Tuesday, December 31, 2013

Essential reading: "The 'middle class' myth: Here’s why wages are really so low today."


According to Oil Can Eddie, "Class consciousness discourages office workers from unionizing."

I'd guess that something quite similar prevents neighborhoods and small businesses from organizing. Again and again, one points to Benjamin Franklin's famous utterance ...

"We must, indeed, all hang together or, most assuredly, we shall all hang separately."

... and listeners nod, while continuing their lonely determination to fight heroic and mostly losing battles, all by themselves.

That clinical definition of insanity. It's New Albany's proud motto.

The “middle class” myth: Here’s why wages are really so low today

Want to understand the failures of the "free market" and the key to getting a decent wage? Here's the real story.


By Edward McClelland (Salon)

Let me tell you the story of an “unskilled” worker in America who lived better than most of today’s college graduates. In the winter of 1965, Rob Stanley graduated from Chicago Vocational High School, on the city’s Far South Side. Pay rent, his father told him, or get out of the house. So Stanley walked over to Interlake Steel, where he was immediately hired to shovel taconite into the blast furnace on the midnight shift. It was the crummiest job in the mill, mindless grunt work, but it paid $2.32 an hour — enough for an apartment and a car. That was enough for Stanley, whose main ambition was playing football with the local sandlot all-stars, the Bonivirs.

Stanley’s wages would be the equivalent of $17.17 today — more than the “Fight For 15” movement is demanding for fast-food workers. Stanley’s job was more difficult, more dangerous and more unpleasant than working the fryer at KFC (the blast furnace could heat up to 2,000 degrees). According to the laws of the free market, though, none of that is supposed to matter. All that is supposed to matter is how many people are capable of doing your job. And anyone with two arms could shovel taconite. It required even less skill than preparing dozens of finger lickin’ good menu items, or keeping straight the orders of 10 customers waiting at the counter. Shovelers didn’t need to speak English. In the early days of the steel industry, the job was often assigned to immigrants off the boat from Poland or Bohemia.

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