THE LA RAZA DEMS HAVE ONE AGENDA: KEEPING WAGES DEPRESSED FOR THE BENEFIT OF THEIR CORPORATE PAYMASTERS!
THE LA RAZA DEMS WILL NEVER STOP PUSHING FOR MORE ILLEGALS, MORE DREAM ACTS, MORE SABOTAGE OF OUR BORDERS, E-VERIFY, NON-ENFORCEMENT OF LAWS PROHIBITING THE EMPLOYMENT OF ILLEGALS, ASSAULTING AMERICANS (LEGALS) IN ARIZONA….AND HANDING ILLEGALS OBAMACARE AND SOCIAL SECURITY, EVEN AS THE CUT THE LATTER FROM LEGALS!
THAT IS THE LA RAZA DEMS AGENDA!
JANUARY 28, 2010, 12:30
The Growing Underclass: Jobs Gone Forever
By CATHERINE RAMPELL
Marcio Jose Sanchez/Associated Press
Last night, President Obama talked about the need to put people back to work, calling job growth the “No. 1 focus in 2010.”
But one major obstacle to that goal — and one that has so far gone mostly unacknowledged — is that many of the jobs slashed during this recession are not coming back.
Lots of the bloodletting we’ve seen in the labor market has probably been permanent, not just cyclical. Many employers have taken Rahm Emanuel’s famed advice — never waste a crisis — to heart, and have used this recession as an excuse to make layoffs that they would have eventually done anyway. Some economists refer to this as the “cleansing effect” of recessions.
As a recent Congressional Budget Office report put it, “Recessions often accelerate the demise or shrinkage of less efficient and less profitable firms, especially those in declining industries and sectors.”
Think glassmaking. Or clerical work. Or, for that matter, newspapers.
Over all, the share of unemployed workers whose previous job has been permanently lost tends to rise during recessions, and the share of the unemployed who are just on temporary layoff falls. You can see both trends in the chart below.
Source: Bureau of Labor Statistics
In this recession, though, the shift from temporary layoffs to permanent job loss has been especially pronounced. In fact, the share of the unemployed who lost their jobs permanently is at its highest level since at least 1967, the first year for which the Labor Department has these numbers available.
Here’s another way to look at these trends, by what share of the unemployed are represented by each of the five categories of unemployed workers (that is, people who don’t have jobs yet because they’re new entrants to the labor market; re-entrants to the labor market; people who left their jobs; people who are on temporary layoff; and people who lost their jobs permanently).
Source: Bureau of Labor Statistics
The big ocean of blue represents the portion of the unemployed who have lost their jobs, with the lighter blue section showing those whose jobs are gone permanently.
There are multiple ways to explain why permanent job-losers represent a higher share of the unemployed this time around. Maybe, as others have suggested, many of the jobs gained in the boom years were built on phantom wealth. Or maybe the culprit is a corollary of Moore’s Law, the idea of exponential advances in technology over time. That might suggest that innovation and automation displace more and more workers by the time each recession rolls around.
Whatever the underlying cause, the result is disconcerting: compared with previous recessions, many more of the employment gains in this recovery will have to come from new jobs.
That is much easier said than done.
Workers whose entire occupations — not just the previous payroll positions they held — are disappearing (think: auto workers) will need to start over and find a new career path. But the new skills they will need take a long time to acquire.
What’s more, in addition to obtaining new degrees or training, some workers may need to move to new places in order to start a different career. But sharp declines in housing prices, plus high loan-to-value ratios on many mortgages before the downturn, will make that transition harder. Homeowners who are “underwater” — that is, who owe more in mortgage payments than their house is actually worth — may not be able to sell their house for enough money to enable them to buy a home in a new area.
All of which is to say that many of the Americans who are already out of work are likely to stay in that miserable state for a long, long time. And the longer they stay unemployed, the harder it will be for them to transition back into the work force, further adding to America’s growing underclass.
The administration is likely to have a big labor (and class) problem on its hands, and one that won’t be solved merely by an increase in the gross domestic product.
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THE ENTIRE REASON THE BORDERS ARE LEFT OPEN IS TO CUT WAGES!
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The danger, as Washington Post economics columnist Robert Samuelson argues, is that of “importing poverty” in the form of a new underclass—a permanent group of working poor.
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“We could cut unemployment in half simply by reclaiming the jobs taken by illegal workers,” said Representative Lamar Smith of Texas, co-chairman of the Reclaim American Jobs Caucus. “President Obama is on the wrong side of the American people on immigration. The president should support policies that help citizens and legal immigrants find the jobs they need and deserve rather than fail to enforce immigration laws.”
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“Obama’s rejection of any serious jobs program is part of a conscious class war policy. Two years after the financial crisis and the multi-trillion dollar bailout of the banks, the administration is spearheading a campaign by corporations to sharply increase the exploitation of the working class, using the “new normal” of mass unemployment to force workers to accept lower wages, longer hours, and more brutal working conditions.” WSWS.ORG
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OBAMA’S ONLY JOBS PLAN IS CALLED AMNESTY!
Lou Dobbs Tonight
Friday, October 16, 2009
E-Verify- the single most successful federal program aimed at keeping illegal immigrants out of the workforce- is once again threatened. This time, E-Verify was stripped from a Senate Amendment behind closed doors and without explanation. Instead of becoming a permanent program E-verify has been reduced to only three years. Critics are calling this a stall tactic and an attempt at killing an employment enforcement system. We will have a full report tonight.
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“The principal beneficiaries of our current immigration policy are affluent Americans who hire immigrants at substandard wages for low-end work. Harvard economist George Borjas estimates that American workers lose $190 billion annually in depressed wages caused by the constant flooding of the labor market at the low-wage end.” Christian Science Monitor
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MOST OF THE FORTUNE 500 ARE GENEROUS DONORS TO LA RAZA – THE MEXICAN FASCIST POLITICAL PARTY. THESE FIGURES ARE DATED. CNN CALCULATES THAT WAGES ARE DEPRESSED $300 - $400 BILLION PER YEAR!
MEXICANOCCUPATION.blogspot.com
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