Are Employers Taking Advantage Of The Current Economic Crisis To Reduce Wages?

[DemocratSinceBirth]

Marx wrote of the "reserve army of the unemployed" which exists to suppress wages. It seems that army is getting larger and larger. My fiancee is an accountant with nearly twenty years of public and private accounting experience. Beside the conventional ways of finding a job such as canvassing your friends and acquaintances, replying to posted jobs, and cold calling I get up every morning early and post her resume at fifteen or so locations on craigslist,mostly in CA and the southeast.

While posting her resume I look at some of the help wanted ads. Businesses in L A ans SoCal are offering bookkeepers/accountants $12.50 -$15.00 an hour. That comes out to about $350.00-$400.00 a week take home pay. How are folks supposed to live on those wages?

[KittyWampus]

1. How are people supposed to live on those wages? Moving back in with parents, double occupancy

in single family homes. For instance.

[DemocratSinceBirth]

4. That's How Folks Lived In The Former Soviet Union Which Was Our Favorite Whipping Boy

~

[KittyWampus]

5. idea for your partner- set up a "booth" at local fair or whatever and offer free advice

people might very well end up asking her to do their taxes.

I posted a story last year about a carpenter/contractor who did this and got work. People would ask about this, that, the other and end up hiring him.

Like the Soviet Union and all third world countries, Americans are going to have to start making it work on their own.

[laughingliberal]

2. I have no reason to believe they are not doing this. They managed to keep wages low before this

happened and I have no doubt they are using it to further depress the wages.

[Powerdot16]

3. Definitely

Serf's up.

[Fridays Child]

6. Serf's up...

Well put!

[rfranklin]

7. India's outsourcing firms are booming despite the recession...

The vultures are working overtime now.

[Jkid]

8. $12.50-$15 per hour?

I would take that job, if I can get a cheap apartment.

[Statistical]

16. In LA that is an oxymoron.

Apartments come "expensive", "super expensive", and "if you need to ask you can't afford it".

[Jkid]

19. So if you want that job, you are practically FORCED to commute by car.

or via rail or metro (if available...)

[DemocratSinceBirth]

21. Or Move Back In With Your Parents If They Are Still Alive

~

[FarCenter]

9. The advantage of wage employees over slaves is that you don't have to feed them when work is slack

An employer has no capital tied up in the value of slaves, doesn't experience fluctuations in worth as prices of slaves go up and down, and doesn't have to maintain the slaves during economic downturns when they cannot be gainfully employed.

The employer just fires them or cuts their wages as the markets allow.

Its a much better system.

[Winterblues]

10. What would you have them do in such a crisis?

Spend more? It is survival for many and that means cut wherever one can cut. In my company all owners took a ten percent pay cut and employees get one day every two weeks off, without pay..Haven't had to cut wages....yet!!!

[laughingliberal]

12. Your company is to be commended

However, I know you do not propose to argue that some of the big guys are not using the crisis as an excuse to drive wages down. After all, there are some CEO's doing quite well and not taking pay cuts but I suspect they have frozen wages for their peasant workers and are requiring fewer people to do more work. Course that's pretty much the scenario of the last 2+ decades. It's just on steroids, now.

[DemocratSinceBirth]

15. If You Have To Cut Wages You Have To Cut Wages

But I didn't invent the concept of surplus value.

Back to my post.

How can a person live in, say, Anaheim, California on #$375.00 a week take home pay when the average apartment is $1,500.00.

[AllentownJake]

11. Supply and Demand is taking advantage

and the government is inflating asset prices other than labor by messing with supply in housing, energy, and food.

[hootinholler]

13. Gosh I thought that's what outsourcing was for n/t

[sense]

14. Absolutely!

40% cut in 2008, then an additional 30% cut in 2009, plus another reduction coming for 2010. All while the company prospers and expands and the workload increases. Sickening lack of integrity among so many of the wealthy. Taking advantage of the economy to add to their riches on the backs of the people actually doing the work.

[county worker]

17. I've seen that happen many times. I am an accountant and it's happened to me.

When ever there is high unemployment the temp agencies like Robert Half start reducing the pay rates they offer to businesses that use the temps. Then the businesses start filling those temp positions with people and pay them what Robert Half was paying them.

The effect is to drop everyone down several notches. People are desperate and can't wait around until something better comes along. My advice to accountants is to work for government. Usually there is a union and the pay scales are not lowered. What we do is to not fill vacant positions to keep costs down and take furloughs without pay. Of course governments are not hiring now either.

I really feel for people who are trapped in this cycle. I have been there a lot. So far I have been able to keep my job.

[DemocratSinceBirth]

18. Interesting

My fiancee has been on interviews with Robert Half and their subsidiary-Accountuntemps.


She(we) will take whatever comes along to tide us over. She's a great accountant!

[county worker]

24. Here is how to get temp jobs with Robert Half.

I worked for them in the San Diego, Bakersfield and Santa Barbara area.

You have to take their tests for Excel and accounting and fill out the list of the accounting duties you are qualified for. Have a list of good references that they can call and they will call. The person who interviews you is the person to call EVERY DAY!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

I can't emphasize enough to call everyday and ask if there is some assignment you can go on. They decide how ambitious you are by how often you rattle their chain and it keeps your name on their mind. Eventually they will call (sometimes weeks after you interviewed) and tell you they have a short term position but it pays lower then you said you would work for. TAKE IT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! but tell them that if something comes up while you are on the job that pays more and is more to your skill level please let you know.

They are taking a risk sending you out the first time because they don't know you. If you screw up Robert Half may lose that employer for ever and they don't want that to happen.

Do the very best job you can do even though the job may suck! There will be times when the person in charge is a real ass hole or that they tell you "you are just a temp" or "your are so and so's temp". Swallow all the pain and take it.

The employer will send a report back to Robert Half on how well you are doing. The employer doesn't have to pay for the fist day and if they don't like you, you will be called and asked to come into Robert Half office. You don't want that to happen.

I get emails every other week asking if I know someone who could fill a temp position. I have been both an employee and customer of Robert Half.


In times like these it is the person with ambition and willingness to do what ever is in front of them to do that gets the jobs.

I use to like that others would not take a certain job or was not calling in because I would and I got jobs.

A couple of them turned into permanent positions.




On edit:

Here is an email I got last week.




Accountemps has a new opportunity‏
From: De Los Rios, Christy (01260) ([e-mail])
Sent: Wed 3/03/10 10:54 AM
To:

Do you know anyone who is unemployed seeking work in accounting?

We are currently looking for someone to start by next week/



Manufacturing company in Goleta is seeking a experience accountant for a one month project. Will be responsible for bank and account reconciliations, posting to the General Ledger, asset management and financial reporting. Hour are full-time. Up to $18/hr FT.



Call me today if you are interested or know someone who is.



Christy De Los Rios

Metro Market Manager

Robert Half International

Santa Barbara and Oxnard locations



Accountemps www.accountemps.com

OfficeTeam www.officeteam.com

e-mail: [e-mail]

phone: [phone]



Robert Half International has been named to the World’s Most Admired Companies list by Fortune magazine, ranking number one in our industry.

Robert Half International was named one of the 130 "Champions of the World", a list derived from those companies that make up the Forbes' Global 2000.

Robert Half International is celebrating 61 Years of Excellence!

[Dulcinea]

20. Yes.

And companies will also use the recession as an excuse to get rid of employees they don't want.

[Tierra_y_Libertad]

22. The capitalists' wet dream has come true. More workers than jobs.

[Dappleganger]

23. Cut wages, get rid of old people, reduce 401K obligations, pension obligations

(if any left), overtime, health insurance for people w/lots of health problems, fat people, ugly people, LGBT people, non-white people, poor people, intelligent people...the list could go on and on.