Quantitative Easing and favorable banking policies creating a rising tide of temporary workers similar to Japan. Part-time workers up nearly 100 percent in US since 2007.
This recovery unlike other recoveries has been very weak in creating a large number of good paying jobs. Corporate profits are up under a market where wages, benefits, and quality of jobs have decreased while low-wage jobs continue to be added in the tens of thousands each month. Why the reluctance for firms to boost wages? There is still a large pool of people working part-time gigs in the US hoping for full-time employment. We have a large number of people working in this category, nearly twice as many since 2007. What is interesting is that Japan, over two decades ago followed a similar path of recovery focused on Quantitative Easing to support their banking apparatus after a gigantic stock market and real estate bust. The results after a generation? A permanently high level of part-time/non-regular type of work for their labor force. We seem to be offering a similar future to the young in America. Many of the jobs that were lost during the Great Recession came in the $20+/hr job range while we’ve been adding jobs in the $10+/hr job range in this recovery. Do policies favoring banks and larger corporations create a situation where low-wage employment is simply the end result like in Japan?
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