So the April jobs number came in at a paltry 160K.
And we’ll have commentators saying this number was strong and others will say is was weak, while a third group will say it’s just right.
But, why do we care? What does it mean for the day-to-day average American to know this as news?
It promotes job insecurity, which is an important aspect to the American workforce over the last 40 years.
You often hear “No one gets a gold watch anymore at retirement.”
Well that’s by design. Job insecurity fosters lower wages and a more compliant workforce. If you believe the job you have could be gone in an instant, you’ll be less likely to risk losing it over taking a stand on working conditions, wages or engaging in union support.
Over the same 40 years, statistics show that salary and the compensation ratio between the corporate chief and the average worker have soared.
- From 1978 to 2013, CEO compensation, inflation-adjusted, increased 937 percent, a rise more than double stock market growth and substantially greater than the painfully slow 10.2 percent growth in a typical worker’s compensation over the same period.
- The CEO-to-worker compensation ratio was 20-to-1 in 1965 and 29.9-to-1 in 1978, grew to 122.6-to-1 in 1995, peaked at 383.4-to-1 in 2000, and was 295.9-to-1 in 2013.
So other than generating increased job insecurity, why do we care about the April jobs report?
I’m still trying to figure that out, but I have to get to the office, you know. Don’t want to lose my job.