Video- US Congressmen’s wealth increasing despite recession
The US recession has hurt main street America. A million people lost their homes to foreclosure last year . Millions more are out of work. Poverty is at an all time high and some economists say the middle class is disappearing. But there’s at least one group the recession apparently hasn’t touched: Members of Congress.
According to the Wall Street Journal, lawmakers’ income tripled from 2006 to 2010. Side private sector jobs or ownership of companies boosted personal bank accounts.
Some analysts say big bank accounts contribute to Congress being out of touch with the rest of America.
Congressional rules allow lawmakers to earn around 27 thousand a year from outside work. But Congress does not cap the amount of money a Congressman or Senator can receive from companies in the form of dividends or profits.
2010 Financial disclosure statements show 68 lawmakers accepted outside income totaling more than 27 million dollars. Compared to 2006 when 75 lawmakers reported totally earning less than 8 million from other sources. How lawmakers earn extra money varies.
More than a dozen serve on corporate boards. Scores receive money from investments in real-estate holdings. 2010 big money earners include Congressman John Fleming who received more than six million from Subway restaurants. And Congressman Tom Petri who took in as much as $5 million from Lloyd’s, the London insurance market, where he’s been a partner since 1983. Some analysts believe members of Congress are earning more in outside salaries because they have to.
Many Americans agree.
According to Common Cause, during the heart of the recession, the combined personal wealth of Congress went up 16 percent.
The group is working an uphill battle to change the way Congress raises money to run for office, so more average Americans have a chance to come to Washington. Meanwhile, the national economy is struggling to keep it’s head above water.
