http://www.msnbc.msn.com/id/41781471/ns/business-bloomberg_businessweek/http://www.telegram.com/article/20110227/NEWS/102270521/1002/businessWorkers forced to settle for less in new economy
Lower pay and worse benefitsBy Joshua Zumbrun and Shobhana Chandra BLOOMBERG NEWS
Sunday, February 27, 2011
snip
The improvement in the unemployment rate to 9 percent in January from a two-decade peak of 10.1 percent in October 2009 masks a new reality: Many of the jobs people are taking as the economy rebounds offer lower pay, fewer hours and worse benefits than some of the 8.75 million positions that disappeared because of the recession, according to Paul Ashworth, chief U.S. economist at Capital Economics Ltd. in Toronto.
This may restrain income growth, limiting bigger gains in consumer spending, which accounts for about 70 percent of the U.S. economy. It also underscores Federal Reserve Chairman Ben S. Bernanke’s contention that wages, which increased 1.7 percent on an average hourly basis last year, have acted as a constraint on inflation, allowing the central bank to keep interest rates at record lows to sustain growth.
“In the last recovery, we were adding management jobs at this point, and this time it’s disappointing,” said Ashworth, who published a report on Jan. 27 about pre- and post-slump employment based on data from the Bureau of Labor Statistics. “The very best jobs, we’re still losing those.”
Projections from the bureau reinforce his pessimism. While the number of openings for food preparation and serving workers, including those at fast-food restaurants, will grow by 394,300 in the decade ending in 2018, the median wage is only $16,430 including tips, based on 2008 data. Meanwhile the number of posts for financial examiners, who earn $70,930, will expand by just 11,100.
http://www.skyvalleychronicle.com/FEATURE-NEWS/THE-NEW-TRICKLE-DOWN-ECONOMICS-BR-Economic-recovery-being-built-on-low-pay-McJobs-br-I-In-past-thirty-years-America-s-leading-export-has-been-good-paying-American-jobs-I-602399
THE NEW TRICKLE
DOWN ECONOMICS
Economic recovery being
built on low pay “McJobs”
In past thirty years
America’s leading export has been
good paying American jobs
February 26, 2011
(MONROE, WA) -- If you’ve been out of work for a long time and have been forced to take a job far below your previous one in pay, prestige and future advancement potential – or have been forced by circumstances to lower your aim and start looking for that type of replacement job - you are far from alone.
America’s economic recovery appears to be built on a foundation of “McJobs”, according to a new Bloomberg/MSNBC report -- and there are those who saw this coming decades ago.
snip
And even though U.S. corporations have amassed record levels of profits and cash reserves, they are off shoring their legal work simply because it puts even more money in their pockets, says Hightower.
snip
NAFTA has turned out to be great for investors, not so for many American workers.
NAFTA, you ask? Well, Obama, unlike his
http://www.economyincrisis.org/content/obamas-unfulfilled-nafta-campaign-promise">campaign promise to renegotiate it in favor of American workers, is
http://www.csmonitor.com/USA/Foreign-Policy/2011/0304/Mexican-trucks-to-ply-US-highways-Obama-is-ready-to-roll">expanding and solidifying it on behalf of the US Chamber of Commerce and a few wealthy investors.
But it doesn't stop there, Mr. and Ms. Declining Middle Class: Obama has negotiated, on behalf of Wall St. and the US Chamber of Commerce, a
http://www.sfgate.com/cgi-bin/blogs/opinionshop/detail?entry_id=84296">brand-new NAFTA-style deal with South Korea.
Has the plutocracy made sure there's enough cake for the other 90% to eat?
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