The wealth gap is unsustainable

Discussion in 'Getting Ahead: Careers, Finance and Productivity' started by Mikey, Sep 8, 2014.

  1. Mikey

    Mikey Well-Known Member

    America's Wealth Gap 'Unsustainable' According To Harvard Study

    My synopsis of the article:
    - There are problems with some essential needs in our society, such as the transportation infrastructure, ability for people to learn things, and the political gridlock between Democrats and Republicans.

    - More people believe that the ability for companies to be internationally competitive with other countries is at risk. People are working too hard at work (between 45 to 50 hours per week) on average and the ability to pay workers with higher wages and more health care benefits is diminishing. Instead, employees should be working about 35 to 40 hours a week. A 40 hour work week should be the federally mandated maximum amount of hours an employee could work.

    - Harvard University calls on corporate leaders and other parties to fix the wealth gap by applying fixes and many changes to the K-12 system, create skill-based training programs (should be applied during/after college and people should receive a stipend for doing it), improving the country's infrastructure, raising taxes and finding other ways to improve the overall well-being of people.

    - A business needs to realize that it has a great influence over the
    efficiency and productivity of its workers and it needs to re-organize its workplace culture to address that. They need to realize that if its workers are thriving and doing well, the company's growth, finances, anonymous survey reviews, etc will respond the same way. Morale would totally improve between the company's leadership and employees.
    Last edited: Sep 9, 2014
  2. satyr

    satyr New Member

    Good synopsis but next time I want your thoughts to dominate in the midst of all that well-structured writing. Are you studying economics?
  3. jxsilicon9

    jxsilicon9 Active Member

    Revolutions usually are the end result of widening wealth gaps. I can't think of anytime in history that where the upper-class decided on their to start sharing the wealth. It usually gets bloody first.
  4. Otis

    Otis New Member

    I am developing a bad habit of bumping old posts. But I gotta get in on this.

    Personally, I don't see the wealth gap closing for 2 principal reasons:

    1) Globalism - In this century, competition has gone global in the sense that the jostling for market share has taken top priority among the world's largest private employers. Not only does paying 1st World Workers fat salaries(livable wages & health packages) hurt a firm's ability to compete (since a similar firm from the emerging world can compete with far less in overhead & expenses), the real news is that they don't have to do it. The consumer rewards firms for paying a diminishing share of its revenue to its labor force.

    When's the last time people stopped buying Air Jordans & Iphones because those companies have a significant portion of their production facilities overseas? Do you complain to your cell phone provider for outsourcing its call center operations? Better yet, have you ever switched providers because of it?

    2) The information economy has permanently changed the calculus. The most valuable lesson big multinationals learned from The Great Recession (<Ahem!> mild depression) is that they can go leaner & still maintain profitability. Again, the shareholders reward this activity. And no one with any sense is going to expect a shareholder of GE, for instance, to take home a smaller dividend payment in order to keep that factory in Illinois operating. Truth is that everybody still makes out after that factory closes--or more likely moves operations offshore.

    The dirty little secret of globalism is that the 20th century model of labor died in the 20th century. I could go on, but you get the point.

    Not to mention, it's not like anyone is actually going to read this post anyway. It just felt good to contribute.
    Last edited: Mar 26, 2015
  5. Ches

    Ches Well-Known Member

    ^^^Nothing wrong with bumping good threads.
  6. Otis

    Otis New Member

    There she goes!

    Sup toots?
  7. Ches

    Ches Well-Known Member

    Lol! I haven't heard the word toots in awhile. Just a normal work day here. How, are you enjoying the wwbm forum experience so far?
  8. Otis

    Otis New Member

    I like it :)

    In fact, I am enjoying myself a little too much. I need to get stuff done, but I'm in that 'one more post' mode.

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