Saturday, April 16, 2011
I found another "brilliant" US News & World Report article this evening. It was making an attempt to explain the current economy in terms of job creation vs salaries. The title was Why Jobs are Recovering but Pay isn't, and it listed the following reasons...
1 Companies don't need that many workers.
2 Too many workers have the wrong skills.
3 High-paying jobs aren't coming back so fast.
4 Fewer middle-aged men are working.
5 Homeowners can't move
The article went into detail on each point, and if you're interested you can read the article in its entirety 'HERE'
But that is not the reason pay isn't rising... here's 4 Real reasons why:
1) 'Don't have to.. don't need to.. not going to' - It's simple supply/demand. As long as there's hundreds or even thousands of job applicants for every open position, the employer can pretty much offer any wage he/she wishes. And more desperate people are.. the less the savings/financial security behind them, the more table scraps look like filet mignon.
2) 'Can't stay at Waldorf Astoria on Wal-Mart wages' - If you are to believe the premise that job creation is on the rise, you must be aware of what these jobs are. They are service sector jobs.. entry level jobs.. food service.. greeters/stockers.. all those positions that one usually does part time while completing High School. The jobs being 'created' that all those vile, despicable politicians spout, do not pay living wages enough for individuals to take care of themselves, much less support a family.
3) 'Scared workers make more-efficient workers' - When a company lays off workers in droves, it does two things- gets rid of 'dead weight' as the company sees it which allows it to lock in greater profits, and the remaining workers are so scared shitless they are next, they work even harder. This allows the company to get more work productivity per wage hour with no incentive to increase hiring back to pre-recession levels or to increase wages to reward the extra effort of its workforce.
4) 'Temps, Temps, Temps' - Temporary workers are like manna to the employer. You pick up the phone- call the temp agency and get who you need for however long or short a period as you need... 3 months.. 3 weeks.. 3 hours.. Can get rid of them for any reason.. or no reason.. can harass and bully them, and if they protest, just simply pick up the phone and get another. No benefits.. no protections.. -- just a basic hourly wage that continues at company's discretion and when they've discarded the temp, there's no unemployment benefits to pay out.
~ You will just Never get any real honesty from the mainstream media on Anything that relates to the economy and the current recession.. Never Ever
Posted by Susquehanna at Saturday, April 16, 2011