As a worker, what are your roles and responsibilities?

• Punctuality• Dependability• Great customer service• Meet and exceed boss expectations• Able to work with a team• Problem solving skills• Creative Thinking skills• Strong ethics/morals• Articulate• Honest

What is comparable worth?

A theory that women should be paid the same as men in the same job.

With divorce rates high and increased cost of living, women often

have to enter the workforce.

Often enter the workforce for extra money or saving for

college.

With increased volatility around the world and

globalization, more immigrants are coming

to the U.S. and competing for jobs. With cost of living going up and

social security not keeping pace, many elderly have to entered the workforce. They often are

hired before teenagers because of their dependability.

More minorities are attending college and

getting advanced degrees, and competing

in the workforce.

Because minorities and women were not given the

same pay, benefits, or

opportunities as males.

Policies that take factors including

"race, color, religion, gender, sexual orientation, or

national origin" into consideration in order

to benefit an underrepresented group "in areas of

employment, education, and

business”

Because minorities and women were not given the

same pay, benefits, or

opportunities as males.

Policies that take factors including

"race, color, religion, gender, sexual orientation, or

national origin" into consideration in order

to benefit an underrepresented group "in areas of

employment, education, and

business

There are issues of reverse-discrimination where more qualified

people are being overlooked for jobs because of quotas.

Minorities and women do not care

for it because it looks as if they received their job due to a quota rather than

them being qualified.

SALARY WAGES

form of periodic payment from an employer to an

employee, which may be specified in an

employment contract

form of payment from an employer to an employee, which is

paid on an hourly basis at a predetermined

rate

WAGES: payments workers receive in return for work

The price for labor is dictated by the laws of supply and

demand.

Demand for Labor- (employer’s point of view)A producer’s demand for labor is a derived demand (demand for a product or resource because of its contribution to the final product) and is dependent partly on price; as price goes down, demand goes up; price for labor is often connected to productivity, the more productive the worker, the more they get paid

Supply of Labor- (worker’s point of view)Depending on the skill and experience of a worker, there is a certain expectation of wages. If a cook has 7 years experience cooking, they may expect to make $10-12/hr; whereas someone who is new to cooking will only get paid minimum wage ($7.25)Therefore, if a new restaurant were to open and they are interested in attracting cooks with experience, they would have to pay in the $10-12 range.

How do the following affect wages:1. Human Capital – the knowledge and skills that

enable workers to be productive. (skilled vs. unskilled labor)

2. Working conditions – some jobs are dangerous or unpleasant and often will have higher pay; some jobs with lower pay might offer “perks”

3. Discrimination – often times women make less pay doing the same job as a man. An employer might not hire a woman at a man’s wage.

4. Government actions – minimum wage because the equilibrium wage for some jobs might be so low that no one would be able to live off the wage

What is a living wage?

Is minimum wage a living wage?Let’s do the math looking at a family of four (15% tax bracket):

Minimum wage: $7.25/hrTotal hours worked: 40

Gross pay: $290/wkApproximate taxes, social security, etc. out: $80 (est.)

Take home pay: $210 x 2= $420/wk$1680/month

BILLS AMOUNT

RENT $500

ELECTRIC $50

GAS $80

TRANSPORTATION $200

DAYCARE $1000

TOTAL MONTHLY BILLS: $1830 (No food, clothing, etc.)

IS IT ENOUGH?

So, can a family of four live on minimum wage?

Current U.S. poverty line: $22,350.

Is minimum wage a living wage?

http://assembly.state.ny.us/Press/20120515/

PUBLIC SECTOR-sometimes referred to as the state sector or the

government sector, is a part of the state that deals with the production, ownership, sale, provision, delivery and

allocation of goods and services by and for the government or its citizens.

PRIVATE SECTOR-part of the economy, sometimes referred to as the citizen

sector, which is run by private individuals or groups, usually as a means of enterprise for profit, and is not

controlled by the state

Public vs. Private Sector work

PUBLIC SECTOR• Wages tend to be lower• Jobs tend to be more secure

due to union involvement (not all are union jobs)

• Often not rewarded or promoted due to productivity

• Have benefits packages (401K, sick days, vacation time, health insurance) which vary from job to job

• Paid with taxpayer dollars

PRIVATE SECTOR• Wages are typically higher• Jobs can be less secure• Promoted and rewarded for

productivity• Benefits packages (401K,

sick days, vacation time, health insurance) which vary from job to job

• Paid with business revenue

GLOBALIZATION AND JOBS

What two qualifications must a person have to considered unemployed? (16+ years old)?

1. NOT WORKING, BUT ARE ABLE TO WORK2. HAVE LOOKED FOR WORK SOMETIME IN

THE PREVIOUS FOUR WEEKS

Are people who have given up looking for work considered unemployed?

______________NO

Are people who work part – time considered employed? ________________NO

FORMULA: Unemployment Rate = number unemployed U.S. labor force

*To be included in the labor force you must be considered

employed or unemployed!*

What is the approximate number of people in the U.S. labor force? ____________________

*Considering our population is well over 250 million people, they make a lot of them

disappear!*

154 MILLION (2012)

UNEMPLOYMENT RATE:

The percentage of the labor force that is jobless and actively looking for work

The US Bureau of Labor Statistics surveys 60,000 households each month to determine this number.

Our current unemployment rate:

8.3% (September 3, 2012)Highest unemployment rate during the Great Depression:

25%http://www.youtube.com/watch?v=vuMiwRDGqCU&feature=related

TYPES OF UNEMPLOYMENTfrictionally unemployed-

THE TEMPORARY UNEMPLOYMENT OF WORKERS MOVING FROM ONE JOB TO ANOTHER

structurally unemployed-UNEMPLOYMENT THAT EXISTS WHEN THE AVAILABLEJOBS DO NOT MATCH THE SKILLS OF AVAILABLE WORKERS

cyclical unemployment-UNEMPLOYMENT CAUSED BY THE PART OF THE BUSINESS CYCLE WITH DECREASED ECONOMIC ACTIVITY

seasonal unemployment-UNEMPLOYMENT LINKED TO SEASONAL WORK

FULL EMPLOYMENT:No unemployment due to decreased economic activity

UNDEREMPLOYED:People employed part-time who want to work full-time, or those who work at a job below their skill level

http://www.pbs.org/newshour/video/module.html?mod=0&pkg=2072009&seg=5

WHAT IS HAPPENING TO AMERICAN JOBS DUE TO

GLOBALIZATION?

OUTSOURCING:The practice of contracting with an outside company, often in a foreign country, to provide goods or services

There are many reasons this is done:1. Many other countries have much cheaper labor available.2. If corporations want to expand into other markets, sometimes it helps to do

business in those markets.3. You can cut down on shipping costs if you have a business located where the

goods are going to be sold.4. Currently, there is almost no penalty on businesses that do this.

http://abcnews.go.com/WNT/video/world-news-fact-checks-outsourcing-overseas-jobs-steal-stolen-US-workers-12092146

There is also INSOURCING where businesses from overseas open operations in the U.S. for the same reasons as outsourcing.

But for the most part, the US is outsourcing which leaves us with…

UNEMPLOYMENT

Government Unemployment Report Number

Who’s Counted

Percent/Rate Reported for June 2009

Anything Else Interesting?

U3 Official number reported 8.3%

U4 U3 populationsPLUS: People who have stopped looking for work/discouraged workers

10%

U5 U3 & U4 populationsPLUS: People who say they would take a job, but haven’t looked in a month (Marginally –attached workers)

10.8%

U6 U3, U4, & U5 populationsPLUS: People who are working part-time but are looking for full-time work/Part-timers

16.5%

Which U number(s) include Ebony Allen? Which population of "unemployed" people does she belong to?

Ebony Allen is counted in the U3 report only. She belongs to the population actively seeking work, but she's been unemployed for two years.

2. How many households were surveyed by the Labor Department to create the June 2009 unemployment reports?

Sixty thousand households were surveyed.

term for any working environment considered to be unacceptably

difficult or dangerous. Sweatshop workers often work long hours for

very low pay, regardless of laws mandating overtime pay or a

minimum wage

the act of using another person's labor without

offering them an adequate compensation

the employment of children at regular and

sustained labor