Saturday, October 22, 2011

"Skills Gap"

These two pieces point out one of our great challenges - manufacturer's are making record profits, with fewer workers... and they're using a shell game to explain why they're not hiring, when in fact, thanks to technology and (in many cases government funded) training in lean manufacturing, six sigma, etc. they don't need more workers to make these profits - Both of which lead to the question - how will these 'extra workers' prove they are worthy recipients of that green paper that is necessary to live?

On MSNBC yesterday they had this story about the profit's of U.S. manufacturers' and  posted this chart  -



Roger Bybee, at In These Times, then does a great job writing about the myth that corporations have been effective at making a part of our national dialogue for years - which is - it's the people's fault that they don't get hired, they just don't have the right skills... Story here - Alleged 'Skills Gap' Takes Spotlight Off Who's to Blame for Massive Jobs Shortage - an excerpt:

"But in reality, this whole “Education, Training, and Skills” narrative serves to divert attention from the massive shortage of jobs and Corporate America's misdeeds to “failing” teachers and supposedly under-educated workers. Corporate America has failed to produce virtually any net gain in U.S. jobs since 1999; the period was the only decade when U.S. employment grew by less than 20 percent.
In short, the Education, Training and Skills "frame” on our economic problems plays several useful functions for the CEOs and the rest of the richest 1 percent. It takes the spotlight off CEOs' decisions to wipe out decent-paying job opportunities. As Gordon Lafer writes in The Training Charade,
Workers are encouraged not to blame corporate profits, the export of jobs aboard, or eroding wage standards—that is, anything that they can fight—but rather to look inward for the source of their misfortune and the seeds of their resurrection.
It also distracts from a few other things:
THE PROBLEM IS MICROSCOPIC
With 15 million Americans officially unemployed (the number rises to about 25 million when you include the discouraged jobless and those involuntarily working part-time), the relative number of positions going unfilled is infinitesimal in comparison. Just 5 percent of all current manufacturing jobs are unfilled due to a lack of qualified applicants.
Conceivably, a firm commitment by Corporate America and the federal government to maintaining and expanding America’s industrial base, accompanied by an equitable sharing of the massive productivity gains accruing almost solely to corporations, would make work in skilled manufacturing once again attractive. But as illustrated by the direction of leading corporations like General Electric, major firms seem less committed than ever to keeping their manufacturing production in the US. Moreover, leading figures in both political parties resist the notion of an “industrial policy” to foster U.S. manufacturing, as economist Jeff Faux has emphasized.
THE LIMITED VALUE OF TRAINING
When displaced workers successfully complete retraining programs, they are generally unable to find jobs comparable in pay and benefits to the ones they lost. "Out of a hundred laid-off workers," says New York Times economics writer Louis Uchitelle in his book The Disposable American: Layoffs and Their Consequences, "27 are making their old salary again, or more, and 73 are making less, or not working at all."
COMPANIES DON'T WANT TO PAY FOR BETTER SCHOOLS
CEOs like Caterpillar’s Oberhelmer feel free to demand that our schools produce well-trained workers. However, corporations like Caterpillar and GE are unwilling to pay the taxes necessary to support quality education for all children. These and other corporations have skillfully avoided paying any federal taxes in some years, and paying minimal taxes in others.
Caterpillar’s Oberhelmer used a frequent corporate ploy in response to tax increases in Illinois. Despite massive increases in profits for the Peoria-based firm, he sent a letter to Illinois Gov. Pat Quinn with a thinly-veiled threat to relocate the corporate headquarters because of a 2 percent tax increase for wealth executives.
Without corporations paying their fair share of taxes, how can they expect a top-notch workforce?
Let us be clear: more education, training, and skills for the unemployed will not produce job opportunities when Corporate America is unwilling to invest in new U.S. jobs, despite the deceptive arguments presented by corporations and allies like Friedman and Zakaria. Nor will public education be able to improve for the children of poor and working-class children when corporations like General Electric and Caterpillar use blackmail threats of relocation to reduce their taxes.
Lafer offers a cold splash of reality on the whole Education, Skills, and Training charade:
Whatever the problem, it seems job training is the answer. The only trouble is, it doesn't work, and the government knows it. . . . Indeed, in studying more than 40 years of job training policy, I have not seen one program that, on average, enabled its participants to earn their way out of poverty."

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