Is Capitalism Preparing to Bury Itself?

[romp]

Where is Henry Ford when you need him?

You may remember Henry -- the ruthless industrialist who nonetheless refused to be hobbled by suicidal ideology when it came to doing business. He realized as his workers cranked thousands of new cars off the assembly line that none of those workers would likely ever own one, because he didn't pay them enough

Comments

[one_hoopy_frood]

Whenever I talk to people who have been in retail for a long time, they acknowledge that they're now doing the workload three or four people would have done less than ten years ago, but they don't seem to be really bothered that their salary hasn't tripled or quadrupled, like they don't "deserve" it or something. It's so disheartening.

[romp]

That's a good way to describe it. I know I've been so grateful for a job that I'd do whatever. It's almost Stockholm Syndrome.

[moropus]

It IS Stockholm Syndrome.

[ishachan]

Goods are cheap because the labor is cheap. If productions costs were raised (like raising the wages of workers) then goods would become more expensive. However now places like China which have been the source of cheap labor for years, are starting to demand higher wages so they're starting to see the light a bit. For businesses it's about a race to the botton: where can they get the cheapest production costs to create the highest profit. Ford was right though. I mean how can businesses expect people to buy their products if they don't get paid a liveable wage? That's what's starting to get realized in China right now.

Countries like China and Brazil are smart about one thing. They charge exhorbitant prices for imports so people will be more inclined to buy goods made in their countries and promote their economy. It's always better to export more than you import.

[beoweasel]

That's not the entire factor, however. On the subject of things like food, and other commodities, the reason they're getting more expensive isn't from labor demanding better wages, but trader speculation.

[azetburcaptain]

csb but in communist Romania some factories had daycares, company outings and everything. It's interesting that in the USA there have been people moving in similar directions.

[romp]

There's a list of reasons for in-house childcare with all these proven benefits. It even saves money!

But few places will do it. Because they don't have to or because they feel it would "reward" women who have children (fools they!). We're left with gov'ts paying women minimum wage to go to jobs and be away from their kids for 9+ hours *and* paying for those kids to be in childcare.

I had someone in HR tell me that a parent doesn't just have emergency childcare, she also has emergency childcare to cover than emergency childcare. So there's no way an employee can't show up for work because of her kids! I couldn't think of anything to say, just stared at her.

[romp]

It's the same mentality that doesn't want us to call in sick even though working sick means we get to pass on the bug to our coworkers and the public AND we can be sick for a week instead of kick it early with a day in bed.

But they start with a mindset that the staff are poised to screw the company over at a moment's notice. It's so classic.