I thank you for that question and for leading this hour in this important discussion. No. In fact, our colleagues in the majority want to pay for the legislation in the transportation bill, but what they want to continue to do is to refuse…
I thank you for that question and for leading this hour in this important discussion.
No. In fact, our colleagues in the majority want to pay for the legislation in the transportation bill, but what they want to continue to do is to refuse to touch a single hair on the heads of millionaires and billionaires, and they stand firm in their defense of the big oil companies and the corporations that ship their jobs overseas. Instead of asking the wealthiest Americans to contribute a little bit more, they want to ask Federal workers. Instead of going to the 1 percent, they want to ask people who are solidly in the 99 percent to pay the price.
Federal employees are hardworking, middle class Americans, who work for the Federal Government all across this country, not just in Washington. In fact, only about 30 percent of Federal employees are in Washington. Of course, some of them work in our offices, and they work in this House of Representatives. We all represent Federal workers.
So who are they? You mentioned a few. Yet there are also those benefit specialists who help our seniors get their Social Security and Medicare benefits, and they're the law enforcement professionals who defend our borders and our ports and our skies and us when we're here in the Capitol.
Those are called Federal employees, as are the Capitol Police; and they're computer and network specialists who spend their days making sure that we're safe from cyberattacks. They're medical and scientific researchers who are looking for cures for devastating diseases. They're the nurses and doctors who take care of our wounded warriors. They're the men and women who make sure the food supply is safe and that our water is clean enough for our children to drink. They're the hardworking support staff. I just left my office, and I was having my trash and recycling taken away.
Those are all Federal employees. There are 423,000 Federal employees who earn less than $50,000 a year; and 48 percent of them are women, but 60 percent of the employees earning less than $50,000 a year are women. They are the people who have seen their pay frozen for 2 years while health care and other costs are going up.
For 2 years. That's about $30 billion a year in cuts. So they've already given up, really, about $60 billion from a normal increase in wages just to pay for the cost of things going up. Everybody knows that the cost of food and gasoline and those kinds of things are going up, and still we aren't asking millionaires--or they aren't. The Republicans who propose these cuts, these additional contributions from Federal employees, are not asking millionaires and billionaires to contribute their fair share.
Let me also say this.
Some argue that, oh, well, it's such a cushy job to work for the Federal Government and that Federal employees actually make more money than in the private sector. Let me explain that.
As for the people who work in the lower-wage jobs for the Federal Government, women actually make more working for government than they do in the private sector because, in the private sector, they make about 70 cents on the dollar, and thank goodness the Federal Government has more equity in what it pays. The same is true for minorities, who earn much less than white men do in the private sector; but when you work for the Federal Government, you have certain protections and certain equity that we've all supported, so they make more money.
When you get to the higher-wage jobs, working for the National Institutes of Health or more, for the higher-skilled jobs, in fact, those workers who work for the Federal Government could make more in the private sector, but they have made a decision to help our government, to help our country by working in the public sector.
So when they say some Federal workers earn more, I say God bless them because we don't discriminate like many in the private sector do, and we wish that the private sector would not discriminate in pay against women and minorities. It's not as if they should go out there and earn less money.
It's estimated, actually, that those individuals could probably make as much as 26 percent more working in the private sector, but they want to contribute to the common good and work for all of us. Then, in order to pay for our transportation bill or any other bill, we ask the Federal workers to contribute more.
Take a look around. I say to my colleagues, look around us. Everywhere we go in this Capitol, in our office building, we are looking at Federal employees that, without, this place simply would not run. We are dependent on them and we rely on them for a good reason-- because we can count on them. They contribute often as much as anyone here to making our country the great country that it is, and working in the Capitol of the United States of America with enormous pride, I might add.
I think there has been a real demonization of all public sector workers lately, and that is why I'm so glad tonight we're able to put a face on these individuals and say who are they, what kind of work are they really doing.
But beyond that, to say, really, this is where we want to get the sacrifice? We're not going to ask one thing more of the oil companies or the gas companies or the businesses that are making record profits and taking those jobs overseas and outsourcing them and getting a tax break for them? We're not asking the millionaires and the billionaires in this country who have actually benefited from the work of public employees, of Federal employees to get what they need in order to get ahead, we're not asking them to pay any more? No, we're going to take it out of the hides of middle class workers, if they are lucky. Some of them are down at the lower end. We're going to take it from the middle class workers, the middle class families, and ask them to make the sacrifice and pay more for their pensions.
Actually, we did, didn't we, in the people's budget that the Progressive Caucus introduced? That budget balances the budget, cuts the deficit, cuts the debt, but doesn't try to take it out of the hide of middle class people in the same way that we see from our colleagues across the aisle.
I know included in that budget is my Fairness in Taxation Act that says that people starting at a million dollars ought to pay a higher tax bracket, ratcheting up to people who make a billion dollars a year. There may be somebody at home saying, oh, nobody makes a billion dollars a year. Yes, they do. Mr. Paulson made $5 billion in 2010. He probably paid at a rate that may have been lower than his secretary or secretaries.
One of the themes that the President has underscored over and over again is that everybody should get a fair shot and everybody pay their fair share and everybody play by the same rules.
When we talk about where should the money come from for important things like transportation--of course there are many flaws in that bill. They take mass transportation, mass transit, out of the funding stream. Transportation, I think, has always before been a bipartisan issue, and, of course, we want to be able to pay for that. It creates a lot of jobs. Everybody uses the roads. They use the transit system. They benefit. Everybody needs to pay their fair share, what they are able to pay to contribute to the common good.
The President has talked about having each other's back as kind of a basic philosophy, that we're all in this together, not we're all in this alone. That's one of the early ideas in America.
Picture, now, the covered wagons and the rugged individualism of those people crossing. They were together in a row, each one a rugged individual, but all of them were making sure that they helped to take care of each other so that they could get across safely.
I think that's the vision, that we're a combination of individual freedoms, strong individualism, but we also understand that we all do better when we all do better.
Everyone needs to hear that again. Would cut?
That he is.
That is saying a lot. As I said before, and as Ray LaHood was alluding to, as many differences that may have existed across the aisle, recognizing the importance of transportation for commerce, for business, for everyday Americans getting to work, for linking our country together, for transporting our goods, Democrats and Republicans have always been able to sit down and together craft a piece of legislation on transportation. And to come up with an equitable way to fund it. Everyone has been able to agree.
This time, not only the way the bill is funded--talking about putting the burden on public employees to help fund it, but the elements of the bill itself. The fact, as you read, it is going to actually cost jobs. The transportation bill has always been the place where we have created jobs in our country. I think it's really shameful. I don't see that this piece of legislation is going to pass, but those who proposed it, I think, have made a serious miscalculation in every way.
Well, let me give you an example.
We have seen the unemployment rate now drop to 8.3 percent, and that's not good, but it's better. We've seen it drop, and we have seen 23 months now of private sector job growth every month, which is a great thing, a great record.
Yes, let everybody look at that chart. The orange-brown part is during the Bush administration when the economic crisis first hit. And then the blue is during the Obama administration, where you see a pretty steady decrease in unemployment, and then you see now we are above the line for many months and creating jobs, and that increase in jobs.
But if the Republicans had not gone after public sector jobs, if there had not been the cut in public sector jobs at the Federal level as well as at the State level, because a lot of Federal dollars were lost to the States, causing the layoffs of many teachers and firefighters and policemen, public sector workers have been laid off, we would have an unemployment rate of about 7.5 percent if those cuts hadn't happened in the public sector. So, you know, who's really for getting our economy going, putting people back to work, letting them be taxpayers rather than having to receive unemployment benefits, you know, which we better extend because people need them, but they'd rather have a job.
No. It's a job and a paycheck, and you take it to the grocery store. And it resonates throughout the economy. But I'll tell you, it's a pinch. When that wage and that check is frozen for 2 years, people feel that. Prices at the grocery store still go up, and so that very same paycheck doesn't quite buy as much. You know, there may be some lifestyle changes, maybe not such big things but some little things that add to the quality of life that actually our Federal employees have had to do without because of the freeze. And then, they're asked now, in order to even pay for a transportation bill, to lose money out of their pension fund, to have to pay more of their pension, which is their retirement fund.
Let me also just say that you mentioned that the Republicans like to point to the President's proposals or Democratic proposals and say, oh, this is another job-killing measure. Well, the facts are the facts. And the facts are that we have seen 23 months of private sector job creation. Literally millions of jobs have been created. And so I haven't heard too much about the job killing lately because it's pretty hard to talk about every time the job numbers come out and those jobs are increasing.
I want to thank you very much for bringing up an example of a piece of legislation that doesn't address our transportation needs, that does result in job loss, and that is paid for by going after middle class Federal workers as the ones who have to sacrifice in order to fund legislation like this. Thank you.