Sequestration - It's Just Beginning

Tyler Durden's picture

Evidence of the sequester remains elusive. The warning signs that we track closely – initial jobless claims, Richmond Fed, personal income and payrolls – do not show any material deterioration that we can attribute to the sequester. One mystery is why personal income of government workers has not contracted, as fewer hours worked should equal less pay. The answer, BofAML notes, is simple - it's just beginning...

Close to a million federal employees have been told that they will be furloughed for several days this year, but the number that has actually started to take furlough days is quite low.

We expect aggregate government worker income to decline in May given that furloughs started in late May.

The first day of government wide furloughs was on May 24, when roughly 115,000 federal workers, or 5% of the total federal work force, stayed home without pay.

However, with the majority of the furloughs not kicking in until the beginning of July, including the Pentagon’s 680,000 furloughs beginning July 8, the real income shock will not show up until the July personal income and outlay report on August 30.

 

Source: BofAML

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Seasmoke's picture

Fuck Furloughs.......Fire these cocksuckers .....so we can see instant results

SpykerSpeed's picture

Agreed.  I'm sick of these parasites who go around calling themselves "heroes" and "first responders".  Repair the potholes and take up my trash, motherfuckers.

LetThemEatRand's picture

I'm as sick of the bloated federal government as the next guy, but 1) firefighters are not federal employees, and 2) rather than slam people who actually do something useful (even if you disagree about who pays for it), can we start with the IRS and the Dept of Homeland Security and the NSA and the DOD and then work our way down?  

P.S.  And get rid of the Fed (not a government entity, but it would save us all a shit ton of tax money).

Precious's picture

They're taking a furlough from fucking off at the office all day long.

nmewn's picture

How about the Department of Education & HHS?

LetThemEatRand's picture

Agree on Education -- the states can do that just fine.  HHS has some value and I wouldn't get rid of it.  A lot of old people would literally die for lack of health care if we did away with it over night.

nmewn's picture

The federal government taxing the young (taking their administrative cut for salaries & pensions) and soon picking & choosing which of the old will live or die is the problem, not the solution.

HHS does many things under its umbrella of "customer service".

Why can't the individual states decide how best to care for old people who are impoverished or without family just like educating the young?

To my way of thinking, we can cut out the federal "middle man".

Totentänzerlied's picture

Reduction ad absurdam. The states are, well, states, or at governments. They are only any less morally degenerate than their federal master for simple lack of opportunity/means. Without the federal government, the states would be free to become as tyrannical as they please, jockeying for the position currently occupied by the federal government, essentially.

It is purely a difference of degree, there is no difference in kind. Please stop applying this frankly asinine double-standard. The states have plenty of evil deeds to answer for as it is, giving them more power, as with any government or state, is not a solution to too much state power. The core fallacy of all statists who don't admit that their intent is malicious is that the state can, at least hypothetically, be used to good ends. It is at best a grossly disingenuous argument, at worst a despicably calllous lie, and, either way, not true.

Your last sentence really says it all, unintentionally, no doubt. Why be tyrannized by apex-sociopaths 1000 miles away when you've got the penultimate-sociopaths 100 miles away?

Just another morally bankrupt statist, eagerly awaiting the 10,000,000th configuration of state power which will surely be nothing those before it because... *silence*

Orémus's picture

people have more influence on tyrans 100 miles away

a state is the best configuration possible for you are ruled by people not too far away and are strong enough to keep your neighbours states from invading you

about sequestration if you want to save money you have to stop paying for the most unuseful of your spendings : the debt

GetZeeGold's picture

 

 

Send the power back to the states and cut off the spigot.....simple as that.

onewayticket2's picture

The furloughed workers get unemployment while out and will get back pay when they return.....little economic impact.

MR166's picture

You can always move to another state that is run in a way that you approve of.  You cannot escape the federal government. 

TPTB_r_TBTF's picture

Ummm...?

 

Which state is run in a way in which i approve of?

Marco's picture

Any factor which is a drag on competetiveness will be raced to the bottom between states if it can be ... there is a good case to be made that distribution of welfare should be largely left to the states, but the taxation to pay for it needs to be at a federal level.

Jake88's picture

We wouldn't want old people to die now. That would just be wrong.

Clever Name's picture

Cant remember the third dept that should be eliminated there, Gov. Perry?

nmewn's picture

Clever, there's more than just three, you'll exhausted long before you hit "F & U" ;-)

http://www.usa.gov/directory/federal/index.shtml

Clever Name's picture

Oh you dont have to tell me, I'd get rid of at least half!

 

Oh jeez, its way worse than I thought. How about 90% of those on the first "A" page alone?

nmewn's picture

There are very few things we need a federal government for. The issue is this and I hope people realize it and take it for what its worth.

The more complicated a "thing" is, the more corrupt it becomes. Adding another agency/law/bureaucracy every year complicates the "thing" until one arrives at the point the "thing" is unrecognizable to the intent of  the "thing" proposed.

Clever Name's picture

1)Military/defense

2)Justice system

3)Public works

4)Minimal public assistance programs

Funny, I actually believe that the argument could be made for socialized medicine under the auspice of public safety.

To your point about adding laws and bureaucracy: Perusing MSM, you can see pundits complaining and describing congress as 'do nothing' if they arent passing relatively many new laws. The implication being of course that more laws are always better. Ugh.

Idiocracy's picture

just a small taste from the menu:

Oh Christ....

Landrew's picture

Love your idea of the United States as a third world country.

fonzannoon's picture

LTER I have cops, firefighters, teachers etc retiring around me all the time at age 53 with a final salary of 140k. They get a pension anywhere between 75k and 125k (about 75% of the cops and firefighters get theirs tax free due to "disability". the free healthcare they have had all their life remains free. so if they fart and it smells funny they see 3 general practicioners and 2 specialists about it.

suggest that they could probably get by on half that, which is still better than the average private worker, and they will try to have you whacked.

I can't speak for everywhere else, but by me, it is so rigged it rivals the stock market.

LetThemEatRand's picture

I'll go along with the idea that their retirement packages are too sweet and should be reigned in, but I would focus more on why the private sector pales in comparison.  The private sector is being fucked up the ass by the same people who want to take what's left of the middle class (government workers).

fonzannoon's picture

It's gone man. the whole fucker needs to reset. the whole thing.

LetThemEatRand's picture

I think it is going to reset whether I want it to or not, because it's been drained by the oligarchs to the point where it cannot sustain.  But the problem isn't having decently paid police and firefighters.  We could have that and much more and barely pay federal taxes.

P.S.  I also think it is going to reset only for those portions of government that provide useful services such as firefighters.  The guys who work in the underground bunkers and who push the "buy" button at the Fed will get raises no matter how bad it gets.   That is always the model of collapsing empire.  Keep the enforcers wealthy.

Monedas's picture

Let Them Eat Ayn Rand ! (her books .... not her pussy, jeeesh ?)     You don't have to advocate for the scum .... they've got their own in house lawyers .... CONGRESS !

willwork4food's picture

"Keep the enforcers wealthy." Yea, and destroy the system from within while you extract every morsal of blood and sweat from peeps that work their asses off (like me) for years and barely make it to 75K, then HOPE the 401k is not confiscated by the rats in Congress, or devalued by the stock market.

GreatUncle's picture

Yep - I just look it as going to a movie or a play. Laugh at the funny points at they squirm trying to get out of it or gasp in amazement as they start applying haircuts. The whole thing is so bloody ridiculous now.

Happens though when you have 5 bills and little to no money to pay them.

Landrew's picture

Most of us have 403b retirement, which means we fund our own retirement. I love science that's why I do what I do for zero pay increase 6 of the last 10 yrs. Be my guest live on a mountain building an asteroid seeker camera and tell me how rich I am.

Things that go bump's picture

That which can't be sustained won't be, and those pensions are unsustainable. Those you speak of are state or county or city employees, and those entities do not have a printing press. Sooner or later they will not be able to borrow the money for those expenditures and you can't squeeze blood out of a taxpayer turnip (though I'm sure they will try). The more they raise taxes the less actual tax they will bring in. I think by the time this is all over there are going to be a great many disappointed people and its not a good thing to disappoint a cop. They turn surly and vendictive. They will probably start their own protection rackets and take up armed robbery, maybe compete with gangs for turf. 

August's picture

Spyker Speed makes a good point: there is IMHO a quite deliberate and not-so-subtle pattern of equating "first responders" and "heroes" with generic government enforcement agents and the military.

I recall very distinctly an image from the aftermath of the Newtown shooting: three "first reponders" - fire department guys from the look of their gear - were standing in a line and saluting.  Since when do fireman at an active emergency scene form up in a row and SALUTE... for the cameras? 

Having a negative reaction to, for instance, a criminal investigator from the IRS, or a wet-boy from the CIA, is like spitting on a firefighter.  Be very ashamed of yourselves, all ye vicious antisocial troglodytes. You hate America, and kick puppies.

 

Monedas's picture

If fire fighters and first responders want to be thought of as different .... they should come out for us .... they are very comfortably ensconced in the give away !

NOTW777's picture

many firefighters get paid more than fed workers and it comes from the tax payers.  CA cities facing BK because of over paying firefighters, law enforcement and other public employees.  they also can retire young and some receive almost full salaries in retirement

One World Mafia's picture

Think he means the guys in the white moon suits.

Muppet's picture

Firefighters have become excessive.  Volunteers firefighters and volunteer fire company's can return (as they once did) to displace huge salary & pension expense.  The grandious firehouses in many communities are a testament to excessive spending IMO.

macholatte's picture

 

 

Isn't the sequester dollar amount like less than 2% of the budget or something like that?

Here's a possible solution........ eliminate the paid day off.

How much would be saved by all governments (Fed, State, local) if people didn't get paid for not working?

 

Why won't that happen? Because it's important to demonize the Republicans and blame them so the little guy who votes has to feel as much pain as possible to build up a great resentment for the Red Team.

Blue Team is your friend. Free cell phones. Red Team Bad.

 

 

 

greatbeard's picture

>> it's important to demonize the Republicans

Were you under the impression the Repubs were blameless in the national clusterfuck?

LetThemEatRand's picture

It has nothing to do with demonizing one side more than the other.  Both sides are demonized by the other side, to keep the sheep thinking along party lines and blaming the other guy.   You're smarter than to be one of those guys.

macholatte's picture

 

 

Gents:

I appreciate the comments but please note, I was remarking on a well publicised political strategy and neither promoting nor defending the Red Team.

Things that go bump's picture

You are buying into a meme intended to be devisive. If we are fighting amongst ourselves over our prefered red or blue team, our conservative/progressive we are that much less able to present a united front that is able to effect any sort of real change if that is even possible now. I personally believe we are going to ride this sucker all the way down. Politics is theater. Pinning your hopes to a political candidate or party is futile. Ask anyone who was passionate about Obama and plumb the depths of their disapointment when they discovered that he was just a more articulate version of George Bush. I'm sure there was a smooth transition of power, as those in charge didn't change, only the suit in point position. 

Conchy Joe's picture

Yep - apparently theonly State/Government jobs they can cut are the Teachers, Policemen, Firemen, etc.

 

Doctor of Reality's picture

I'm a self employed doctor and I'm sick of being milked as you are... but I have patients in almost all levels of government, and they're unhappy too. We've all been lied to. 

fonzannoon's picture

You must live very far from me.

Hulk's picture

LOL!!!

/not really...

Bear's picture

If they voted for Obama and a congressional democrat, they are then getting what they deserve

Things that go bump's picture

Please, as if we are being given an actual choice. We are given a carefully selected and approved red candidate and a carefully selected and approved blue candidate, and aren't they pretty? Don't they have great hair? Both are the same, only differing on minor and meaningless issues, such as abortion and gay marriage. Even the presidential offerings have to be interviewed and approved by Rothschild. What we've got is the illusion of choice rather than the substance of it. Our elections are about as meaningful as those farces they used to hold in the former Soviet Union or the ones Sadam Hussein used to hold or Juan Peron. 

roadhazard's picture

As opposed to what, rightwingerism. I've been voting third party since the seventies. 

Bear's picture

Hell it would probably cost a million each to fire them, 20% sue for racial and age discrimination for another million and then they all go on disability and triple dip with .gov benes, food stamps and social security