Category Archives: Compensation

The Union Effect in California

Source: University of California, Berkeley Center for Labor Research and Education, Institute for Research on Labor and Employment, 2018

From the summary:
“The Union Effect in California” is a three-part series exploring the ways in which unions affect the lives of all working people—both union members and nonunion members—in California. The studies were conducted as the U.S. Supreme Court prepares to issue a ruling in Janus v. American Federation of State, County, and Municipal Employees that threatens to weaken public sector unions.  

The first study, Wages, Benefits, and Use of Public Safety Net Programs, shows that by bargaining together through unions, California workers increase their earnings by approximately $5,800 per worker annually, for a combined total of $18.5 billion. Union workers also have more access to health and retirement benefits, thereby reducing reliance on the state’s public safety net programs.
By Ken Jacobs and Sarah Thomason    

The second study, Gains for Women, Workers of Color, and Immigrants, shows that, while all workers in California have higher wages and greater access to benefits when covered by a union contract, those workers who earn the least in nonunion workplaces—women, people of color, and immigrants—gain the most.
By Sarah Thomason and Annette Bernhardt      

The third study, A Voice for Workers in Public Policy, analyzes unions as a countervailing force to corporate power in the state. It explores union-backed policies promoting the rights of workers—union and nonunion alike—and addressing broader issues facing working families in the state. Included are policies in the areas of minimum wage, worker benefits, workplace safety, wage theft, employment-based sexual harassment, whistleblower protections, education, immigration, consumer protections, infrastructure and housing, climate policy, and criminal justice.
By Jenifer MacGillvary and Ken Jacobs

Do We Need a Universal Basic Income? A Debate.

Source: Matt Bruenig, rebuttal by Rohan Grey and Raúl Carrillo, In These Times, June 2018

Getting free money from the government is popular. But would it prop up capitalism?

Related:

Do We Need a Federal Jobs Guarantee? A Debate.
Source: Rohan Grey and Raúl Carrillo, rebuttal by Matt Bruenig, In These Times, June 2018

Sens. Kirsten Gillibrand, Cory Booker and Bernie Sanders have all proposed a job guarantee. But would it be drudgery?

Out of Reach 2018

Source: Andrew Aurand, Dan Emmanuel, Diane Yentel, Ellen Errico, Jared Gaby-Biegel, Emma Kerr, National Low Income Housing Coalition, June 2018

From the press release:
…. The Out of Reach report shows the Housing Wage for every state, metropolitan area, and county in the country. The Housing Wage is the hourly wage a full-time worker must earn to afford a modest rental home without spending more than 30% of his or her income on housing costs. The report compares the Housing Wage to average renter wages and minimum wages, as well as wages in the fast-growing occupations, nationally. The report also shows how many hours an individual must work each week for all 52 weeks per year at the prevailing minimum wage to afford a modest one- and two-bedroom apartment at the Fair Market Rent. Out of Reach 2018 also provides Housing Wages for ZIP codes in metropolitan areas. ….

Related:
Interactive map

Certificates in Oregon: A Model for Workers to Jump-Start or Reboot Careers

Source: Anthony P. Carnevale Neil Ridley Megan L. Fasules, Georgetown University, Center on Education and the Workforce, 2018

From the press release:
Certificate recipients in Oregon ages 29 or younger reap sizable earnings gains, in some cases more than doubling their pay, as they build their skills and enter the workforce, according to a new analysis of community college programs in the state. The Georgetown University Center on Education and the Workforce (Georgetown Center) report, Certificates in Oregon: A Model for Workers to Jump-Start or Reboot Careers, highlights the role of certificates for people seeking to enter the labor market, an issue that has drawn increasing attention from policymakers in Washington, DC and across the nation.

The new analysis is based on state-level data that sheds light on their labor market value by field of study and their impact on both college-age students entering the labor market and adults established in the workforce. It also shows the importance of major national and state investments in data systems that have allowed states like Oregon to track the earnings returns of particular credentials.

Supreme Court decision in Janus threatens the quality of public-sector jobs and public services: Key data on the roles these workers fill and the pay gaps they face

Source: Celine McNicholas and Heidi Shierholz, Economic Policy Institute, June 13, 2018

In the last decade, an increasingly energized campaign against workers’ rights has been waged across all levels of government—federal, state, and local. Much of the focus of this anti-worker campaign has been on public-sector workers, specifically state and local government workers. For example, several states have passed legislation restricting workers’ right to unionize and collectively bargain for better wages and benefits. Beyond these legislative attacks, public-sector workers have been targeted by repeated legal challenges to their unions’ ability to effectively represent them. The Supreme Court will soon issue a decision in the most recent of these challenges, Janus v. AFSCME Council 31. As a previous EPI report explained, the corporate interests backing the plaintiffs in Janus are seeking to weaken the bargaining power of unions by restricting the ability of public-sector unions to collect “fair share” (or “agency”) fees for the representation they provide. In this new report, we argue that the decision in Janus will have significant impacts on public-sector workers’ wages and job quality as well as on the critical public services these workers provide.

Related:
Press release

Workers’ wages fall after passage of GOP tax cuts

Source: Ryan Koronowski, ThinkProgress, June 13, 2018

Trump’s corporate tax cut hasn’t benefited workers like he said it would.

Related:
Real Earnings Summary – May 2018
Source: Bureau of Labor Statistics, Economic News Release, USDL-18-0996, June 12, 2018

All employees
Real average hourly earnings for all employees increased 0.1 percent from April to May, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This result stems from a 0.3-percent increase in average hourly earnings being offset by a 0.2-percent increase in the Consumer Price Index for All Urban Consumers (CPI-U).

Real average weekly earnings increased 0.1 percent over the month due to the increase in real average hourly earnings combined with the unchanged average workweek.

Real average hourly earnings were unchanged, seasonally adjusted, from May 2017 to May 2018. Combined with a 0.3-percent increase in the average workweek, real average weekly earnings increased by 0.3 percent over this period. ….

…. Production and nonsupervisory employees

…. From May 2017 to May 2018, real average hourly earnings decreased 0.1 percent, seasonally adjusted…..

Raise Anatomy: How to Ask for a Raise and Get It

Source: PayScale, Inc., June 2018

From the press release:
Today, PayScale, Inc., the world’s leading provider of precise, on-demand compensation data and software, released new research showing which employees are asking for pay raises and which employees are receiving them. This study is designed to educate both employees and employers about biases which may impact pay decisions in an effort to achieve equitable pay raises regardless of race or gender. One of the key findings from the “Raise Anatomy” report is that white men are far more likely to actually get a raise when they ask for it than a person of color. ….

Key findings from the report:
• The majority of employees (70 percent) who asked for a raise received at least some pay increase.
• Of those who asked for a raise, 39 percent of employees got the amount they requested, while 31 percent received a smaller raise than requested.
• People of color were significantly less likely than white men to have received a raise when they asked for one. Women of color were 19 percent less likely to have received a raise than a white man and men of color were 25 percent less likely. (Note: No single gender or racial/ethnic group was more likely to have asked for a raise than any other group.)
• The most common justification for denying a raise was budgetary constraints (49 percent). Only 22 percent of employees who heard this rationale actually believed it.
• One third of workers report that no rationale was provided when they were denied a raise.
• When workers don’t believe the rationale, or aren’t provided one, they reported lower rates of satisfaction with their employer and reported being more likely to quit.
• Of those who said that they did not ask for a raise, 30 percent reported their reason for not asking was they received a raise before they felt the need to ask their manager.
• Employees who are most satisfied with their work and their employers are those who agreed with the statement: “I’ve always been happy with my salary.” ….

Related:
How to boost your odds of getting a raise: Ask for one, and be a white man
Source: Rachel Siegel, Washington Post, June 6, 2018

State and Local Government Workforce: 2018 Data and 10 Year Trends

Source: Gerald Young, Center for State and Local Government Excellence, International Public Management Association for Human Resources, and the National Association of State Personnel Executives, May 2018

From the summary:
Since 2009, the Center for State and Local Government Excellence has partnered with the International Public Management Association for Human Resources and the National Association of State Personnel Executives to conduct a study on state and local workforce issues. This year’s report contains both 2018 data on emerging issues like the gig economy and flexible work practices and longitudinal data on recruiting challenges, retirement plan or health benefit changes, hiring, and separations from service.

Lowe’s Is Making Managers Sign Arbitration Agreements If They Want Their Bonuses

Source: Dave Jamieson, Huffington Post, May 29, 2018

We’re going to see a whole lot more of these “voluntary” agreements after last week’s Supreme Court ruling.

Lowe’s has a message for its store managers: Sign this or else.

Salaried managers and assistant managers at the big-box home improvement retailer are being required to enter binding arbitration agreements under the threat of losing their valuable bonuses, according to a copy of the contract obtained by HuffPost.

By signing the contract, managers agree they won’t take Lowe’s to court with any claims or join in class-action lawsuits against the company. Instead, any grievance they have must be taken individually and in private to an arbitrator ― an arrangement that could significantly cut back workers’ legal claims of unpaid work. ….

Related:
The Supreme Court’s Arbitration Ruling Is Already Screwing Thousands Of Chipotle Workers
Source: Dave Jamieson, Huffington Post, May 27, 2018

The burrito chain has asked a court to exclude 2,814 workers from a massive wage theft lawsuit because they signed mandatory arbitration agreements.

Editorial: Forced arbitration hides workplace abuses. No one should forfeit rights for a job
Source: Sacramento Bee, May 24, 2018

Forced Arbitration
Source: Economic Policy Institute, 2017

Forced arbitration, especially where it prohibits the use of a class action of any kind, can be very destructive of employee rights, undermines labor standards, and contributes to wage suppression, discrimination, and poorer working conditions.

The Supreme Court Favors Forced Arbitration at the Expense of Workers’ Rights
Source: Galen Sherwin, ACLU Women’s Rights Project, May 22, 2018

The #MeToo movement has offered an important lesson on the collective power of voices joining together to take on individual experiences of injustice. On Monday, the Supreme Court dealt a huge blow to precisely this kind of collective power, ruling against the ability of workers to join together to take on employment discrimination and abuse.

The court ruled that employers are free to force workers who have been victims of unfair labor practices into private arbitration to address their claims — even in cases where workers sought to bring a collective legal action. The decision came in a case about failure to pay overtime, but its implications are far broader and extend to many of the claims of harassment and discrimination that have surfaced thanks to the #MeToo and #TimesUp movements…..

When Teachers Strike, Support Staff Has the Most to Lose

Source: Madeline Will, Education Week, May 29, 2018

The national spotlight on the strikes and walkouts this spring has been on the teachers themselves. But in the shadows was another group that’s just as critical for keeping schools running: support staff.

Often overlooked in the broader public discourse, these workers, including instructional aides and paraprofessionals, sometimes had more at stake in the walkouts than full-time teachers. When schools were closed, many didn’t get paid.