Category Archives: Labor

Professor: Historians Will Look Back On Lockdowns As ‘Most Catastrophic Event Of All Human History’, by Steve Watson

For the high and the mighty, because much of the damage has been to the poor and powerless, it doesn’t count. From Steve Watson at summit.news:

Every single poor person on the face of the earth has faced some harm, sometimes catastrophic harm, from this lockdown policy.”

Stanford University professor of medicine Jay Bhattacharya says that in years to come lockdowns will be looked back upon as the most catastrophically harmful policy in “all of history”.

Speaking on The London Telegraph podcast ‘Planet Normal’, Bhattacharya noted that government scientific advisors “remain attached” to the policy of lockdown in spite of the total “failure of this strategy”.

“I do think that future historians will look back on this and say this was the single biggest public health mistake, possibly of all history, in terms of the scope of the harm that it’s caused,” said Bhattacharya.

The epidemiologist added “Every single poor person on the face of the earth has faced some harm, sometimes catastrophic harm, from this lockdown policy.”

“Almost from the very beginning, lockdown was going to have enormous collateral consequences, things that are sometimes hard to see but are nevertheless real,” Bhattacharya added.

He further noted that serious mental and physical illnesses have been basically ignored and “we closed our eyes to them because we were so scared about the virus and so enamoured with this idea that the lockdown could stop the virus.”

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Struggle Session, by James Howard Kunstler

Only governments, politicians, and bureaucrats could screw up the Covid response as badly as its been screwed up. From James Howard Kunstler at kunstler.com:

Syllogism: Dr. Tony Fauci says he is The Science… Dr. Tony Fauci lied to the nation early and often about his relationship with the Wuhan lab and his role in the development of the Covid-19 virus… therefore, The Science is a liar! Say what…?  Yet another revered institution bites the dust! At this rate, will America ever be able to get its mind right?

Let’s face it: the government has done everything wrong around the Covid-19 episode from the start, and continues to this day. For a whole year since the outbreak, The Science (Dr. Fauci) managed to evade and bury the fact that he helped fund the gain-of-function (GOF) research of a bio-weapon for China’s People’s Liberation Army (PLA). The Science (Dr. Fauci) hid the fact that Dr. Fauci knew as early as 2012 that an Asian bat virus was in GOF development. In October, 2014, the Obama regime declared an official pause on funding for GOF research on influenza, MERS, and SARS viruses (though the Pentagon secretly kept funneling money into it). The Science (Dr. Fauci) got the official pause lifted on January 7, 2017, eleven days before Mr. Trump’s inauguration, unbeknownst to Mr. Trump. Development of the enhanced SARS Covid-19 variant disease continued.

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China’s White Collar Workers Face Invasive Surveillance By ‘Big Tech’ Overlords, by Tyler Durden

This is a preview of coming attractions in the US, China’s the beta test. From Tyler Durden at zerohedge.com:

For a Communist nation, the People’s Republic has notoriously weak labor protections. While gig economy workers face tremendous pressure to put in long hours with few breaks, as it turns out, their white-collar cousins are facing similar pressures to put in long hours as well.

Nikkei’s story starts out with testimony from Andy Wang, an IT professional in Hong Kong, whose company has been ratcheting up efforts to monitor its workforce. They call it DiSanZhiYan, or “Third Eye.” The software, installed on the laptop of every employee, monitors all their communications and movements, as well as their browsing activity and software and app usage.

The invasive software would automatically file complaints and every once in a while an employee would be fired. Finally, things like 20-hours work days began to seem impossibly daunting.

Working from their floor in a downtown high-rise, the startup’s hundreds of employees were constantly, uncomfortably aware of being under Third Eye’s intent gaze.

The software would also automatically flag “suspicious behavior” such as visiting job-search sites or video streaming platforms. “Efficiency” reports would be generated weekly, summarizing their time spent by website and application.

“Bosses would check the reports regularly,” Wang said. Farther down the line, that could skew workers’ prospects for promotions and pay rises. They could also be used as evidence when the company looked to fire certain people, he added.

Even Wang himself was not exempt. High-definition surveillance cameras were installed around the floor, including in his office, and a receptionist would check the footage every day to monitor how long each employee spent on their lunch break, he said.

Nikkei’s latest story about these types of abuses at Chinese white collar firms just so happens to follow increased scrutiny of China’s human rights record in the wake of the Biden Administration’s condemnation of Beijing’s “genocidal” treatment of the Uyghers.

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The Sources of Rip-Your-Face-Off Inflation Few Dare Discuss, by Charles Hugh Smith

There are many highly skilled jobs for which AI is completely unrealistic. There is shortage of people who know who do such jobs, and their wages are reflecting the shortage. From Charles Hugh Smith at oftwominds.com:

We’re getting a real-world economics lesson in rip-your-face-off increases in prices, and the tuition is about to go up–way up.

Inflation will be transitory, blah-blah-blah–I beg to differ, for these reasons. There are numerous structural sources of inflation, which I define as prices rise while the quality and quantity of goods and services remain the same or diminish. Since the word inflation is so loaded, let’s use the more neutral (and more accurate) term decline in purchasing power: an hour of your labor buys fewer goods and services of lesser quality than it did a decade ago or a generation ago.

While the conventional discussion focuses on monetary inflation, i.e. expansion of money supply, the real rip-your-face-off sources have nothing to do with money supply. The rip-your-face-off sources are scarcities that cannot be filled by substitution or globalization.

Consider skilled hands-on labor as an example. Let’s say some essential parts in essential infrastructure require welding. There is no substitute for skilled welders. But wait, doesn’t economic dogma hold that whenever costs rise, a cheaper substitute will magically manifest out of a swirl of dust? That dogma is false in cases such as skilled labor.

The only substitute for a skilled welder is another skilled welder, and while theory holds that there will be cheaper welders who can be brought in from elsewhere, this is also not true: due to deficiencies in education and a cultural bias against manual labor, there is a shortage of skilled welders virtually everywhere.

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The Weird Phenomenon of “Labor Shortages” as Millions of People Who Could Work Are Not Working, by Wolf Richter

Wolf Richter does a good job of making sense of seemingly nonsensical statistics. From Richter at wolfstreet.com:

A sign of how messed up the moving parts of the economy have become, amid massive excesses and distortions connected by malfunctioning gearing.

In an interview a few days ago that aired locally, the owner of an Italian restaurant in San Francisco – the restaurant scene is now vibrant in a different way than before – put her struggles with hiring on the table. The kitchen staff had come back, she said, but she had trouble hiring back the staff for the front of the restaurant, the wait staff, who are normally fairly well paid via tips.

She said that many of these people have other dreams. They were artists or writers or students or entrepreneurs, or whatever, and waiting tables wasn’t their career, it was just a way to make ends meet. And many of them had moved on during the pandemic or were using their unemployment benefits to push their dreams forward, rather than returning to restaurant work.

Employment in food services and drinking places rose by 186,000 in May from April, according to the Bureau of Labor Statistics today. In the leisure and hospitality industry overall – which also includes hotels and casinos – employment jumped by 292,000 in May, and has been gaining all year as restaurants and hotels reopened, but was still down by 2.5 million people compared to the peak in February 2020.

Not even the Soviet Union paid people to stay home, by Viktorija Simulynaite

The joke in the Soviet Union was that they pretended to pay you and you pretended to work, but even there you still had to show up on your job. Now, here in the US, even that requirement is gone. From at sovereignman.com:

Last week after my little ‘incident’ when I was almost mugged in downtown Las Vegas, I felt the need to unwind and have a drink.

Apparently everyone else had the same idea, because the hotel bar was packed as tightly as a ‘mostly peaceful’ protest.

Curiously, though, despite such brisk business, there was only ONE waitress working.

She couldn’t possibly keep up with all the orders and looked like she was on the verge of a nervous breakdown. So I walked over to see if she was doing OK.

She was almost in tears as she told me that there would usually be at least 4-6 other servers… but all of her colleagues had simply stopped showing up and the hotel hadn’t found anyone to replace them.

After all, why actually work if the government is willing to pay you to Netflix and chill all day?

This is an area where the mainstream press has been noticeably silent. They have plenty of stories about the high unemployment rate in the United States. But they rarely talk about how much the government is incentivizing people to NOT work.

Now, I was born in Eastern Europe in the tiny country of Lithuania towards the end of the Soviet period, and I had never in my life heard of such a bizarre economic policy.

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Biden’s Jobs Plan: More Government Jobs Won’t Fix the Economy, by Gary Galles

Most government jobs subtract from economic well-being, the jobholder receives pay greater than economic output. Some government jobs, like tax collectors and regulators, actually reduce economic output. From Gary Galles at mises.org:

It seems that every time something adverse happens in the labor market, it restarts the partisan battle between those currently in and out of power as to who is a better steward of the economy.

That was illustrated by the Bureau of Labor Statistics’s (BLS) release of the job numbers for April, which made headlines when job growth, which was expected to surge, came in “unexpectedly” low. The 266,000 jobs created were only a quarter of some forecasts, which topped 1 million. Further, March job creation was also revised down by 146,000. And unemployment ticked up for the first time since the lockdown, despite a reportedly massive shortage of workers, as illustrated by the 7.4 million unfilled job openings reported for February.

The Biden administration, put on its heels by the poor results and the finger-pointing at its policies that followed (particularly the $300 weekly unemployment bonus), insisted the economy is improving, and tried to claim credit for it (even though the economy was recovering far faster than anticipated before he took office) but that the magnitude of the problems faced means that still more government aid is necessary, almost as if they are trying to introduce quadrillion as a measure in common use when talking about deficits and debt, rather than trillion.

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Beware the Rise of Scamerica, by Robert E. Wright

Counterintuitively to those who think of government as some sort of font of morality, the more the government, the more the scams. From Robert E. Wright at aier.org:

Scams, frauds, flim flams, and grifts are nothing new to America. In fact, confidence games were old hat when Clifton Wooldridge published his 1906 classic, The Grafters of America: Who They Are and How They Work, which describes common cons in fin de siecle Chicago. The recent death of notorious investment scamster Bernie Madoff should remind Americans that if it sounds too good to be true, it probably is.

As America descends into policy disarray, the scamming of others is increasing. Wire fraud is rampant, as is the impersonation of government workers, apparently because Americans now expect government officials to accost them for quick cash at least occasionally. I focus here on a much more insidious type of scam that also seems to be on the rise, something that I will politely refer to as “substandard work,” but that in informal adult conversation usually goes by a fecal four-letter word followed by “job.”

Much of the substandard work being conducted across the country right now ultimately is the government’s fault, specifically a set of policies seemingly deliberately designed to induce Americans not to work: extra unemployment pay; major school systems remaining virtual until fall; bizarre summer camp masking requirements. The first entices lower income people to stay out of the labor market and the latter two make parents think twice, or thrice, about returning to work.

As a result, many usually reliable businesses cannot find any workers, much less good ones. Robin Jones, a regional manager for a major fast food chain in the Upper Midwest, recently told me that April and May of this year have been the tightest labor market he can remember in his 43-year restaurant career, which includes stints in Arkansas, Missouri, Montana, South Dakota, Tennessee, Texas, and Wyoming. His back is giving out because his desk job has turned into a role as a stopgap line worker in the cheap taco wars. While he does what he can, he is only one man. The extreme dearth of workers means much longer wait times than usual and substandard service overall.

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Doug Casey on the Labor Shortage and Other Disturbing Distortions in the Economy

No good can come from paying people not to work. From Doug Casey at internationalman.com:

Labor shortage

International Man: According to the recent Bureau of Labor Statistics (BLS) jobs report, only 266,000 new jobs were created in April—well below the one million new jobs that was expected.

At the same time, American businesses are desperately seeking to fill job openings which they can’t fill. A survey by the National Federation of Independent Business found that 44% of small businesses had jobs they couldn’t fill, which is a record high.

What’s going on with these seemingly contradictory trends?

Doug Casey: First of all, I don’t trust the government’s statistics. Some are surely better than others, but especially when we’re looking at monetary and economic numbers, it’s increasingly apparent that the US government’s statistics are only marginally more reliable than those of the Argentine government at this point. As the US is increasingly politicized, they’ll deteriorate further, fudged and adjusted for propaganda purposes.

Eventually, they’ll approach the inaccuracy of those in the old Soviet Union. It’s understandable, I suppose, because people believe in, and love to quote, that old saw of Franklin Roosevelt’s: “We have nothing to fear but fear itself.” It’s nonsense, of course; you can ignore reality, but you can’t ignore the consequences of ignoring reality.

The government likes to publish happy, optimistic numbers for lots of reasons. A belief that economic health is based on psychological smiley faces is prominent among them. Unfortunately, optimism can blow away as easily as a pile of feathers in a hurricane.

That said, there are huge distortions that have been cranked into the economy because of the ongoing COVID hysteria, compounded by the government’s reaction to it. It appears there are over 16 million workers collecting unemployment bennies, while there are about 8.5 million job openings, 13% more than in the before times. How is that possible? Lots of fast-food chains are paying $15 an hour, plus recruiting bonuses—and that’s for unskilled labor. There are loads of highly-paid manufacturing and construction jobs going begging. Anyone who wants a job can have one.

There are several reasons for this.

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Labor Shortage Caused by Government, by John Stossel

Pay people not to work and they won’t work, which makes it hard for employers who need to pay people to work to compete. From John Stossel at theburningplatform.com:

Labor Shortage Caused by Government

America has a record 8.1 million job openings.

The media call it a “labor shortage.”

But it’s not a labor shortage; it’s an incentive shortage.

“No one wants to work,” says a sign on a restaurant drive-thru speaker in Albuquerque, New Mexico. “Please be patient with the staff that did show up.”

I never wanted to work. I got a job because I had to support myself. That was good for me. It forced me out of my comfort zone. It made me a better person.

Had government offered me almost equal money not to work, I never would have applied.

Today, government takes away that incentive.

The American Rescue Plan, passed in March, increased unemployment payments by hundreds of dollars and extended them for up to 73 weeks. Given the cost of commuting, etc., many people find they are better off financially not working.

Denmark once offered workers five years of unemployment. Then they noticed that workers found work after exactly five years. So, Denmark cut the benefit to four years. Then most workers found jobs after four years. Now Denmark, wisely, has cut benefits in half.

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