The Path to a High-Wage Society
The explosion of low-wage jobs is due, for the most part, to the declining bargaining power of America's employees.
Peter Dreier | September 3, 2010
American workers today face declining job security and dwindling earnings as companies downsize, move overseas, and shift more jobs to part-time workers. Last year, a survey by the Economic Policy Institute found that 44 percent of American families had experienced either the job loss of one or more members, a reduction in hours, or a cut in pay over the previous year. For the vast majority of workers, the costs of basic necessities are rising faster than incomes.
As this special report of The American Prospect has demonstrated, government has ample powers to change these trends for the better. Back in the days of Lyndon Johnson's War on Poverty, Republican critics liked to say that the best anti-poverty program is a job. The federal government has the capacity -- and responsibility -- to promote full employment, where everyone who wants to work has a job. But the kind of job -- the pay, benefits, security, and prospects for advancement -- are as important as the job itself.
A good job means one that pays enough to allow a family to buy or rent a decent home, put food on the table and clothes on their backs, afford health insurance and child care, send the kids to college, take a yearly vacation, and retire with dignity. A good job means that two parents don't have to juggle three jobs to stay afloat, and that they still have time to spend with their kids.