Our Weirdly Random Employment System

           Serendipity plays such a starring role in our lives that we never stop to ask ourselves whether we ought to accept it. A random event, especially one that turns out to be your “big break,” becomes a charming story—even though, really, such happenstance is an indictment of a system that is no system at all.

Donald Sutherland, the New York Times noted in his recent obituary, “first came to the attention of many moviegoers as one of the Army misfits and sociopaths in ‘The Dirty Dozen’ (1967), set during World War II. His character had almost no lines until he was told to take over from another actor. ‘You with the big ears—you do it!’ he recalled the director, Robert Aldrich, yelling at him. ‘He didn’t even know my name.’”

Wait—if the other guy hadn’t messed up, we’d never have gotten to know this brilliant actor?

            James Kent, a chef and restauranteur who died June 16th at the age of 45, launched his career in a similarly random way, according to the Times: “In 1993, when Mr. Kent was a 14-year-old growing up in Greenwich Village and already working at a restaurant, his mother made him knock on the door of their building’s newest resident, the celebrity chef David Bouley. The young man asked if he could spend time in Mr. Bouley’s kitchen. Mr. Bouley said yes. James spent the summer working at Bouley, the chef’s TriBeCa mainstay. Before long, he was also working at famed New York City restaurants like Babbo, Jean-Georges, Eleven Madison Park and NoMad, where he became the executive chef.” If his mom had been shy, what would have become of him?

            Random twists have defined my career too. Looking to pass the time after I missed a bus, I came across an early alt-weekly newspaper on the bench and decided to send a few copies to its editor, who became my first client. While visiting the president of my newspaper syndication company, he took a call from a chain of radio stations looking for on-air talent that ultimately hired me. A quarter century later, I still do talk radio.

            These stories are spookier than they are cute. If I’d caught that bus, I might have given up on cartooning and stuck to banking. If I’d gone to the syndicate office in Kansas City a week sooner or later, I probably would have missed that opportunity. And I’m good at radio.

            Leaving employment—the activity to which we spend most of our lives—totally to chance is insane.

            The job market excepted, every major economic activity is governed by constantly evolving attempts to rationalize it toward higher efficiency and increased output produced by smart imaginative people who study detailed data and deploy sophisticated technology like computer algorithms to make the most of that information. Advertisers and marketers collect everything about everyone to assess how to promote goods and services. Defense contractors consistently improve the efficiency of their killing machines while taking care not to create or expand so many conflicts that they significantly reduce their customer base. Retailers and shippers track every part of every product from conception to manufacture to assembly to distribution to sale, and beyond into recycling and reuse, ceaselessly searching for ways to reduce labor and the cost of goods. Bankers and speculators squeeze every last basis point out of every dollar, ideally borrowed below cost, developing innovative financial products with one goal in mind: increasing profits.

            All of this capitalistic activity begins with basic employment. Bosses pay workers, workers create added value on the job. Salaries drive our consumer-based economy.

            Human potential is the foundation of the system—yet there isn’t the slightest attempt to maximize it so that society extracts as much productivity as it can from as many employees as it can. Corporations call their personnel offices “human resources” while they squander those same assets.

            State-run socialist economies like the Soviet Union and China under Mao deployed thorough occupational and aptitude testing regimens on their populations beginning in infancy. School coaches were trained to act as talent scouts, identifying athletes with potential early so they could be funneled into state-run institutions dedicated to building world-class teams of athletes tasked with making their countries proud in international competitions. Students with a knack for STEM were diverted into challenging curricula designed to pump out the world’s finest scientists. Whether a brilliant cyclist or poet or dancer or administrator was from a rich family in Moscow or a poor one from the Urals, there was a good chance their skills would come to the attention of authorities who could find a way to cultivate their abilities.

            The socialist system was far from perfect. Being good at a subject doesn’t mean you want to spend your life dedicated to working on it; I was an excellent math student but my professors’ suggestion that I become a mathematician made me want to die. Occupational interest surveys are inherently subjective and less than perfectly reliable. Still, the one I took in junior high school (when the U.S. was influenced by its competition with the USSR) that found I would be best suited as a lawyer—and least suited to sorting tobacco leaves by size and color—was not far off the mark. I do love the law. Though the solution may not be easy, the problem is undeniable: the U.S. has millions of people, young and old, whose remarkable talents in a field go to waste—and not because those citizens aren’t interested in exploiting them.

            America wastes its geniuses. Great would-be novelists are pumping gas. Awesome should-be coders are serving coffee. Fantastic engineers are running themselves ragged in Amazon warehouses. At most, an American only works an average of 50 years. Compassion, humanism and macroeconomic national interest calls for an employment market that makes those five decades as satisfying and fulfilling as possible for as many people as possible.

This syndicated column by a professional writer was authored by a guy who, as a young man, could often not find work at all, or got stuck as a dishwasher and telemarketer who also drove a cab. One of my colleagues at the telemarketing firm is now a wildly successful ad exec. These transformations are not stories of a system succeeding—they are individuals surviving and subsisting and blossoming despite a system devoid of mechanisms to identify, say, workers with a knack for advertising and writing and training them to get better so they can be funneled into positions where they can do their best for themselves and their country.

            Even as those with potential sink into depression and opioid addiction, the sub-par are elevated to positions they do not deserve and in which they cannot excel. So we have U.S. Senators who do not understand history or geopolitics; many do not even use the Internet they’re trying to regulate. Companies put CEOs in charge of enterprises they shouldn’t even part of, much less running into the ground.

            There’s got to be a better way. But who’ll think of it? Not the idiots in charge.

(Ted Rall (Twitter: @tedrall), the political cartoonist, columnist and graphic novelist, co-hosts the left-vs-right DMZ America podcast with fellow cartoonist Scott Stantis. His latest book, brand-new right now, is the graphic novel 2024: Revisited.)

Age. Race. Sexual Orientation. Should Political Expression Be a Protected Class Too?

            Your boss can’t fire you because of the color of your skin. He can’t get rid of you because he doesn’t like your religion. Federal law protects you against employment discrimination based on your sex, race, pregnancy status, sexual orientation, gender identity, national origin, disability, genetic information or (if you are over 40) age.

            Should he be able to deprive you of your ability to pay your rent because you’re a Democrat? Or a Republican? Of course not—yet he can.

It’s time to add another protected class to Title VII of the Civil Rights Act of 1964: political expression.

            Every year, especially during election years, American employers fire, demote and/or retaliate against loyal workers because they disagree with their constitutionally-guaranteed right to hold a political opinion. While a company may well have a reasonable interest in keeping politics out of the workplace—the owner of a restaurant might not want a waiter to engage in a political debate with their customer, for example—many employees get let go despite never having expressed a political opinion on the job. In most states, they can’t sue.

Going after a person over their politics is unfair. But it’s a much bigger problem than a violation of common decency. Because threatening a person’s livelihood over their opinions has a chilling effect on the expression of other workers as well, allowing such thuggish behavior stifles the speech necessary for a vibrant political system and is thus profoundly undemocratic.

“Most important,” a 2022 New York Times editorial opined, “freedom of speech is the bedrock of democratic self-government. If people feel free to express their views in their communities, the democratic process can respond to and resolve competing ideas. Ideas that go unchallenged by opposing views risk becoming weak and brittle rather than being strengthened by tough scrutiny.” Most Americans, however, do not feel that they live in a Land of the Free. Only a third of voters said they felt free to express their political views freely, according to a contemporaneous poll.

Nowhere is speech circumscribed more than at work—unless you’re a government employee, where you’re protected by the First Amendment, or you live in one of the handful of states that protect private-sector workers who express political opinions. Private employers are authoritarian dictatorships where it’s best to keep your views to yourself. Your boss’ harsh governance should end at the end of your work shift.

Yet it does not.

            Employment discrimination in response to political expression is not limited to victims with fringe political views, like the pizza-shop and hot-dog-joint workers who got fired after online sleuths discovered that they had attended a far-right white-nationalist rally in Charlottesville in 2017, or the white-collar workers canned for their presence at the January 6th Capitol riot. To be clear, however, there was no evidence that the doxxed-and-dumped employees in these situations had expressed their views while on the job. They should not have been let go.

            Citizens with vanilla affiliations within the duopoly are targeted too.

            An Alabama woman was famously fired from her job at an insulation company in 2004 for being a Democrat, and more specifically the Kerry-Edwards bumpersticker on her car, which she parked in the employee parking lot. (Her boss, a Bush supporter, had passed out GOP flyers to his workers.) She had no right to sue.

            In 2022 a woman who co-founded a non-profit organization that provides financial stipends for Congressional interns was fired by her own board after it learned she was a conservative Republican. She filed a long-shot federal lawsuit, which is pending.

            More recently, antiwar activists who oppose Israel’s war against Gaza have found themselves the victims of retaliation. People have been fired for personal social-media posts supporting the Palestinians. Pro-Palestine college students have been doxxed, suspended, expelled and blacklisted by prospective employers. Google fired 50 employees for staging a protest against the company’s contracts with Israeli tech firms; the company said they lost their jobs for causing a disruption rather than their opinions. A baker’s dozen of federal judges went so far as to declare that they wouldn’t hire any student who graduated from Columbia University—my alma mater and ground zero for a wave of campus encampment protests—regardless of their views, or lack thereof, about the Israel-Hamas War.

            Corporations routinely discriminate based on politics. A 2019 study in the Journal of Applied Psychology found that employers are less likely to hire a job applicant when they become aware that they favor different parties. And workers are well aware that they face political discrimination. A 2020 Cato Institute/YouGov poll found that 32% of workers were “personally are worried about missing out on career opportunities or losing their job if their political opinions became known.” Only 32%?

            We have a choice. We can build a politically permissive society where a wide range of views and opinions may be freely expressed (with exceptions for defamation or calling for specific violence) without fear of being discriminated against, understanding that we will frequently take offense at what is being said. Or we can continue to push politics underground, keeping our views so secret that some “shy” voters won’t even admit their party affiliation to pollsters. We may feel more comfortable in a seemingly politics-free zone but, as the Times editorial argued above, censorship and self-censorship will encourage the spreading of outlandish, stupid and demonstrably wrong ideas that occasionally become the law of the land.

            (Ted Rall (Twitter: @tedrall), the political cartoonist, columnist and graphic novelist, co-hosts the left-vs-right DMZ America podcast with fellow cartoonist Scott Stantis. You can support Ted’s hard-hitting political cartoons and columns and see his work first by sponsoring his work on Patreon.)

Why Business Wants a Recession

           Give Jerome Powell credit for candor: the Fed chairman admits that his policy of increasing interest rates to fight inflation might push the economy into a recession. “No one knows whether this process will lead to a recession or, if so, how significant that recession would be,” he recently told reporters.

            If it does, one sector won’t be entirely displeased: employers.

            According to the Deloitte accounting firm, a typical Fortune 500 company spends $1 to $2 billion a year on payroll, averaging between 50% and 60% of total spending. Controlling labor costs, unsurprisingly, is a top priority for employers.

            In the boom-bust cycle of labor-management negotiations, the post-pandemic Great Resignation has triggered a labor shortage, a phenomenon we rarely witness and tends to fizzle out fast. Workers are quitting and retiring early, tanking the labor force participation rate. Those who remain enjoy the upper hand at interviews that feel like the job prospect is sizing up the company rather than the other way around. Labor shortages are driving up salaries, shortening hours, prompting signing bonuses and forcing bosses to accommodate people who prefer to work at home. Just 8% of office workers in Manhattan are back in the office a full five days a week.

            The most recent data published, for June, finds that wages and salaries soared 16.8% on an annualized basis as benefit costs went up 14.4%.

            Workers, angry and resentful after decades of frozen real wages and merciless downsizing, are becoming demanding. This reversal of a power dynamic in which workers were supplicants and bosses called the shots has also strengthened labor unions that had been losing membership for years.

            This, some CFOs may be thinking, calls for a recession.

            Company profit margins are at a 70-year record high, up 25% each of the last two years as the result of raising prices during the pandemic. Which means that, even allowing for an 8% inflation rate, a generic S&P 500 corporation should easily be able to ride out the average 26% earnings decline suffered in the most recent typical recessions that took place in 1990, 2000 and 2020. (A bigger crisis like the 2008-09 Great Recession, which reduced earnings by 57%, is another matter.)

            No corporate officer would voluntarily reduce earnings. Or would they, in order to get something more valuable: regaining leverage over labor?

            Traditional conservative allies of big business are openly arguing in favor of higher unemployment. “The recent drop in work and labor force participation—particularly among young workers—is troubling [my emphasis],” writes Sarah Greszler in a white paper for the Heritage Foundation, the right-wing think tank. “Job openings, at 11.3 million, remain near record highs, and record percentages of employers report unfilled positions and compensation increases.”

            Greszler summarizes: “Continued low levels of employment [sic] will reduce the rate of economic growth, reduce real incomes and output, result in greater dependence on government social programs, require higher levels of taxation, and exacerbate the U.S.’s already precarious fiscal situation.”

            Workers, of course, feel like they can finally breathe. High demand for labor means that they can quit positions where they feel unappreciated and/or undercompensated, pack up and move to another state and create a healthier balance between their family and work lives. The current situation is anything but “troubling.”

            Executives at employers like Apple, Tesla and Uber have had enough of workers calling the shots. They’re demanding that people get back to work — at the office — or find another job. “A quickly shifting employer-employee dynamic could give companies the ammunition to take a harder line against the full-time work-at-home arrangements that many employees have pushed for, according to corporate policies experts. In fact, they say more companies are likely to start pressing staffers to come back to the office — at least a few days a week,” reports CNBC. “The hybrid workforce is not going to go away, but the situation where employees refuse to come to the workplace at all is not likely to hold,” Johnny C. Taylor Jr. of the Society for Human Resource Management tells the network.

            Perhaps no one has told CEOs that at-home work empowers them too. Rather than hiring security goons to escort laid-off workers past their terrorized colleagues, companies can memory-hole the condemned by deactivating their remote-access passwords. Who’ll notice one less square on the Zoom screen?

I’m not subscribing to a dark Marxist suspicion that CEOs, the Fed and other powers-that-be are conspiring to slam the brakes on an economy that would otherwise be coming in for a soft landing as pent-up consumer demand from the pandemic naturally ebbs, in order to return their recently empowered employees to their rightful status as wage slaves. Powell and his fellow governors are doing what comes naturally to government, treating a disease based on a diagnosis that is close to a year out of date and, reasonably, including wage increases as part of their calculus of what constitutes a major driver of the inflation rate.

Business, however, does see what’s coming. If the captains of industry aren’t worried enough to be calling their pet politicians to demand an end to interest-rate hikes, one reason might be that they see a silver lining to the next recession.

(Ted Rall (Twitter: @tedrall), the political cartoonist, columnist and graphic novelist, co-hosts the left-vs-right DMZ America podcast with fellow cartoonist Scott Stantis. You can support Ted’s hard-hitting political cartoons and columns and see his work first by sponsoring his work on Patreon.)

Labor-Management Non-Relations

The clash between labor and bosses used to be so violent that it sometimes resulted in deaths. Now no one wants to talk to one another. Remote workers slack off as quiet quitters, employers scheme as quiet firers and some disgruntled employees slink off to unionize while no one is watching.

Labor Surplus / Labor Shortage

When jobs are scarce, workers are told to make big changes in their lives to adjust to reality. Now that workers are scarce, however, whiny employers are offered sympathy rather than given advice to change their obsolete business models.

It Isn’t Easy Being a Democrat

Many Democrats fantasize that a recession or other economic downturn will hurt Donald Trump’s chances of reelected. But of course they would be affected too.

Bernie Sanders Is the Best on the Minimum Wage and It’s Not Near

On the issue of the minimum wage, no top contender for the presidency has been as aggressive as Bernie Sanders. But for workers, that’s not nearly enough. For the last six years, Sanders has been pushing a $15 an hour minimum wage. That’s a major improvement over the current rate but it’s not nearly enough to keep up with inflation. Even under Sanders, workers would, at best, fail to lose more ground. They wouldn’t gain anything. Just another case study of how capitalism is not reformable.

The Boom-Bust Cycle of Capitalism

With salaries representing the biggest expense for employers, it’s not paranoid to suggest that, as soon as workers begin to gain advantage in a tight labor market, bosses are ready to tank the economy to keep workers’ wages in check.

SYNDICATED COLUMN: Here’s How Democrats Could Win This Fall and the One After That and the One After That

Image result for workers strike

Democrats are optimistic about their prospects for this November’s Congressional midterm elections. But, as I argued in The Wall Street Journal last week, the party’s growing (and increasingly powerful) progressive base may well decide to sit on their hands, staying home on Election Day — just as a determinative number of Bernie Sanders’ supporters did in 2016.

Don’t be mad at them. Would you vote for a party that promised you nothing whatsoever?

To avoid again snatching defeat from the jaws of victory, Democratic leaders must energize their long-neglected base. They should take their cue from Newt Gingrich in 1994 by nationalizing the election with an unapologetically left-leaning platform promising substantial change if they take back the House and/or Senate. Item one seems obvious: they should promise to impeach Donald Trump.

But anti-Trumpism wasn’t enough to win in 2016 and it won’t be enough this year either, especially in races featuring incumbents defending gerrymandered districts. Democrats should set aside identity politics in favor of a class-based agenda that leverages the low unemployment rate in order to restore some of the power workers have lost to decades of downsizing, outsourcing and deunionization.

If not now, when? True, many employers are deploying monopsonic tactics like non-compete and no-poaching clauses to keep workers toiling at their firms without giving them a raise. Even so, there are so many new jobs that corporations are complaining about labor shortages. Working Americans are never going to have a better chance to pressure their bosses to treat them better.

What should the Democrats’ pro-worker platform for 2018 include?

Let’s start with a $25-an-hour federal minimum wage. Sounds radical, but it’s what the lowest-paid workers would earn if Congress had tied the rate either to increases in worker productivity since 1960 or to the official inflation rate (the real one is higher) since the end of the Vietnam War. Going forward, the minimum wage should be indexed to the (real) inflation rate. Bosses say they’d have to lay people off but studies show that’s a bluff. As a concession to employers, the minimum wage could be adjusted downward if there’s deflation.

The United States is one of the few countries on earth — perhaps the only country — with “at-will” employment. Under U.S. labor law, employers can fire workers for any reason that isn’t specifically illegal, such as discrimination by gender or race, or retaliating against a whistleblower. In Europe, there are no independent contractors. All employees get a contract. Unless it’s for good cause (like a worker caught stealing), bosses can’t lay you off without paying you months, or even years, of severance pay. American workers too deserve to be treated with dignity. Democrats should end the obscenity that is at-will.

Under a Clinton-era law, American workers get up to 12 weeks of unpaid leave for events like the birth of a baby. Talk about cheap! According to the Organization for Economic Cooperation and Development, the U.S. is the only one of 41 countries that doesn’t offer at least two months of paid leave. Estonia gives more than a year and a half. Paid. Are Estonians better people, more deserving of time with their kids, than Americans? Germany offers more than 40 weeks — so who really won World War II?

Employers often fire workers because they want to join or organize a union. This is already illegal. But that law is toothless because employers simply make up some other reason to get rid of pro-union workers. Getting rid of at-will employment would solve the problem.

These fixes address issues that have long afflicted workers. Going forward, after this fall, Democrats should also take on the big systemic shifts in the workplace that are leaving even more working people underpaid and underprivileged despite putting in a hard week’s work.

Freelancers and independent contractors currently make up more than a third of American workers. They don’t get an employer-matched 401(k), much less a pension. They pay for their own healthcare. The 1099 set needs and deserves paid family leave, protection from fickle at-will employers and a nest egg for retirement.

Just shy of 20% of workers work part-time; many people hold multiple part-time jobs because they can’t find one full-time position. The system needs to take care of their health, retirement and worker-protection requirements as well.

No one is talking about the looming Generation X retirement — or lack of retirement — crisis. Nevertheless, it’s coming. Gen Xer retirement saving rates are terrifyingly low. An obvious solution is beefing up Social Security, but Republicans are slashing benefits instead.

Based on their record of inaction and subservience to corporate interests, I don’t expect Democrats to roll up their sleeves and take on the pocketbook issues progressives — and many swing voters — care about. But if I’m wrong, and they get serious about the stuff that matters most, they’ll win.

(Ted Rall’s (Twitter: @tedrall) brand-new book is “Meet the Deplorables: Infiltrating Trump America,” co-written with Harmon Leon. His next book will be “Francis: The People’s Pope,” the latest in his series of graphic novel-format biographies. Publication date is March 13, 2018. You can support Ted’s hard-hitting political cartoons and columns and see his work first by sponsoring his work on Patreon.)

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