"For corporate America, the Great Recession is over. For the American work force, it's not."
That's how David Leonhardt of the New York Times puts it, as he grapples with a quandary that we've raised several times lately: The economy is growing again, and corporate profits are off the charts. So why is job growth still so slow? And how have other countries managed to keep unemployment lower than ours, even with slower economic growth?
Some observers lately have blamed the problem on structural factors -- there's a mismatch, they say, between the types of jobs available in a given location, and the types of skills that workers have. That's a problem that only long-term retraining efforts can likely fix.
But Leonhardt, a respected economics columnist for the Times, appears to disagree. One "obvious" explanation for slow job growth, he argues, is a shift in power away from workers and toward management. Leonhardt writes:
Answer by tyfry7496 at 3:56 PM on Jan. 19, 2011
Answer by SweetLoveofMine at 3:57 PM on Jan. 19, 2011
Answer by waldorfmom at 4:01 PM on Jan. 19, 2011
Because American Corps have found the only way to compete with their foreign/global counterparts is to reduce labor costs- This is the new reality for America workers. My husband, who is Corporate, says they will not be hiring more anytime soon. They have found to shift responsibilities and cover more with less. My employer, same thing. Increased pt to nurse ratios- Most of the nurses in my unit are laid off 1/6 th of their scheduled time. Do we have open Nursing positions? Yes. Are we hiring? Nope. Holding on to liquid assets, meeting the needs/expectations of the share holders, yes. The American worker is far removed from the radar screen.
Answer by Sisteract at 4:18 PM on Jan. 19, 2011
Answer by waldorfmom at 4:18 PM on Jan. 19, 2011
Answer by waldorfmom at 4:31 PM on Jan. 19, 2011
Answer by kenzie07 at 4:33 PM on Jan. 19, 2011
Profits are off the charts- They aren't just up from last year. The third quarter in 2010 had the largest profit ever recorded in American history. Corporate America is prospering, while most people are still struggling. The reason why, is simple because they can. They are profiting from not hiring American workers, they are profiting by making the people they do have do the work of two people, they are profiting with all the tax breaks they get when they ship their jobs overseas. They are getting away with murder and we are letting them. They aren't paying their fair share of taxes, there are so many loop holes set up for them. They will continue to do this as long as we allow this, and the people stay brainwashed and think they aren't hiring because of uncertainty. That is an excuse, you are buying it hook line and sinker, while they laugh at you all the way to the bank.
Answer by mommom2000 at 4:38 PM on Jan. 19, 2011
That profit is THEIR wages !
Of COURSE they must drop employees if the profits drop ! Duh
Their profits aren't dropping Duh!!
Answer by mommom2000 at 4:40 PM on Jan. 19, 2011