Category Archives: Workforce

AFL-CIO Commission on the Future of Work and Unions

Source: AFL-CIO Commission on the Future of Work and Unions, Report to the AFL-CIO General Board, September 2019

….We present this report with fresh optimism that working people can and will build a future of work that works for all of us. But getting the job done requires more than engaging with innovation in the workplace. We must innovate ourselves, strengthen our unions, organize new ones and bring more workers into our ranks. The stakes are enormous. A system that fails to provide a decent standard of living for its people will not stand. So if technology and public policy continue to be used to further concentrate economic power in the hands of the wealthy few, our system of government and our way of life are in grave danger. But it doesn’t have to be that way. The labor movement can be inclusive enough and strong enough to raise living standards across the economy and ensure good jobs for everyone who wants to work.

This report is our plan to make that happen…..

State of the Workforce Report 2019

Source: National Association of State Workforce Agencies (NASWA), September 2019

From the press release:
The National Association of State Workforce Agencies (NASWA) released the first-ever, annual State of the Workforce Report, which includes national workforce data and a state profile of each of the 50 states, plus the District of Columbia.

“There is now a place for you to easily find key labor market information for each state and how their workforce agency is structured,” said Jon Pierpont, NASWA Board President and Executive Director, Utah Department of Workforce Services. “Though every state is different, we all work towards supporting citizens with every opportunity to become self-sustaining. This report shows our uniqueness and amplifies the impact workforce agencies are having throughout the country.”

The 50 state profiles include labor market and unemployment insurance information, an overview of the state’s workforce structure, and individuals served. The report also highlights the uniqueness of every state by promoting the innovations taking place across the country in serving America’s workforce.

Outsourcing and Organizational Performance: The Employee Perspective

Source: Gyeo Reh Lee, Shinwoo Lee, Deanna Malatesta, Sergio Fernandez, The American Review of Public Administration, Volume 49 Issue 8, November 2019
(subscription required)

From the abstract:
We develop a conceptual framework that integrates and extends existing explanations of outsourcing’s effects on the government workforce and organizational performance. We then test our logic using 5 years of panel data (2010-2014) from U.S. federal agencies. The evidence presents modest negative effects of outsourcing on organizational performance as perceived by employees. The analysis also reveals that outsourcing affects perceived performance through its influence on job satisfaction.

The Work of the Future: Shaping Technology and Institutions

Source: MIT Task Force on the Work of the Future, Fall 2019

….How can we move beyond unhelpful prognostications about the supposed end of work and toward insights that will enable policymakers, businesses, and people to better nav-igate the disruptions that are coming and underway? What lessons should we take from previous epochs of rapid technological change? How is it different this time? And how can we strengthen institutions, make investments, and forge policies to ensure that the labor market of the 21st century enables workers to contribute and succeed?

To help answer these questions, and to provide a framework for the Task Force’s efforts over the next year, this report examines several aspects of the interaction between work and technology. We begin in Section 1 by stating an underlying premise of our project: work is intrinsically valuable to individuals and to society as a whole, and we should seek to improve rather than eliminate it. The second section introduces the broader concerns that motivated the Task Force’s formation. Here we address a paradox: despite a decade of low unemployment and generally rising prosperity in the United States and industrialized countries, public discourse around the subject of technology and work is deeply pessimistic. We argue that this pessimism is neither misguided nor uninformed, but rather a reflection of a decades-long disconnect between rising productivity and stagnant incomes for the majority of workers…..

Tax Law’s Workplace Shift

Source: Shu-Yi Oei, Diane M. Ring, Boston College Law School Legal Studies Research Paper No. 506, Last revised: 16 May 2019

From the abstract:
In December 2017, Congress passed major tax reform. The reform included an important new provision that grants independent contractors and other passthrough taxpayers, but not employees or corporations, a potential tax deduction equal to 20% of their qualified business income. Critics have argued that this new deduction (26 U.S.C. § 199A) could lead to a widespread shift towards independent contractor jobs as workers seek to reduce taxes paid. This shift could cause workers to lose important employee protections and leave them more vulnerable.

This Article examines whether this new tax provision will create a large-scale workplace shift, and if it does, how that shift should be normatively evaluated. It argues that while tax law in general has important and underappreciated effects on work arrangements, it is difficult to isolate § 199A as the driver of a broad workplace shift. Several other non-tax legal changes and non-legal economic developments are transforming work arrangements and classification choices, and § 199A is only one factor. Moreover, § 199A is not even the only tax law change that is likely to impact classification choices.

We also argue, drawing on empirical data on contemporary workplace trends, that even if new § 199A induces a workplace shift, how this shift is evaluated must depend on the types of workers and work at issue. While an independent contractor shift may increase precariousness for some workers, empirical data suggests that for others, a shift may be less troubling, or troubling for different reasons. Our Article lays a framework for analyzing how tax law contributes to and interacts with other factors in ultimately shaping contemporary work arrangements.

The future of work in America: People and places, today and tomorrow

Source: Susan Lund, James Manyika, Liz Hilton Segel, André Dua, Bryan Hancock, Scott Rutherford, and Brent Macon, McKinsey Global Institute, July 2019

From the summary:

…..A new report from the McKinsey Global Institute, The future of work in America: People and places, today and tomorrow, analyzes more than 3,000 US counties and 315 cities and finds they are on sharply different paths. Automation is not happening in a vacuum, and the health of local economies today will affect their ability to adapt and thrive in the face of the changes that lie ahead.

The trends outlined in this report could widen existing disparities between high-growth cities and struggling rural areas, and between high-wage workers and everyone else. But this is not a foregone conclusion. The United States can improve outcomes nationwide by connecting displaced workers with new opportunities, equipping people with the skills they need to succeed, revitalizing distressed areas, and supporting workers in transition. Returning to more inclusive growth will require the combined energy and ingenuity of business leaders, policy makers, educators, and nonprofits across the country…..

Voices from an age of uncertain work – Americans miss stability and a shared sense of purpose in their jobs

Source: David L. Blustein, The Conversation, July 18, 2019

On the surface, the well-being of the American worker seems rosy.
Unemployment in the U.S. hovers near a 50-year low, and employers describe growing shortages of workers in a wide array of fields.

But looking beyond the numbers tells a different story. My new book, “The Importance of Work in an Age of Uncertainty,” reveals that some Americans are experiencing an erosion in the world of work that is hurting their well-being, relationships and hopes for the future.

We can’t simply blame the rise of the gig economy. It’s also a result of a growing impermanence in the U.S. economy, with more short-term jobs that lack security and decent benefits. At the same time, worker wages continue to stagnate, which underscores the breadth of the problem.

Rising Mortality Rates Among Working-Age Americans

Source: Emily Fazio, Regional Financial Review, Vol. 29 no. 9, May 2019
(subscription required)

Mortality in the U.S. is rising. As a result, life expectancy at birth has fallen every year since its peak in 2014. This paper discusses the rise in mortality and the influence of increased rates of suicide and fatal drug overdoses. It also looks at geographic differences in mortality. Third, this paper considers the impact of economic conditions on changes in mortality, suicide rates, and fatal drug overdoses.

State of the Union: Millennial Dilemma

Source: Stanford Center on Poverty and Inequality, May 2019

The annual Poverty and Inequality Report provides a unified analysis that brings together evidence across such issues as poverty, employment, income inequality, health inequality, economic mobility, and educational access to allow for a comprehensive assessment of where the country stands. In this year’s issue, the country’s leading experts provide the latest evidence on how millennials are faring.

Contents include:

Executive Summary
David B. Grusky, Marybeth Mattingly, Charles Varner, and Stephanie Garlow
With each new generation, there’s inevitably much angst and hand-wringing, but never have we worried as much as we worry about millennials. We review the evidence on whether all that worrying is warranted.

Racial and Gender Identities
Sasha Shen Johfre and Aliya Saperstein
The usual stereotypes have it that millennials are embracing a more diverse and unconventional set of racial and gender identities. Are those stereotypes on the mark?

Student Debt
Susan Dynarski
Often tagged the “student debt generation,” millennials took out more student loans, took out larger student loans, and defaulted more frequently. Here’s a step-by-step accounting of how we let this happen.

Employment
Harry J. Holzer
Labor force activity has declined especially rapidly among young workers. The good news: We know how to take on this problem.

Criminal Justice
Bruce Western and Jessica Simes
The imprisonment rate has fallen especially rapidly among black men. Does this much-vaunted trend conceal as much as it reveals?

Education
Florencia Torche and Amy L. Johnson
The payoff to a college degree is as high for millennials as it’s ever been. But it’s partly because millennials who don’t go to college are getting hammered in the labor market.

Income and Earnings
Christine Percheski
When millennials entered the labor market during the Great Recession and its aftermath, there were uniformly gloomy predictions about their fate. Does the evidence bear out such gloomy predictions?

Social Mobility
Michael Hout
Millennials have a mobility problem. And it’s partly because the economy is no longer delivering a steady increase in high-status jobs.

Occupational Segregation
Kim A. Weeden
Are millennial women and men working side by side in the new economy? Or are their occupations just as gender-segregated as ever?

Poverty and the Safety Net
Marybeth Mattingly, Christopher Wimer, Sophie Collyer and Luke Aylward
Millennial poverty rates at age 30 are no higher than those of Gen Xers at the same age. But this stability hides a problem: Millennials are replacing a falloff in earnings with large increases in government assistance programs.

Housing
Darrick Hamilton and Christopher Famighetti
Housing reforms during the civil rights era helped to narrow the white-black homeownership gap. But those gains have now been completely lost … and the racial gap in young-adult homeownership is larger for millennials than for any generation in the past century.

Social Networks
Mario L. Small and Maleah Fekete
Millennials are not replacing face-to-face networks with online ones. Rather, they’re a generation that’s found a way to do it all, forging new online ties while also maintaining the usual face-to-face ones.

Health
Mark Duggan and Jackie Li
It might be thought that, for all their labor market woes, at least millennials now have health care and better health. How does this story fall short?

Policy
Sheldon Danziger
A comprehensive policy agenda that could help millennials … and other generations too.

Work of the Past, Work of the Future

Source: David Autor, NBER Working Paper No. 25588, February 2019
(subscription required)

From the abstract:
Labor markets in U.S. cities today are vastly more educated and skill-intensive than they were five decades ago. Yet, urban non-college workers perform substantially less skilled work than decades earlier. This deskilling reflects the joint effects of automation and international trade, which have eliminated the bulk of non-college production, administrative support, and clerical jobs, yielding a disproportionate polarization of urban labor markets. The unwinding of the urban non-college occupational skill gradient has, I argue, abetted a secular fall in real non-college wages by: (1) shunting non-college workers out of specialized middle-skill occupations into low-wage occupations that require only generic skills; (2) diminishing the set of non-college workers that hold middle-skill jobs in high-wage cities; and (3) attenuating, to a startling degree, the steep urban wage premium for non-college workers that prevailed in earlier decades. Changes in the nature of work—many of which are technological in origin—have been more disruptive and less beneficial for non-college than college workers.