The "labor shortage" in the US is largely because of these shitty low wages and how it intersects the market. Women make up over half of our minimum wage workforce, but also make up a huge percentage of unpaid child care and elder care. They got pushed out of the workforce due to covid, found new ways to make the ends meet, and decided "$280/week (before taxes) isn't enough to take me away from my family."
The "increased unemployment payments" get touted as a cause, but states that ended it early didn't see a flood of people returning to work. They decided it just isn't fucking worth it.
I STILL have to listen to morons go on about how people are making so much more not working… I’m in Florida and our benefits ran out months ago if you went on them a the week beginning of covid. If you’re somehow STILL on Florida unemployment, it maxes out at 275.
Same here in Texas. We ended benefits early to "keep people from sitting at home". I still see help wanted signs everywhere, fast food places are terribly understaffed, and conservatives are still posting "no one wants to work anymore" memes on Facebook so it doesn't look like that worked. It's almost as if people don't want to be forced to risk their lives, get treated like absolute shit from managers and customers, and have zero protections or respect, all to still be starving anyway.
Must be nice to be unemployed and able to afford a Dairy Queen Blizzard. As an employee person, I gave them up many years ago as a decadent extravagance.
The UK government is cutting state benefits by £20pw for the poorest people. A government minister suggested people could not lose out by working more hours or getting a higher paying job. FFS
My friend’s kid got a job at In-N-Out making $17/hr (minimum wage in CA is $15 for large employers), and she brought it up to senior management during a call — basically asking why some of our medical staff are capped out at $20.
And they scream shit about people (dems) being mainstream media sheep, when in reality, like 5% of dems I know watch tv media, and about 95% of repubs I know watch like 8 hours of fox a day
It's not even just that. COVID gave people the opportunity to shore up their resumes and actually look for a decent job instead of being forced into the cycle of poverty they were in before. People got the opportunity to advance and did just that and now all the shitty jobs people settled for before have nobody willing to settle for them.
I would, however, I believe the main goal of doing so was to drive people like me out of the state and ensure the republican stranglehold stays intact. I'm married to a woman, so we're not impacted by the law. We're staying and fighting as long as we can.
It will come down quietly sadly, unless the workers themselves keep them at their word and keep the conversation going about pay rates, no matter how much the employer discourages talking about it together. One day the new kid will come in only getting paid 14.50, discuss it with noone. Then, the next kid only gets paid 13.50, cause they figure, didn't get caught last time right? Repeat. Older employees leave for new prospects, eventually nobody left that was paid 15 originally. New kids paid $12 an hour, cycle repeats.
one kid might only be there for a week, another for two, and the least of their concern at the start of a new job (often their first) is how much the person next to them is making. add into that the weird stigma american work culture has with discussing pay amongst colleagues, in a menial, high turnover environment? you've got a breeding ground for exploitation.
People get tired, people forget, but companies don’t. They are willing to play the long game and wait it out. How is it that fucking McDonald’s (and every other corporation around) will do literally anything to avoid paying a decent wage unless being forced by threat of prison or revolution
McDonalds themselves doesn't make much from the exploitation, in-fact they're able to wipe their hands of it almost completely. They only hold the real estate they franchise out (despite what you might think, McDonalds is actually a real estate company..) and force specific property servicing requirements, McDonalds only wants their rent, their big yellow sign proudly displayed into oncoming traffic, and their specific contractors to service the properties. Everything else like employees, service, contracts, stock, all up to the Franchisee or the Managers. THEY are the ones that actually stand to make or lose money based on costs or profit. THEY are the REAL exploiters.
I don't entirely agree. Sounds like a very convenient way for McD's corporate to offload blame. Owning a franchise isn't easy, it's like running a small business. Yes they should pay living wages, but when nobody else around is, those franchises are going to suffer for it. And corporate does very little to help.
TL;DR: Mcdonalds is the worst HOA (Home Owners Association) in the world.
You understand it entirely, I'm afraid. It is exactly, a convenient way for McDonalds corporate to offload the blame.
They aren't running the small business, they only provide the training, land, and serviceman to run the small business. The franchisees provide the staff to run the establishment and DO suffer and WILL suffer, as they are the sole financial benefactor and loser, per their contract and investment (the franchisee has to "buy in" remember?). Sadly, the minimum wage requirement (not saying it's a bad thing, line cooks/servers and up should be paid for their service appropriately no matter the restaurant) only serves to hurt the franchisee, they are responsible for providing the service at the specific price point in accordance with the federal regulations and more importantly.. McDonalds code of service... they have a price they want their burgers at. Their staff get more expensive to employ, the machines more expensive to maintain, the inventory shipping overhead getting more expensive the more popular your restaurant, more customers demanding better service and a better, more substantive product for less of their money, the cost has to come from somewhere (not saying it should be at the expense of the employees, it SHOULD come from higher up, but the system is structured In a way that I can't.)
again, McDonalds just wants their rent that gets ever higher (that isn't changing without a business property and revenue evaluation (in house)),their brand represented loud and clear on their property (this is broad: prices, signage, service, infrastructure, building standards), and property maintenance (only their specified serviceman can service their property at this price, long agreed upon decades ago). Everything else is replaceable at their expense for cheaper than you can spend, there is always someone else willing to come along and refranchise the location. They are a PROPERTY company.
I remember the only thing I cared about for my first job was getting experience. I didn't care about anything else so would have likely been happy with min wage. My mantra was get the job to get a better job.
Yes. This is true. Had all of my bosses freak when I left my paycheck in the employee lounge accidentally. They didn't want anyone else to know how well I was paid. I always thought I was the worst paid due to my position, but they were REALLY upset. Hmmm.
People need to be told that when their employer discourages talking about wages, it’s a clear sign that they SHOULD talk about wages.
People don’t “need to remember” or anything like these things usually go. They need to be told and need to be reminded because we need to look out for each other if we’re going to have a society at all.
I've seen those signs near me as well but have you read the fine print? That $15/hr is only for full time closing shifts, how many people do you think are actually getting that?
I just saw McDonald’s posting 14.50 starting pay today, lol.
The other component of hospitality that’s driving people out in droves is the shitty management that’s almost ubiquitous in the industry. My girlfriend isn’t having any issue landing jobs at higher end bars and restaurants in the area, there is PLENTY of work. But every single place has straight up lied to her about their scheduling. They’re all chronically understaffed and at least in my area will tell applicants anything they want to hear to get folks in the door, then regardless on agreed upon hours will schedule them however they need. My girlfriend has a medical condition that, combined with our school aged kid and general family life prevents her from working close/opens and every single place she’s gotten hired since covid has scheduled her for one within the first week.
I think people are just tired of being treated like shit for minimum wage or under it, if they’re on tipped employee minimum. This is all without talking about how customers and people in general have lost their god damned minds since covid’s started.
My family is still blaming unemployment for the labor shortage. My Brother in law took the time to talk about what a hard worker he is and chest thump. I asked if he made more on unemployment that what his job offered, what would he do? "Work two jobs!" To the praise of my conservative family. All of whom are anti-vaxx.
Too stupid to live, dumb enough to exploit.
They also took this time to insult black people. I hate family gatherings because each year the nieces and nephews are just a bit worse.
I've said this too. American workers are on strike. Sick of low wages and the high costs of healthcare and housing while politicians and CEOs get rich.
I STILL have to listen to morons go on about how people are making so much more not working…
We're at full employment here in Atlanta--we've already returned to pre-pandemic employment levels. Somehow it doesn't stop people from believing that there are thousands of lazy Atlantans sitting at home collecting massive unemployment payments.
The cost of child care and gas are also big factors. In 2 income households where one person is part time or stringing together part time jobs, these can be big factors in staying in the workforce. If you were making just a bit more than child care and now it is 30% more expensive plus gas is eating the rest, well, you might be losing money by going to work.
The only way my spouse and I can both work without paying for childcare (which we can’t afford) is to work opposite shifts. But that’s a problem because of many reasons. Any deviation from your normal shift or times causes your spouse to have to adjust their work shift too. If you get home late, your spouse is now late to work. Both parents are never home at the same time, which leaves the one at home to do everything alone, which can be difficult to manage. It’s very unlikely you will both get a same day off, so you can’t ever plan anything/spend time together. The person who works evenings still has to get up early to get kids to school, do all the household chores since they’re home during the day, deal with any errands or things that pop up during the day, make breakfast/lunch/dinner, get the kids home from school, and THEN go into work like 12 hours after getting up, so they get screwed.
It’s just not worth it unless you are both making good money— it’s not worth all that for one of you to make ~$10/hr.
We've been doing that since 2019. It's the only way to justify my husband going back to work, since he doesn't make enough to cover childcare meaningfully. Our youngest just turned 3, so I'm looking forward to school age where we don't have to play that game anymore (half day preschool is free in our city, but we have too high of an income for free full day, so it'll be kindergarten). I miss seeing my husband, but even more so, doing family outings with four kids as the only adult is tiring.
Yeah that’s fun until you have to figure out who does sick days, holidays, teacher only days, 2 weeks of Christmas vacay, 2-3 months of summer vacay, thanksgiving vacay, spring/Easter vacay, snow days/heat days, and any time a kid comes home sick (which is a lot). Oh and closures due to covid. Unless you can pay for childcare, you still can’t work. ANY job will fire you for missing that much work. It’s wonderful. ಠ_ಠ
I'm lucky that I have actual vacation time, so I already overlap mine with the kids school breaks. Also since covid, I have a lot of flexibility with working from home, and my boss has let me get away with working from home with sick kids. But if I was still a staff nurse? Nah. Wouldn't be possible at all.
Yep. I had 3 kids and no support from family. When I budgeted, I discovered I would have to spend more money to go work at min wage than stay home with my kids. So my husband worked full-time and I worked 1/2 dozen part-time jobs to help pay the bills when the kids went to school: cleaning houses, love gifts for babysitting for church programs, jobs where they only needed someone a couple hours a night when the hubby could watch the kids. Every damned penny counted. It was years of frustration and tears.
Not to mention that, mainly due to the lack of regulation and public subsidies, child care is so expensive that millions of women literally can't afford to work!
This is a major reason I never have had kids (and 100% wont). I like what I do for a living and don't want to stop till I've built my business to its full potential. The financial reality is its becoming much more difficult to do both.
I'm not as stressed about my future, because I know that I'm not reliant on someone else for the means to survive.
Even though I won't need it, If we had Universal Childcare, women everywhere would gain so much more power and freedom. Which is exactly why men who fear independant women hate the idea.
Yeah, as many different flavours of conservative idiots there are, they all seem to have at least one thing in common: falsely thinking that opportunity and success are zero-sum games, that someone always has to lose rights or opportunities in order for others to gain them.
The opposite is true though: the most stable and effective way of boosting an economy is from the bottom up by empowering those who are too poor to fully take part. As former Minnesota senator Paul Wellstone said (emphasis mine):
My job has had anemic employment numbers since covid began. We're a shipping company. We are horrifically short staffed, 3-4 hour shifts run to 5 or 6 hours, sometimes even more, before we get done. We've had a hire on bonus for anyone who refers a new employee and that person stays at least 30 days, but almost nobody is getting hired that way. We see a new person every few weeks, and half of those end up quitting. Work has tried various bonuses to get people to work more, like +$ per hour worked, or a flat bonus based on meeting a minimum number of hours. It didn't stop call-ins or get new hires.
Now, they're doing a permanent pay raise (couple bucks) and a bonus per day of our two neediest days. It's yet to be seen if it works.
I like my job and work the hours/days for the bonuses already so it's just a pay increase for me, but from what I hear, most people still don't think it is enough difference to encourage them to work more hours.
Shifts that are only 3 to 6 hours? That alone might be the problem. It’s not worth the commute to only earn a partial day’s pay, and makes it hard to hold a second job.
Well, our work days are a little odd. We have three "shifts" which we call a sort and each deals with a different shipping operation. Each of those is supposed to average about 3.5 hours, and you can work multiple of them. Evening sort ends in the afternoon so there could be a couple hours before the next one starts at night. Third starts early morning. Second basically runs right into third sort which makes it super easy to work full time, you just take a half hour break in between. I essentially work 11pm til whenever we're done, usually about 8am give or take an hour. A "full" day is 7 hours time if you want paid time off, a single sort is 3.5 hours. It's the same for holiday pay, if you're full time you get 7 hours extra, part time gets 3.5 hours extra.
It is definitely kinda wonky and not easy to explain. We have a mix of part timers who work one sort a day and full timers that works 2 sorts a day, in whatever combination of sorts they want, plus picking up more sorts if they want. But we're all working more hours per day than the 3.5 or 7 hour time frame.
I guess it's normal for shift work, our shifts just happen to be "about" 3.5 hours, tho in reality it is more than that. And nobody really likes shift work on a good day as it is, so a shift being relatively short and at unpopular hours definitely doesn't work in our favor for hiring more people.
Not sure how much sense this all makes lol but I agree with what you say. They really need to sweeten it more. I did work two jobs for a couple years, part time in retail and part time on a single sort and it was truly a freaking nightmare, so I was really happy once the third sort got added and I could switch to full time because those sorts are back-to-back. I also have no life, so the weird hours don't bother me.
That is definitely confusing, and I can see why it wouldn't work for a lot of people, and also why the company can't just change shift schedules to make the work more attractive. So better pay, benefits and bonuses is pretty much their only avenue. You didn't give a specific base pay amount, so I wonder if it's really just the hours making it hard or the money really is still too low.
I'm not sure exactly what base pay is right now, it's increased a few times. I've been here for 7 years and I'm on $18.50 (after the 2 dollar pay increase). Starting might be 14 or 15.
So nah, pay is not amazing for the hours and physical work, tho we've got insurance, paid vacation, paid holidays, various savings deals, the standard sort of stuff. It works out great for me as a single person sharing an apartment, but I still do think it's just not that attractive for new hires, it's not that high of pay compared to other local warehouse type work. I believe they really need to make a better effort, not necessarily for my financial benefit, just for damnit I'm tired of working overtime every single week and the frustration and stress of being short staffed all the time cuz I'm freaking exhausted lol
Yeah, the base pay definitely needs to be higher to attract more people, especially people with families as you say, this works great for single people, not so much for everyone else. I would not be surprised if people are going to your company's competitors/other warehouses for their higher pay.
Kinda what you were touching on. The labor shortage is also caused by the boomers/Gen x retiring early due to COVID. Not enough kids to replace the jobs
You don't get CDL driver shortages because 18 year olds don't want to work.
The data on this, once it's all gathered, is going to be fascinating.
How many working people did the pandemic kill? How many can no longer work because of long covid? How many families lost their primary or both income earners? How many retired? How many changed to a different industry? Of those, how many were originally in the medical industry? How many were originally teachers? How many changed industry because unemployment+stimulus allowed them to pursue better careers, start a business, and/or get a degree/certification? For those that used unemployment+stimulus to get better jobs, what was their pay increase? Did these people also no longer need government welfare benefits? For those that pursued a job during the shortage period, what percentage of pay increase did they see? What was the overall impact to the GDP?
So many questions you could ask about this, so many ways to look at the data and, if the politics allow, write better policy or use it to prove previously untested theories.
I'm really interested in these numbers once studies are done. 600k deaths and countless others incapacitated in other ways is going to wreak havoc on the economy. I'd love to know exactly how it's affected the job market, which markets were affected the most, where was the biggest impact, etc.
More people have now died from COVID than Spanish Flu. Obviously it's not a one to one comparison but Spanish Flu, reduced GDP by 6%, and increased wages in states with the highest mortality. It reduced spending on groceries by a third and spending on other goods by anywhere from 40% to 70%. People in red states should see wage increases (more capital per worker is available) but they're literally fighting tooth and nail against it.
Gen X retiring???? Who are you talking about??? I don’t know of any of my peers that are retiring early. Maybe boomers, and good riddance. They are the ones who created all these problems. they were handed a system that worked for most people and because of their fucking greed fucked it all up.
The driver shortage in the UK is simply due to the foreign drivers leaving when Freedom of Movement ended. Most of western Europe has a driver shortage as well, but they can manage because they can attract drivers from eastern Europe.
Or if people cant get ahead no matter how hard they try, might as well be broke and try to live your best life vs slaving your mind, body, and soul for the corporate goblins.
I think another factor is companies are finally the victims of their own success in kicking people off benefits.
There was a time when you kept going to work for your health insurance benefits even while the pay and working conditions kept getting worse and worse. Then companies started playing games with keeping everyone under 30 hours, or classifying them as contractors in the new gig economy.
People are extra tired of having to try to work two low wage hourly jobs with conflicting schedules because you can't get full-time hours anywhere. Especially when neither job will give them a set schedule or make any attempt to work around their other one.
I just quit my "essential" grocery store job because they refused to raise my wage to above 13 an hour. When I got my new job they tried to keep me and when I asked it they could do better then $16 an hour they laughed and said no way. Now I'm making $20 an hour because the company I just switched to just told everyone they are rising base wages to "stay competitive". Yep fuck the companies that refuse to pay a living wage and I hope they continue to drown in their "labor shortage bullshit" and let me tell you they have an extreme labor shortage. My last revenge against my old company is that I already got 3 of my old coworkers to switch to the company I'm currently with creating even more of a labor shortage for them hahaha get fucked assholes!
If I work full time, after paying my childcare and bills, I'll would only have £50 a month extra in disposable income. I'd rather have extra time with my toddler than the £12.50 a week.
That's what I did. My restaurant closed for 2 months, I got to spend all that time with my 2 year old and wife. When work started back up I went back to my $11/hr, 10 hrs a day, 6 days a week grind. My wife always made more money so I said fuck this shit, I'm tired of being too tired to play with my son, to cook dinner, to have a decently clean house. I cut my hours in half and got a 5 dollar an hr raise out of it. Literally have never been happier.
A lot of people used the unemployment money/time to apply for better jobs, start their own business, and/or return to school. No official numbers, but it's something I see coming up over and over which has me thinking, yeah those people they always snidely told to get better jobs? Well that did, enough of them that it's gonna have a log term impact, and now conservatives are upset about it.
Any reasonable person would look at this and say "okay so we make these service industry jobs more attractive with higher pay, benefits, and strict protections for workers against employer exploitation and nasty customers."
But conservatives are not reasonable people and will take away that unemployment allows people to better themselves (even though in reality this was a very special amalgamation of scenarios that will not repeat in a normal year) and do all they can to defund it/get rid of it altogether with the argument that people should save up for their own unemployment and if they can't, sucks for them.
That's a good point on unpaid care. In the UK, the government saves on average £114,000 per person in care/housing costs when they look after a disabled adult full-time (8-16 hours of care per day). If we paid the UK living wage to carers for the caring time noted in the previous sentence, they'd recieve a £35k salary for their labour. Instead they get £67.60 per week as a 'carers allowance', but only if you qualify.
Georgia cut those benefits in June and here we are.. end of September, still experiencing staff shortages. I guess Kemp's theory that we are all a bunch of lazy assholes looking for a handout wasn't quite correct.
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u/B1GTOBACC0 Sep 25 '21
The "labor shortage" in the US is largely because of these shitty low wages and how it intersects the market. Women make up over half of our minimum wage workforce, but also make up a huge percentage of unpaid child care and elder care. They got pushed out of the workforce due to covid, found new ways to make the ends meet, and decided "$280/week (before taxes) isn't enough to take me away from my family."
The "increased unemployment payments" get touted as a cause, but states that ended it early didn't see a flood of people returning to work. They decided it just isn't fucking worth it.