this post was submitted on 26 Oct 2024
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The vast majority of employers can't pay the minimum rate, because their employees wouldn't be able to do basic shit like travel to the jobsite or afford to eat. Wages have been rising (particularly post-COVID, after a few million Americans dropped out of the labor force for some mysterious reason) as demand eclipses supply.
And a big reason AI has caught on as a techno-panacea is business analysts are looking at the median age and size of the labor force, the stark hostility to immigration, and the perpetually increasing need for technical work, then realizing this is going to put huge upward pressure on wages unless much of that workforce can be automated away.
But market forces are happening even in absence of legislative action. Union activity is reemerging as a socio-economic force. Not everything rests on a federal majority manually raising the wage floor.
You know, something always feels a little off with an underpantsweevil comment. I could never put my finger on it though, always seems so close to being factual but for some reason skewed. I think it's the declarative statements which turn out to be more of an opinion or editorial piece that's only backed up by other vague references much like a matt walsh or tim (can't remember his last name) might make.
This is a weird general statement that reinforces that "supply & demand" is a worth-while endeavor that has worked out for everyone economically and socially. Of course wages have been rising.... it would be beyond a depression if the average salary went down for the past couple of years. The important caveats are completely missed though...
AI..... are you talking about like a general AI or chatgpt? What right-wing or doomscrolling blog are you reading about AI from? All these companies trying to cram some type of "AI" into their program is a problem for sure, but it's just a fad which only the most useful implementations will stick around. If anything, the companies are spending more trying to make it work (which it doesn't).
Amazon Fresh kills “Just Walk Out” shopping tech—it never really worked - "AI" checkout was actually powered by 1,000 human video reviewers in India.
Here is an article by the Mckinsey Global Institute.
Interesting you've again promoted "market forces" (reminds me of trickle-down economics). Union activity has been beaten down by a war being waged for decades, proper legislation and officials protecting the rights of Unions are the only way they will continue to have a chance. The recent changes in the Biden administration shows that unions can stand a chance if the branches of government would actually support it.
Wouldn't having a federal majority, manually raising the wage floor, protect future workers when the AI revolution comes? If the market determines the wage minimum, won't your points become moot when there is no more demand? I'm just still flabbergasted that you believe "employers can’t pay the minimum rate, because their employees wouldn’t be able to do basic shit like travel to the jobsite or afford to eat." I don't know what social circles you are in, but this isn't the reality most lower income people are facing.
It's a fundamental pricing mechanism. Low supply pushes demand up.
Efforts to shoehorn AI into daily business activity aren't just at the retail end. We're seeing it show up in doctor's offices, to replace transcription services, and legal offices, to replace paralegals, and in IT to replace developers.
The implementation is routinely worse than the human labor it replaces, but the cost is so much lower that business owners will justify the transition.
Union organizers who wait on corporately captured politicians to save them are fucked. You build the union first and you get the legislation later, when politicians recognize the union as a force worth pandering to.
By contrast, the Wildcat Strike and the Slow Down... hell, the very act of collectively bargaining, leveraged market force to exert pressure on employers.
Depriving businesses of their labor supply compels them to increase their compensation. That's Econ 101 tier material analysis.
Sure. But you need a movement large enough to obtain the corruptive force of private capital first. Where do you get that movement?
By the time you have a coalition big enough to compel the federal government to change, you've already built a union big enough to force private industry to capitulate independent of a legislative fix.
Again, just baseless conjuncture that sounds "almost right". You have the general principles, you even reference Econ 101, but analysis and expert opinion goes further (why there's so many armchair champions out there, unfortunately). Please cite some actual sources that have analyzed the systems and what your perspective has been formed by. This just seems like base-level pandering that gets no where like a "group chat" on one of the mainstream news outlets.
Things do not happen in a sterile chamber. You can't create union movements when they're getting destroyed by officials
Your AI argument is fear mongering, as I stated above, with sources, a net increase in jobs is projected. This is the telephone/computer technology fear now for the 2020's. You've yet to provide an actual argument for why technology shouldn't proceed. Should oil and gas not go through the same transition? God forbid we have less administration and more skilled workers, as my sources concluded would be the outcome.
Yes, supply-demand is a fundamental pricing mechanism, as econ 101 will teach. Unfortunately the subsequent classes that economists take after also include the million different factors with changes that mechanisms output. For further understandings, I would suggest Unlearning Economics (here is one of his videos going over a Sabine Hossenfelder's video on capitalism). He comes with credentials,
Piketty's Capital in the 21st Century is a solid one.
Richard Wolff also has a great podcast on the subject
That is part of the strategy to depress wages, certainly. But substandard substitution is also a standard business strategy.