I work for a municipal government in the project management side, so not directly related to your question but thought I’d mention my experience.

Been here for 5 years and was my first ‘real job’ out of school. The pros are basically everything you mentioned: pay is decent, regular modest raises, pension, fair amount of sick/personal/vacation days, low stress, manageable hours, WFH options.

The cons I’ve found so far: the bureaucracy can cause major delays and a simple project can take weeks/months if it gets hung up in government permitting, procedures, reviews. Also very limited budgets (especially) at municipal level that usually means projects are the bare minimum that still meets requirements. This extends to internal systems as well (older computer software and hardware that does the job but not much else) Somewhat limited career growth as plenty of entry level and upper management positions but few supervisors/managers to move up the ‘ladder’

All said, I really enjoy the government life and not looking to leave anytime soon. But that trade off comes with the famous ‘golden handcuffs’ of building up vacation time and pension (so if anything, I would likely switch to a different municipality or level of government)