AUGUSTA - Rep. Drew Gattine, D-Westbrook, introduced a measure on Friday before the Legislature's State and Local Government Committee that would implement a comprehensive review of the classification and compensation system for executive branch employees.
Maine state employees make roughly 15% less than their counterparts in the private sector and other state governments. LD 1854 would close this pay gap for executive branch employees by requiring the Administrative and Financial Services Commissioner to complete a compensation review and subsequent report, and implement any recommendations by July 1, 2024. Moving forward, the legislation would also require a market pay study comparison every two years and a comprehensive review every 10 years. Additionally, it would create the State Employee Compensation Stabilization Fund to pay for salary increases.
"We have to acknowledge the significant pay gap that exists between our workers and people who do the exact same job in the private sector and for other states," said Gattine. Independent studies have shown that this pay gap is about 15%. This is fundamentally unfair to people who show up every day and do difficult and demanding work on behalf of Maine people.
According to a 2020 study by the Maine Department of Administrative and Financial Services, each year between 2009 and 2019, Maine state workers received no or modest wage increases, with an overall raise of 10.4% for the decade. During the same period, the overall rate of inflation was 18%, meaning workers real wages actually shrank. Over the decade, Maines inflation-adjusted gross domestic product grew by 10.8%, while state workers purchasing power declined.
The bill received substantial support from the Maine Center for Economic Policy and the Maine Service Employees Association, among others. Additional testimony can be found here.
"At a time of significant budget surpluses, if we expect to deliver the kinds of high-quality public services our residents need and deserve, we must do more to properly value our public servants," said Arthur Phillips, an analyst at the Maine Center for Economic Policy. "Given the history of undervaluing public sector workers, our historic budget surpluses, and the effects of a very competitive labor market, we urge [the committee] to support LD 1854."
"The state employee pay gap is unfair and unjust," said Rep. Holly Stover, D-Boothbay, the House chair of the State and Local Government Committee. "We must ensure that our state employees' salaries reflect the crucial work we do for Maine people. Rep. Gattine's legislation would improve the job classification system to more accurately reflect the work performed by state employees and compensate them at rates more comparable to the private sector workforce."
The committee will hold a work session on the bill in the coming weeks.
Gattine is serving his fifth non-consecutive term in the Maine House and represents parts of Westbrook, Scarborough and Saco. He is a member of the Appropriations and Financial Affairs Committee and the Joint Select Committee on Housing.
Contact:
Brian Lee [Gattine, Stover], c. 305-965-2744