1. White Collar Sweatshop The World of Work in the 21st Century

2. Coming Up  White Collar Working Conditions  Issues of race/ethnic inequality in the US  White Collar Working Conditions  Issues of race/ethnic inequality in the US

3. Good News  “the deficit will decline to $172 billion this year, from $248 billion in the past fiscal year”  New York Times “Congressional Office Forecasts Drop in Deficit, With Possibility of a Later Surplus” January 25, 2007  “in recent years, … economic profits as a share of GDP climbed to a 40- year peak in 2006”  Congressional Budget Office - “The Budget and Economic Outlook: Fiscal Years 2008 to 2017”  “the deficit will decline to $172 billion this year, from $248 billion in the past fiscal year”  New York Times “Congressional Office Forecasts Drop in Deficit, With Possibility of a Later Surplus” January 25, 2007  “in recent years, … economic profits as a share of GDP climbed to a 40- year peak in 2006”  Congressional Budget Office - “The Budget and Economic Outlook: Fiscal Years 2008 to 2017”

4. Bad News  “Labor’s share of GDP during 2006 was … significantly below the postwar average.”  “Wages and salaries is the single most important category of income for projecting revenues, making up the largest part of the income base that is used to project individual income taxes and to estimate payroll taxes.”  “Labor’s share of GDP during 2006 was … significantly below the postwar average.”  “Wages and salaries is the single most important category of income for projecting revenues, making up the largest part of the income base that is used to project individual income taxes and to estimate payroll taxes.”

5. What is included?  Labor income consists of the total compensation that employers pay their employees  the sum of wages and salaries  supplemental benefits  the employer’s share of health and other insurance premiums  The employer’s contribution to pension funds  The employer’s share of payroll taxes (for Social Security and Medicare)  Labor income consists of the total compensation that employers pay their employees  the sum of wages and salaries  supplemental benefits  the employer’s share of health and other insurance premiums  The employer’s contribution to pension funds  The employer’s share of payroll taxes (for Social Security and Medicare)

8. Don’t Count on It!  CBO (Congressional Budget Office) assumes that the share of GDP that comes from wages and salaries will increase over the next few years, largely because the low unemployment rate should put upward pressure on wages.

9. White Collar Sweatshop  Service Jobs  Job Spill  Declining Benefits  Job Insecurity  Service Jobs  Job Spill  Declining Benefits  Job Insecurity

11. Job Spill  Workers are working longer hours  12% work 49-59 hours a week  8.5% work 60 or more hours a week  Work follows people home  Technology chains workers to the job  Workers are working longer hours  12% work 49-59 hours a week  8.5% work 60 or more hours a week  Work follows people home  Technology chains workers to the job

12. Declining Benefits  Health care  Pensions  Revlon shut down the pension plan and took $100 million “surplus assets” from employees  Health care  Pensions  Revlon shut down the pension plan and took $100 million “surplus assets” from employees

13. Job Insecurity  End of lifetime employment  Contingent workers  Mergers/Downsizing  End of lifetime employment  Contingent workers  Mergers/Downsizing

14. Good for the Company?  The stock of banks undergoing mergers underperform the rest of the banking industry 82% of the time  65-75% of mergers in the 1980’s were financial failures  The stock of banks undergoing mergers underperform the rest of the banking industry 82% of the time  65-75% of mergers in the 1980’s were financial failures

15. Walmart  What are the impacts on the local stores and community?  What are the conditions for US workers – wages, health care, hours/overtime?  What does Walmart suggest for its employees to deal with the lack of money to cover food or health care?  What is Walmart’s response to unionization to deal with working conditions?  What are the impacts on the local stores and community?  What are the conditions for US workers – wages, health care, hours/overtime?  What does Walmart suggest for its employees to deal with the lack of money to cover food or health care?  What is Walmart’s response to unionization to deal with working conditions?

16. Walmart  How does Walmart treat women?  What about the treatment of minorities?  What are the environmental problems created by Walmart?  What are the conditions for workers in other countries?  What is the role of Walmart in covering up safety issues on their property?  How does Walmart treat women?  What about the treatment of minorities?  What are the environmental problems created by Walmart?  What are the conditions for workers in other countries?  What is the role of Walmart in covering up safety issues on their property?