it Happens: Attend a State Budget Hearing

The Room Where it Happens: Attend a State Budget Hearing

In February, Governor Evers proposed his state budget. Read our reaction here and some of our analysis here (more to come soon!).  The Governor’s proposals now go to the Joint Committee on Finance (often called the Joint Finance Committee or JFC). This powerful...

Sign up for Emails

Your address helps us identify your legislators and the most relevant messages to send you.