US corporations squeezing more output from workers and paying lower wages

US corporations squeezing more output from workers and paying lower wages
By Patrick O’Connor
12 August 2009

US Labor Department data released yesterday showed productivity up 6.4 percent in the second quarter, the largest gain since 2003 and higher than economists’ forecasts of 5.5 percent. Over the same period, workers’ compensation fell sharply.

The Bureau of Labor Statistics explained that productivity—which measures hourly output per employee—increased “due to hours worked declining faster than output.” In other words, big business is using the rise in unemployment to extract greater output from employed workers through speedup and other forms of intensified exploitation.

Nonfarm productivity rose 6.4 percent as a result of output declining by 1.7 percent and total hours worked plummeting 7.6 percent.

Data also showed that real hourly employee compensation fell by 1.1 percent in the second quarter, or by 2.2 percent on an annualized basis. The combined impact of declining wages and rising productivity brought unit labor costs down by a huge 5.8 percent in the three months from April to June.

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http://www.wsws.org/articles/2009/aug2009/usla-a12.shtml

The laws and statutes that enable and protect American corporate villans have been bought and paid for many times over by your blood, your sweat and your tears. And rest assured, your children WILL follow in your footsteps.

of the feudal society of the middle ages.

Haven't we all worked at jobs where some people just screwed around all day, or at least for substantial portions of it? I would expect that with tough economic times, they were among the expendables, and have been eliminated, since the non-work reasons for having them on the payroll are now moot.

That's what I'm attributing at least some of the rise in productivity to. Those types always made the rest of us a little less productive, too.

That's really doing the bidding of the slave master there isn't it?

Is this the right-wing get rid of the lazy slobs meme?

Should the slaves be hard-working and perhaps whistle a happy tune?

Not to mention your analysis of the situation is so far from reality so as to scarcely merit comment.

Nothing surprises me anymore but you came close.

but it's mostly when I'm doing the work of somebody who is there because of a reason besides being able to be a good worker. I've worked with useless sons and daughters of customers, because the boss thought it was good to suck up to the customer.

Maybe you haven't been unfortunate enough to work where there was some deadwood in the office or in the factory, but I've been there, done that.

and less idle machine time.
And before Reagan, a higher productivity report would usually signal rising wages in the near future.

but since 1981, we've had fairly low rates of inflation. Except in healthcare costs, I would venture to say that our raises have been eaten up by the rise in insurance premiums.

Another reason I'm for single payer.

I've seen it first hand. I was recruited by an American high-tech company who were paying slightly more than minimum wage salary for an engineering job.

Only problem is, I've got 20 years experience working for 3X that amount.

These companies KNOW they've got a buyer's market and people will work for peanuts to keep their jobs.