“I’ve never seen anything like this,” said Andrew Sum, an economics professor and director of the Center for Labor Market Studies at Northeastern University in Boston. “Not only did they throw all these people off the payrolls, they also cut back on the hours of the people who stayed on the job.”I don't know if I agree with Bob Herbert that regulations like those in Germany are the answer to this problem, but I do see that the problem is real. I thought we could talk about some of the different ways to address it. In short, companies are not passing on the gains they have made off of better productivity and a recovering economy to workers.
As Professor Sum studied the data coming in from the recession, he realized that the carnage that occurred in the workplace was out of proportion to the economic hit that corporations were taking. While no one questions the severity of the downturn — the worst of the entire post-World War II period — the economic data show that workers to a great extent were shamefully exploited.
A Sin and a Shame by Bob Herbert
I think it's possible that to some extent companies are still spooked, they don't think the worse is over and they don't want to increase payroll until they are in the clear. The other explanation is simply greed.
So, how, within the confines of a capitalist system, can we provide a market pressure that will lead to hiring and to higher wages? There has got to be a way to make this happen without involving the government. But what is it?
It is only in the world of Chamber of Commerce propaganda that businesses exist to create jobs. In the real world, businesses exist to create profits for shareholders, not jobs for workers. That's why they call it capitalism, not job-ism. There's no reason to beat up on business owners and executives simply because they're doing what the system encourages them to do.Do you think that Mr. Pearlstein is right? If so what happens if, even as corporate profits rise unemployment dosn't change? Do we suck it up? Work harder for less?
Washinton Post, Steven Pearlstein
I'm trying to save and invest money as well as buy land so that income isn't based on someone paying me. But, not all people have the capital to benign such a project.