Despite challenges, labor has much to celebrate today
Without a doubt, a multitude of challenges confronts labor in the United States on today’s holiday dedicated to the contributions of the 157 million Americans, including 237,200 in the Mahoning Valley, who comprise the nation’s proud and productive civilian workforce.
Economic disparities, unemployment, wage stagnation and other challenges remain sores on a U.S. economy still struggling to recover fully from the beatdown of the Great Recession. Many of us work longer and harder than ever before; indeed the average American now works 47 hours per week, according to the U.S. Bureau of Labor Statistics.
The BLS also reports that half of workers make less than $520 a week, a figure that, adjusted for inflation, matches the level of earnings of 1998. In addition, average pay in 2013 was lower than in 2012 for 59 of the 60 levels of pay tracked by Social Security, with only those jobs paying $50 million or more annually showing a spike.
Organized labor – for whom Labor Day was created in 1894 after a national train strike resulted in the deaths of 30 workers at the hands of U.S. marshals – has seen its ranks decimated over the past three decades. In 1983, 20.1 percent of the American workforce was unionized; today that rate is 11.1 percent and falling.
Union-management bonds here and throughout the nation, which strengthened during the long economic downturn, show signs of stress. For example, for first time in eight years, United Auto Workers in the Mahoning Valley and across the nation overwhelmingly have authorized their leadership to call a strike if an acceptable contract settlement is not cemented. The current pact expires next Monday. We strongly urge serious, constructive and productive negotiations over the next six days to avert the possibility of a potentially devastating nationwide strike.
SUCCESS STORIES ABOUND
Despite such challenges, Americans nonetheless can celebrate a variety of success stories on this day set aside to honor their talent, commitment and hard work.
For example, the productivity of the American worker is growing by leaps and bounds. According to the U.S. Bureau of Labor Statistics, productivity, determined by dividing the real output of goods and services by the number of hours worked, continues to increase markedly. The U.S. Economic Policy Institute reports that the average hourly employee’s productivity increased 80 percent between 1973 and 2011. And new data from the U.S. Department of Labor show that spiral is continuing with manufacturing productivity increasing 3.3 percent during the second quarter of 2015.
In addition, unemployment in America and the Mahoning Valley continues to tumble. The U.S. unemployment rate has dropped from 10 percent in 2009 to 5.1 percent in August 2015. In the Mahoning Valley, the jobless rate has sunk from 13.2 percent in November 2009 to 6 percent in July 2015. Even though those official numbers do hide the true extent of lingering joblessness, they do provide a snapshot of improvement.
GAINS IN THE VALLEY
Unquestionably, the Valley’s economy has seen some bright spots in recent years, what with major manufacturers opening new facilities or expanding, small retailers opening their doors and service and hospitality industries showing marked growth.
What’s more the housing market is improving, and sales of the Lordstown-produced Chevrolet Cruze continue to to be strong. A hot new model Cruze coming off the assembly line should secure the jobs of the Valley’s largest employer for years to come.
The Valley, too, is gaining international recognition as a hot spot for the up-and-coming high-tech sector of additive manufacturing. Our region’s workforce has become increasingly more diversified than the days when the fortunes of Greater Youngstown residents rested far too heavily on the fortunes of the once- almighty steel industry.
American workers also can savor their long proud history on this 121st anniversary of Labor Day. Today, as in 1894, the holiday serves as a national tribute to the contributions workers have made to the strength, prosperity, and well-being of our country.
And even though challenges and struggles abound today, one must never lose sight of the value of America’s enduring and robust work ethic that has forged our nation into the global powerhouse it remains today.
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