Saturday, November 9, 2013
Low pay is all connected!
Roughly half of the jobs created in the US in the
past three years have been low-paying jobs, according to economists at the Royal Bank of Scotland, in a research note sent to clients on Monday, titled "A Closer Look At The Labor Market Recovery."
Nearly all of the 6.2 million jobs created since the job market first started its historically lousy recovery in the spring of 2010 (nearly a full year after the recession ended) have been in the private services sector, according to RBS. And of the roughly 160,000 jobs per month created in that sector, about 80,000 of them have been "low-paying," according to RBS. "High-paying" and "average-paying" jobs account for about
40,000 jobs each, according to RBS.
You know that Big-box stores undermine small businesses and growth just by looking at your dead downtown stores.
The business models of big-box chains are to dominate market share. That is, they grow mostly at the expense of existing competitors, many of them locally owned independent businesses. Walmart has a goal of at least 30 percent market share for its many major product lines; Home Depot and Lowe's together now have about half of home improvement sales. With their massive advertising budgets, ability to squeeze suppliers on wholesale prices, and use of devices such as “loss leaders” and end-cap specials (those catchy deals at the ends of aisles), the chains have the ability to undercut smaller retailers.
Retailing is notorious for its low wages, part-time hours, and lack of health insurance and pension benefits. The only exception are those grocery chains that are unionized, but big-box behemoth Walmart, by entering the grocery business with its Supercenters and aggressively fighting union organizing efforts, is now the top seller of food and a major source of downward pressure on grocery wages.
The same pattern is true even in retail segments where there are no unions. As studies by the Austin, Texas-based consulting firm Civic Economics have found, national retail (including restaurant) chains in general pay lower wages and benefits than do locally owned businesses.
By that measure and others, it has found that the chains generate fewer ripple effects in local economies: they procure less, bank less, contribute less, and participate less.
When Wal-Mart and other poverty-wage retailers fail to provide their workers with a decent wage and full-time hours, many employees and their families qualify for safety-net help such as Medicaid, State Children's Health Insurance Program, Earned Income Tax Credits, Section 8 housing assistance, low income energy assistance, and free or discounted school lunches. These programs cost taxpayers money.
***So overall your town might not be doing well at all.
Give it's not like Detroit, but it's connected being that many in the US does not make a living wage, pushing no sales in your state, town.
Well you can make it but can they afford it?
Yes the pay is low while the work places are making the money.
Like Walmart in the $419 billion in sales income vs the worker in the
$6.80 after taxes income! What is fair?
Yes I say we are in a great depression, being that low pay all over the
states effects your state, town you live in, being many are poor
and buys nothing. No sales makes no jobs in your town.
You might need to look at "Maps Of Extreme Income Segregation In US Cities" to get the point. All of those people are not buying much that your work place makes!
Who has most of the money is it the workers? They are not seeing their fair share. It's time to pay workers better!