Outten & Golden: Empowering Employees in the Workplace

Posts Tagged ‘jobless’

On Labor Day, Work to Save the Middle Class

Wednesday, September 8th, 2010

Leo GerardThis Labor Day feels gloomy. It’s a celebration of work when there is not enough of it, a day off when too many desperately seek a day on.

America has commemorated two Labor Days since this brutal recession began near the end of George Bush’s presidency in December of 2007. Now the relentless high unemployment, the ever-rising foreclosures, the unremitting wage and benefit take-backs have replaced American optimism and enthusiasm with fear and anger.

Happy Labor Day.

On this holiday, we can rant with Glenn Beck, kick the dog and hate the neighbor lucky enough to retain his job. Or we can do something different. We can join with our neighbors, employed and unemployed, our foreclosed-on children, our elderly parents fearing cuts in their Social Security lifeline and our fellow workers worrying that the furlough ax will strike them next. Together we can organize and mobilize and create a grassroots groundswell that gives government no choice but to respond to our needs, the needs of working people.

We can do what workers did during the Great Depression to provoke change, to create programs like Social Security and achieve recognition of rights like collective bargaining. These changes were sought by groups to benefit groups. In a civil society, people care for one another. And America is such a society – one where people routinely donate blood to aid anonymous strangers, children set up lemonade stands to contribute to Katrina victims and working families find a few bucks for United Way.

The self-righteous Right is all about individuals pulling themselves up by their bootstraps. That proposition – the do-it-all- by-yourself-winner-takes-all philosophy – clearly failed because so many Americans are jobless, homeless and too penniless to afford boots.

Over the past decade, the winner who took all was Wall Street. The banksters gambled on derivatives and other risky financial tomfoolery and won big time. Until they lost. And crashed the economy. After the American taxpayer bailed them out, those wealthy traders returned to making huge profits and bonuses based on perilous schemes.

Still, they believe they haven’t taken enough from working Americans. They’re lobbying to end aid for those who remain unemployed in a recession caused by Wall Street recklessness. And they’re demanding extension of their Bush-given tax breaks. This is the nation’s upper 1 percent, people who earn a million or more each year, the 1 percent that took home 56 percent of all income growth between 1989 and 2007, the year the recession began.

Since 2007, 8.2 million workers have lost jobs. Millions more are underemployed, laboring part-time when they need full-time jobs, or barely squeaking by on slashed wages and benefits. Since the recession began, the unemployment rate nearly doubled, from 5 percent to 9.6 percent, and that does not include those so discouraged that they’ve given up the search for jobs, a decision that is, frankly, understandable when there are only enough openings to re-employ 20 percent of the jobless. Five unemployed workers compete for each job created in this sluggish economy.

And American workers weren’t prepared for this downturn, having already suffered losses in the years before it began. The median income, adjusted for inflation, of working-age households declined by more than $2,000 in the seven years before the recession started.

At the same time, practices like off-shoring jobs and signing regressive international trade deals contributed to the loss of middle class, blue collar jobs. A new report, “The Polarization of Job Opportunities in the U.S. Labor Market,” by the Center for American Progress and The Hamilton Project, says:

“The decline in middle-skill jobs has been detrimental to the earnings and labor force participation rates of workers without a four-year college education, and differentially so for males, who are increasingly concentrated in low-paying service occupations.”

The recession compounded that, the report says:

“Employment losses during the recession have been far more severe in middle-skilled white- and blue-collar jobs than in either high-skill, white-collar jobs or low-skill service occupations.”

What that means is high roller banksters are living large; lawn care workers and waitresses subsist on minimum wage, and working class machinists and steelworkers are disappearing altogether.

The researchers found the U.S. economy is increasingly polarized into high-skill, high-wage jobs and low-skill, low wage jobs. America is losing the middle jobs and with them its great middle class.

No wonder the rising anger in middle America.

But fury doesn’t solve the problem. This Labor Day, we must organize to save ourselves and our neighbors. We must stop America from descending into plutocracy. We must demand support for American manufacturing and middle class jobs. That means terminating tax breaks for corporate outsourcers, ending trade practices that violate agreements and international law and punishing predator countries for currency manipulation that subverts fair trade by artificially lowering the price of products shipped into the U.S. while artificially raising the price of American exports.

We must demand support for American industry, particularly manufacturers of renewable energy sources like solar cells and wind turbines that create good working class jobs, increase America’s energy independence and reduce climate change.

We must insist on policies that support the middle class, including preserving Social Security and Medicare, extending unemployment insurance while joblessness remains high, and enforcing the health care reform law so that every American worker and family can afford and is covered by insurance.

On this Labor Day, we should all have a picnic, invite neighbors, friends and family, and over hot dogs and potato salad, organize to save the American middle class.

Mobilize to end the gloom and restore American optimism.


For help: the Union of the Unemployed, the AFL-CIO, USW, Working America. Join the One Nation March for jobs Oct. 2 in Washington, D.C.

About The Author: Leo Gerard is the United Steelworkers International President. Under his leadership, the USW joined with Unite -the biggest union in the UK and Republic of Ireland – to create Workers Uniting, the first global union. He has also helped pass legislation, including the landmark Canadian Westray Bill, making corporations criminally liable when they kill or seriously injure their employees or members of the public.

290,000 Jobs Created in April, Jobless Rate Worsens to 9.9 Percent

Thursday, May 6th, 2010

Some 290,000 jobs were created in April, the fourth straight month in more than year the nation has seen gains in employment. Yet the unemployment rate worsened to 9.9 percent from 9.7 percent in March, according to data released this morning by the Department of Labor. The total unemployment figure, which includes those who are discouraged or underemployed, worsened to 17.1 percent in April, from 16.9 percent in March—some 27 million U.S. workers without jobs or full-time work.

Yet economists say the increase in the unemployment rate can be viewed as good news because it means that more than 800,000 workers entered the labor force, many of them formerly discouraged workers who had stopped looking for work.

April job growth came in manufacturing, 44,000 jobs; service jobs, 166,000; construction, 14,000 and mining, 7,000. The jobs increase also was bolstered by the federal government’s hiring of 66,000 temporary workers to help complete the U.S. Census. The April jobless rate for black workers is 16.5 percent, for Hispanic, 12.5 percent and worsened for white workers, to 9 percent.

April’s jobs increase is a far better scenario than the hundreds of thousands of jobs lost each month in the past year—but nowhere near what the nation needs to fill the 11 million job deficit created by the past few years of economic maelstrom.

Especially bad new is the continued worsening in the number of long-term unemployed workers. In April, some 6.7 million U.S. workers were out of a job for 27 weeks or longer, compared with 6.5 million in March. In April, 45.9 percent of unemployed workers had been jobless for 27 weeks or more.

These data make it all the more essential that Congress extend the lifeline for jobless workers by extending unemployment insurance (UI) for a year, a move that is a key part of the AFL-CIO Jobs Agenda. Congress has passed several UI extensions, but only for up to 30 days. The length of time it takes to get a job in this economy, however, clearly shows much more time is needed.

A new report out from the John J. Heldrich Center for Workforce Development at Rutgers documents the challenges for unemployed workers in this economy.

In short, “No End in Sight: The Agony of Prolonged Unemployment” concludes:

While the worst phase of the Great Recession may be behind us, the vast majority of jobless Americans have not found new jobs.

The report finds only 21 percent of those unemployed and actively looking for a job in August 2009 found employment by March 2010. An even smaller number (13 percent) found full-time employment. Sixty-five percent who found employment searched for at least seven months. Twenty-eight percent looked for more than a year.

Among those still searching for work—many for more than a year—are millions who have never been without a job and who have at least a college education. And the jobs they’re taking do not fit their skills nor financial needs.

It is clear that many took their new jobs out of need rather than desire. The majority (61 percent) said their new job was “something to get you by while you look for something better,” while just 39 percent agreed with the statement that their new position is “something you really want to do and think it is a new long-term job.”

As part of the AFL-CIO Good Jobs Now campaign, we are calling for Big Banks to resume lending to help credit-starved communities create jobs. Clearly, small businesses are not getting the credit they need to expand and hire workers.

We are backing a bill co-sponsored by Rep. George Miller (D-Calif.) to save or create nearly 1 million local jobs. Developed with mayors, county officials and others, the Local Jobs for America Act will provide $75 billion over two years to local communities to stave off planned cuts or to re-hire workers laid-off because of tight budgets. Funding would go directly to eligible local communities and nonprofit community organizations to decide how best to use the funds. More than 100 co-sponsors have signed on. (Click here to urge your representative to become a co-sponsor.)

*This post originally appeared in AFL-CIO Blog on May 7, 2010. Reprinted with permission.

About the Author: Tula Connell got her first union card while she worked her way through college as a banquet bartender for the Pfister Hotel in Milwaukee (they were represented by a hotel and restaurant local union—the names of the national unions were different then than they are now). With a background in journalism—covering bull roping in Texas and school boards in Virginia—she started working in the labor movement in 1991. Beginning as a writer for SEIU (and OPEIU member), she now blogs under the title of AFL-CIO managing editor.

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