Since the economic meltdown, most of the job creation has been in the service sector. I’ve heard some people in the past praise our service economy as a way to reinvent America after it was decided that we would no longer be a manufacturing powerhouse. The problem with the service economy is that internet access, outsourcing, and automation has made it easy for companies to move good paying service jobs offshore. The remaining jobs are those that pay minimum wage or slightly better to flip burgers and punch buttons on a cash register.
If we allow our corporate overlords to continue shoving us down that path, we’ll be 3rd world and living in 19th Century America again. The “shining city on a hill” is in desperate need of new batteries before the lights go out. I’m not anti-capitalism, but I think with great authority comes great responsibility. Those captains of industry who push companies to profit should also be reminded that they will lose their customer base if people don’t have the money to afford their goods and/or services. Hence the WalMartization of America.
Stagnant wages and and salary suppression has led to many things. Instead of having a parent who can stay home and help raise the kids, both parents have to work in order to survive. Sometimes, there are multiple jobs involved just to make ends meet. It doesn’t help us when our government makes it easier and more cost effective for companies to move good paying jobs overseas. When we have less money to spend, we end up having to buy cheap crap to make our money stretch. Buying that cheap crap further exaserbate the cheapening cycle. When people talk about how things were much better in the “good old days”, they seldom look at the employment issues then versus now to see how much things have changed.
We no longer have Ward Cleaver bringing home the bacon so that June can watch the boys all day. We’re steadily watching our economy being swept from under our feet, but as long as we keep on buying that cheap crap, we’re doing more damage to ourselves than anybody else.
Dan Alpert explains it best with his analysis:
“What you’re seeing is now the spreading of low wage growth,” he says, noting those trends continued in Friday’s July jobs report. “Really we have become a nation of hamburger flippers, Wal-Mart sales associates, barmaids, checkout people and other people working at very low wages.”
- Middle Class Destruction – Business Owners Take Heed (christinemederaccountingadvisory.wordpress.com)
- New Firms are Generating and Holding onto Substantially Fewer Jobs in the U.S.; Kauffman Foundation Study Finds that U.S. Jobs Problem Pre-dates Great Recession (kauffman.org)
- In Other News, Water is Wet… (jadedjobseeker.wordpress.com)
- 44 Facts About The Death Of The Middle Class That Every American Should Know (secretsofthefed.com)