Friday, November 16, 2012

Pain for the low, gain for the high

Labor unrest and union activity seem to be gaining.  Some workers even they feel they have to sacrifice their jobs so that others may have it better.

"[We] know we will probably lose our jobs, but if we accept these concessions, standards for bakers and other workers will keep going down. We are taking it on the chin for workers all over." - a striking Hostess employee

"Some companies need to make cuts to say alive. Firms don't always have a choice about how to run themselves and closings and concessions are part of business," said Kurtz. ""You can't just have a visceral reaction. Both sides need to be involved in a thoughtful process." - Dave Kurtz, a partner in the Edwards Wildman's Labor & Employment Group.

"And workers are saying to companies, 'why do we have to take cuts when other parts of your business, like suppliers are not. Why is it on our backs?'" - Jim Matthews, a partner at Fox Rothschild and co-chair of the firm's Labor and Employment practice

Have you heard of many cuts in the executive suite?  How many $4,000/hour executives are willing to cut their pay by even ten percent.  That cut would provide twenty $10/hour jobs (assuming that overhead costs may match direct pay).

The above quotes are from "Beyond Twinkies: Why More Workers Are Striking", Mark Koba, CNBC, 2012-11-16.

The article also has a link to an interview with Colby Harris, a protesting Wal-Mart employee in Dallas.

See also "So you want to join a union", Part I and Part II.