Public workers don't settle for less pay than private sector workers, that is an often repeated talking point that simply isn't true.[0] A garbage man, janitor, administrator, etc. working for the government isn't going to magically make more salary by quitting and going to the private sector. Top level employees can make more in the private sector, but the average worker cannot. Public employees make more money, are very difficult to fire, and have far more benefits than most workers.
"Other studies based on comparisons between similar federal and private workers find either no wage gap or a federal wage advantage. A 2012 Congressional Budget Office (CBO) study found that, for comparable workers, federal wages were similar to private wages overall, with just a small two percent advantage for federal workers"
Looking at that report it looks like from a bachelors on up public sector workers get less compensation then private.
They absolutely do settle for less. I moved from public sector to private sector and tripled my total compensation. I did go to a lot more meetings, though. :-)
At lower skill and compensation levels public sector jobs do have a pay advantage. At much past high school graduate levels of skill the advantage shifts to private pay, and that shift goes exponential for any skill that is in demand.
> Public workers don't settle for less pay than private sector workers
That's...Complicated. In unskilled labor and skilled trades positions, it's often the case that public salaries are competitive, or at least that total compensation (including benefits) is.
In most general analytical/management positions, it's not close, public employees get paid far less.
In IT and some other fields the gap is even greater.
[0] https://www.downsizinggovernment.org/federal-worker-pay