Federal Job and benefit cuts

[lemnad]

Assuming things get much worse, eventually the Government will have no choice but to start slashing jobs and benefits. Anyone one have any idea of the hierarchy of what federal jobs and departments get the axe first? Also which benefits are the first to go? I would imagine it would be a drawdown of size across the board at first with whole departments being shut down later, and entire welfare programs including State ran ones. Also if they start suspending benefit payments I wonder how they pick and choose who loses SSI payments etc? I wonder how scaling back the Military fits into the picture as well. I'm really curious about this because I think it's coming (I already heard of plans floating around that are just said to involve large Federal job and Military spending cuts with no specifics). Just wondering if anyone has any real insite or info on how this actually goes down?

 

[SevenEyedJeff]

They won't axe or cut anything, they will just keep printing more and more money to cover all the expenditures. Of course, the eventual result will be hyperinflation. Your fiat savings will be wiped out, and you will be struggling to get enough money for food, but we will still have all the lovely federal departments intact.

Why raise taxes and cut spending, when you can lower taxes and increase spending? It's been this government's policy for some time. Just keep the printing presses rolling and everything will be fine.

 

[Ceos]

This is the point; federal jobs will not lose benefits.

They will use this benefits to draw more people into federal jobs while real working jobs decrease. A greater dependency on the state.

They will put your head on the chopping block before they will put their subordinates on it.

 

[Brassmouth]

I actually saw a pamphlet at a job fair that said the federal government "has plans" to employee many more (I forget the exact number, maybe 100,000) people over the next few years.

 

[cheapseats]

I actually saw a pamphlet at a job fair that said the federal government "has plans" to employee many more (I forget the exact number, maybe 100,000) people over the next few years.

Certainly the term Federal Workforce features prominently in Barack Obama's economic plans.

One can imagine layoffs of senior employees, perhaps some early retirement incentives, then enticing the unemployed into government "service" with "more realistic" compensation packages.

Military Brass has big recruitment plans, I heard on C-SPAN.

 

[Acala]

Good Job

I was going to reply and then I saw that everyone else had already done the job.

Federal spending on jobs, giveaway programs, and bailouts of state and local government will be the engine that drives the next round of inflation.

The trend is already in place: private sector jobs are steadily falling along with tax revenues while at the same time government jobs, government subsidized jobs, and total government spending are increasing. This trend will accelerate and the deficit will be made up with inflation.

Government is not going to get smaller. It will get bigger until it is the only employer. Welcome to the new age, comrade!