Public Sector:
This refers to town, city, county, state or federal government. There is a very large range of roles and industries included within the public sector. There are certain advantages to working in the public sector rather than the private sector, and likewise there are certain disadvantages, although these will both vary by industry.

Public sector work is funded by taxpayer money, and so it is service, rather than profit driven. Public sector employees are also referred to as civil servants. Examples of public sector employees include public school teachers, postal workers, police ocers, government employees, city planners, certain healthcare workers, firefighters, social workers, and much more.

Advantages of working in the public sector: Employees in the public sector have more job security than those in the private sector, and are shielded from the fragility of employment in times of economic instability, because the government has a steady income source. Likewise, public sector employees have steadier incomes than those in the private sector because they are less susceptible to economic conditions.

◈ Hiring processes in the public sector are often much slower than in the private sector, however this also means that firing processes are also much slower. It is much more dicult to be fired from a public sector position than a private sector one. Jobs in the public sector are more secure, although salaries do not have the same growth potential as private sector jobs.

Public sector jobs are designed within what is called a ‘meritocratic system’ meaning that there are clear steps for advancement, which must be available to all employees who are progressing in the role. In the public sector, employers must not only compensate the employee at a consistent wage, but they must provide employees with a stable number of hours, further ensuring a stable income for public employees.

Disadvantages of working in the public sector: In order to access many public sector jobs, it is necessary to take what are called civil service exams, which evaluate what your skill set and abilities are, and make a certain selection of jobs available to you based on that information. Because of the bureaucratic nature of the hiring process, of which the civil service exams are an early step, the hiring process in the public sector is very slow, and can take up to a year (this is because the positions are highly stable and the government makes sure to choose someone who will remain in a position and pursue advancement in that field long-term).

While incomes in the public sector are very steady and do not fluctuate with the economy, they have certain caps which private sector jobs do not have, and so those in the public sector may not be making as much as those performing the same role in the private sector.

Private Sector:

This refers to any labor which is not paid for by some level of government, and so includes almost all labor industries. There are certain advantages, as well as certain disadvantages to working in the private sector, although these will also vary by industry. Private sector work relies on revenue from the economy, which means that it is profit driven.

Advantages of working in the private sector: The private sector consists of jobs which are not paid for by taxpayer money. What this means is that jobs in the private sector are not a part of a large, and therefore very slow, bureaucratic system, and so the hiring process is much faster, as is the process of advancement.

◈ Because the private sector is funded by the market economy, wages can increase more rapidly than in the public sector, and are not subject to caps, because they are not limited by the annual tax budget and regulation.

◈ There is more flexibility in the private sector, meaning that it is easier to move in and out of jobs, to shift paths, and to work out work-hour and income arrangements with your employer, unlike in the public sector, in which bureaucratic procedure makes it more difficult to make individual adjustments, and quick changes. Private sector salaries are more negotiable.

Disadvantages of working in the private sector: The disadvantages of working in the private sector are that it is a much more flexible system, which means that it is much easier for employers to hire and to fire, and so employment is less stable.

◈ Likewise, the private sector is subject to the conditions of the economy, and so when the economy is struggling, private sector employers are struggling too, which means they will have to lay off employees, offer fewer work hours, and cease to offer wages until their own incomes have recovered.

◈ Private sector employees are less protected from the economy, and so in regions or periods of time in which the economy is struggling, private sector employment is less secure than public sector employment.

Nonprofit Sector:
Nonprofits are a significant private sector employer and they work in an unusual way, somewhere between the private and public sector models. Nonprofits are service, rather than profit driven, and in this way they resemble public sector employers. However, they are funded by private money, and so resemble the private sector in this way.

They have a mediated relationship to the market, which means that they are funded by excess income from profit driven companies whose money comes from the market economy.

◈ Because nonprofits do not need to make money on the one hand, and are not subject to the same kind of bureaucratic systems as public sector employers are, they can often engage in work which is more exploratory, academic, or experimental in nature, and which is more tailored to the unique area or situation they are concerned with. They can provide education and assistance that the government does not have the resources to.

Nonprofit Fields Include:

Education: colleges and universities, elementary and secondary schools, educational support services
Social Assistance: vocational rehabilitation services, individual and family services, emergency and relief services, child and daycare services

Healthcare: hospitals, nursing and residential care, ambulatory health care

Arts Entertainment and Recreation: museums, historical sites, zoos and parks, performing arts and spectator sports.

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Further Employment Considerations