Depending on how you count, between 10% and 40% of the US is employed by the govt either directly or by proxy.
I understand your sentiment, but the reality of just shedding a large fraction of those jobs is hard to even imagine. Unemployment in 2008-2009 peaked at around 10%.
Between income taxes, corporate taxes, sales tax etc. most people with jobs give up half the money they make to the government anyway, so that makes sense.
Why not just employ 100% since a high government employment number seems like a virtue?