https://www.youtube.com/watch?v=vfbbF3oxf-E
Great documentary on the pitfalls of the throwaway lifestyle.
https://www.youtube.com/watch?v=vfbbF3oxf-E
Great documentary on the pitfalls of the throwaway lifestyle.
An article discussing the claims that globalization and expanded international trade would increase wealth worldwide compared to the reality of growing inequality.
http://harvardmagazine.com/2015/03/how-globalization-begets-inequality
European countries are in crisis — but not just an economic one. Globalization has generated a new global class structure, with a tiny, powerful plutocracy lording it over everyone else. A shrinking “salariat” clings on to full-time employment. Below them, a swelling class of precariously employed workers, the “precariat,” flit between jobs and unemployment without any occupational identity. At the bottom is an underclass made up of the indigent, ill and damaged.
The precariat class is growing — but instead of championing their cause, the political left across Europe is failing them. And in failing the precariat, the left is failing itself.
Sweden, long regarded as the utopia of social democracy, is an unlikely player on the front line of this crisis of the left. This year, center-left parties, which include the once mighty Social Democrats, will likely find a place in Sweden’s government, not because their policies have inspired voters but by elimination: Their right-wing counterparts have been in office for nine years and are presiding over rising inequality, 8 percent unemployment, and unprecedented social tensions such as the four nights of riots, looting and arson that took place just outside Stockholm last May.
When the Social Democrats are elected, they will have to govern in coalition. They appear clueless about what they even want to achieve. The haplessness of Sweden’s left was epitomized by an article by the SD’s general secretary in December, nine months before the general election. Rather than proposing concrete policies, the SD announced they were launching a “listening campaign” to find out what the Swedish people want. That may sound democratic, but political parties should be driven by values and a desire to convince others. Instead of taking a stand, this one is asking people to tell it what to stand for. It is rather sad.
Sweden’s predicament is emblematic of growing social unrest across Europe. Inequality is rising faster there than in any other member of the Organization for Economic Cooperation and Development, and if involuntary part-timers and the discouraged unemployed were included in a composite measure of labor slack, the level of labor underutilization would be at least 10 percent, much higher than the official unemployment rate. One in every four people between the ages of 16 and 24 has no job, and a rising number of young men of that age are trapped in means-tested social assistance and quietly pushed into workfare, schemes requiring them to do menial labor in return for meager benefits. Workfare is a general policy that social democrats have adopted across Europe, much to the angst of the precariat, because the forced low-paid labor is pushed on them.
Sweden is not unique in seeing its traditional left in intellectual paralysis. In September, it was the Norwegian center-left that was booted out of office, even though Norway has done relatively well economically since the 2008 global financial crash. Just before that, the German center-left dribbled into a derisory minority vote. And earlier in 2013 the Italian social democrats (PD) sold what little was left of their progressive credibility by entering a coalition with the right-wing party of a multi-convicted billionaire maverick, Silvio Berlusconi. In France, the socialist president wallows in unprecedented unpopularity, seemingly bereft of progressive ideas and beleaguered by a recent sex scandal.
The roll call of paralysis goes on, through Spain, Portugal, Greece and Bulgaria. In the U.K., the Labour Party has announced it will abide by the spending plans of the Conservative-led government and pitches its electoral hopes on a promise to deal with the cost of living better. Labour tries to appeal to a populist “squeezed middle,” as if the crushed bottom does not matter. Indeed, it deliberately sounds just as tough on the unemployed as the Conservatives do. The precariat are left out of consideration altogether.
The financial crash of 2008 was a failure of a market-driven economic model traditionally embraced by right-leaning politicians. This should have created inroads for the left to become stronger than ever. So why is it the left that has been losing elections, often by a wide margin, rather than its conservative counterparts?
One reason is that social-democratic parties made a historical compromise in the 1990s in a bid to be electable, appealing to what they perceived as “the middle class” and all but ignoring the lower classes in their electoral calculus. But there is something even bleaker about the defeats of the left: Its parties have failed to offer a sense of future.
Traumatized by the overwhelming influence of Margaret Thatcher and Ronald Reagan, these parties resorted to “third way” buzzwords invented by consultants in think tanks. Not only are we told to support the “squeezed middle,” it’s also recommended that we favor “predistribution” — but what does that even mean? This vague PR-speak revealed these parties’ lack of any substantive vision of a good society. Barack Obama briefly beamed hope but has long since lost his luster. Only after five years in office did he wake up to declare that inequality was a major issue to be confronted, and then he did not say how.
It doesn’t help the left that youth inside the precariat face a hostile social state, unlike anything their parents faced. Ever since Bill Clinton promised in 1996 to “end welfare as we know it,” social democrats everywhere have joined the right in offering the unemployed and youth in general a mix of benefit sanctions, for alleged behavioral deficiencies, and workfare, which is little more than forced labor, mostly in demeaning make-work schemes, if they wish to receive benefits. Politicians call this “tough love.” But there is no love. It is an Orwellian term that conceals the loss of the vital ingredient of progressive politics: empathy.
The labor-based parties of social democracy seem doomed to marginal status, just as their old trade-union base withers. That does not mean the left is necessarily doomed: though it is currently impotent, it will take new forms. The old is dying; the new is not quite ready to spring into life. The “morbid symptoms of decay” that the Marxist thinker Antonio Gramsci, surveying the lost left in the 1930s, brought into the imagination of another generation are all around. More than half the young in Spain are unemployed, homelessness is rampant, poverty is higher than it has been for decades and charities are overstretched.
The anger inside the precariat is simmering, and from time to time it boils over into days of rage. The spontaneous mobilization of collective energy in Gezi Park in Istanbul, the anti-austerity protests in Athens and the constant street actions of the indignados in Spain are all part of the “primitive rebels” phase of an emerging class, seeking a path of recognition, representation and then redistribution. “Primitive rebels” is a term used by the late historian Eric Hobsbawm. It is used to describe those who rebel against a system that is manifestly unfair but who are unable as yet to offer a coherent alternative; Hobsbawm wagers that they are the harbinger of more strategic action. As with the Occupy movement, they know what they are against but have not yet articulated what they want, except that it is not the past. As one subversive piece of graffiti on a Madrid wall put it: “The worst thing would be to return to the old normal.”
In Bulgaria, there has been an Occupy settlement outside the parliamentary buildings for months. The government, paralyzed, accused the protesters of being middle class and paid to demonstrate. Lobbed back, metaphorically, came the defiant cry, “We do not need to be paid to hate you!” Six youths have killed themselves; one who self-immolated has been adopted as a symbol of defiance. The outside world takes no notice.
Everywhere, the energy is growing. Outbreaks of primitive rebels could come anywhere. Comedian Beppe Grillo, who led the Five Star movement to extraordinary success in Italy’s general election a year ago, may not be a great hope for progressive revival. But something he said sticks in the memory. Addressing the political establishment, he screamed, “Give up! You are dead men walking.” The PD may be re-elected with its new, telegenic leader who models himself on Tony Blair, but Italian youth are disaffected. In the U.K., another comedian, Russell Brand, made headlines by saying on TV that youths should not bother to vote because nothing was on offer. The diagnosis was understandable, but the advice was nihilistic and self-defeating.
There is no need to talk of revolutionary times. Tumultuous times will do. What must be offered is a revived sense of the future, a vision of a society that is about more than endless labor and endless consumption amid chronic uncertainty and almost unsustainable debt. It is just a matter of time until the precariat organize and turn their days of rage into a movement. The far right may be growing, but too many Europeans know their history to allow themselves to be duped again. Meanwhile, the left must realize that it has only ever prospered when those entering politics have understood and espoused values corresponding to the insecurities and aspirations of the emerging mass class, struggling in the lower echelons of society. It must offer a sense of future, a politics of paradise, to members of that class. So far, it has failed to do so.
(Bloomberg) — Berlin cabdriver Jens Mueller says he’s had it with the Greek government and he doesn’t want Germany to send any more of his tax money to be squandered in Athens.
“They’ve got a lot of hubris and arrogance, being in the situation they’re in and making all these demands,” said Mueller, 49, waiting for fares near the Brandenburg Gate. “Maybe it’s better for Greece to just leave the euro.”
Mueller’s sentiment is shared by a majority of Germans. A poll published March 13 by public broadcaster ZDF found 52 percent of his countrymen no longer want Greece to remain in Europe’s common currency, up from 41 percent last month. The shift is due to a view held by 80 percent of Germans that Greece’s government “isn’t behaving seriously toward its European partners.”
The hardening of German opinion is significant because the country is the biggest contributor to Greece’s 240 billion-euro ($253 billion) twin bailouts and the chief proponent of budget cuts and reforms in return for aid. Tensions have been escalating between the two governments since Prime Minister Alexis Tsipras took office in January, promising to end an austerity drive that he blames on Chancellor Angela Merkel.
War Reparations
Tsipras has also stepped up calls for war reparations from Germany for the Nazi occupation during World War II and Greek Finance Minister Yanis Varoufakis has been locked in a war of words with his German counterpart Wolfgang Schaeuble. Last week, the Greek government officially complained about Schaeuble’s conduct, to which Schaeuble replied that the whole matter was “absurd.”
It was Varoufakis’s behavior in the spotlight last night when German public broadcaster ARD showed a video of him shot at a 2013 event saying: “Greece should simply announce that it’s defaulting … and stick the finger to Germany.” He then raises his middle finger.
Varoufakis, who was a guest on ARD’s Guenther Jauch program, acknowledged the footage was from the speech but said that the “video was doctored. I never gave the finger.” ARD told German newspaper Bild that it has found no evidence of tampering with the video. A Greek finance ministry spokesman didn’t respond to two phone calls seeking comment.
“The way the Greeks have been behaving has been impossible,” said Dorli Schneider, an interpreter waiting for a train at Munich’s central station. “Greece should pay back what they owe. We can’t forever give them more money.”
Growing Umbrage
The shift in German sentiment comes as Greece, at risk of running out of cash this month, battles with European officials over the release of more bailout funds. Tsipras will join European leaders Thursday for talks in Brussels.
German voters’ growing umbrage may make it harder for Merkel to sell any possible deal down the road to the German public and Bundestag, which would have to vote on it. She also has to be wary of the anti-euro AfD party trying to peel off her voters, said Juergen Falter, a political scientist at the Johannes Gutenberg University in Mainz.
“The pressure is coming from two sides: the public and some opposition parties,” he said. “The government will probably now react more decisively.”
More Aggressive
Some in the community of 315,000 Greeks living in Germany say they sense the hardened view that has developed as the crisis drags on.
“People are now quicker to point the finger, and the tone is becoming more aggressive,” said Kostas Tassopoulos, who came to the German capital in 2008 and has thrived producing electronic music under his stage name Ekkohaus. “It’s a bit silly of the Greeks to say their problems are the Germans’ fault, and it’s just as silly that the Germans are trying to put all the blame on the Greeks.”
While Merkel’s government says Greece doesn’t have a blank check to do as it pleases, Germany’s official aim is to keep the euro area together. Just 40 percent of Germans now say they want Greece to remain in the euro.
“The German government could support the Greeks more,” said Manfred Ukleja, a 55-year-old teacher. “The Greeks are founding fathers of the European Union, and they have more significance than just their economy.”
Nonetheless, many Germans say they’ve lost faith in Greece. According to the ZDF poll, 82 percent of respondents doubt that Greece will honor its agreed budget cuts and reforms, while only 14 percent trust that it will follow through. The poll was conducted March 10-12 and has a margin of error of plus or minus three percentage points.
“It’s so frustrating that they constantly criticize us, that they don’t appreciate our help,” said Erika Schmidt, a 53-year-old kindergarten teacher from Augsburg. “I’ve got nothing against Greece, but the way they behave and talk about Germany makes me angry.”
To contact the reporters on this story: Dalia Fahmy in Berlin at dfahmy1@bloomberg.net; Elisabeth Behrmann in Munich at ebehrmann1@bloomberg.net
To contact the editors responsible for this story: Andrew Blackman at ablackman@bloomberg.net; Chad Thomas at cthomas16@bloomberg.net; Chris Reiter at creiter2@bloomberg.net Chad Thomas, Celeste Perri
This is a bit dated. However, PM David Cameron has declared his party’s new position on the jobless youth is to commit to community service or an apprenticeship if they are to receive any further aid from the government.
“You should be earning or learning”
-David Cameron
On the surface, this is a good idea. Youth who are not enriching their lives could lead to delinquency, sure. However, there is an aspect of examining continued change of the role of the state in its citizens lives. Cameron claimed this program isn’t pursued for the sake of saving money. With that statement in mind, we can see this program as a proletarianization process. This is apparent in the Cameron’s arguments that he thinks 18-21 year olds should not be living on the taxes of the “working people.” Additionally, this seems to de-commodify the community in that caring for the community should no longer be something voluntary; rather it is punishment for not being a capable figure of society–e.g. not “earning or learning.”
David Harvey explores the crisis of capitalism through a Marxist lens. Aside from being situated in today’s economic climate, the animation makes the video incredibly engaging and easy to understand.
When Walmart posted its quarterly earnings on Thursday, one announcement stole the spotlight. It wasn’t about the company’s shares or revenue, but about its wages.
The retail giant announced that within the next six months, it will start paying all of its workers at least $9 an hour. That’s $1.75 more than the federally mandated minimum wage of $7.25 per hour, and on par with the mandated minimum wage in at least 20 states.
Walmart is not alone. Even as the federal and state governments have struggled to pass increase their minimum wages, some of the biggest US companies have been leading by example and setting wage floors – minimum hourly wages applied throughout a company – higher than legally required minimums. Other companies that have set wage floors above the federal minimum include warehouse club Costco Wholesale, clothing retailer The Gap, furniture seller Ikea and health insurance agency Aetna.
Walmart’s pay hike puts the earnings of its lowest-paid workers above that of other companies still paying the bare minimum. But while welcome, the move was also met with some disappointment. Some workers, who have spent the past year lobbying for a living wage of $15 an hour, insist that $9 an hour – while an improvement – isn’t enough.
“With $16bn in profits and $150 bn in wealth for the owners, Walmart can afford to provide the good jobs that Americans need – and that means $15 an hour, full-time, consistent hours and respect for our hard work,” says Emily Wells, a Walmart worker and member of OUR Walmart who earns $9.50 an hour and is only able to get scheduled for about 26 hours per week.
Walmart hadn’t responded to a request for comment by press time.
However, the company also announced it plans to raise its wage floor another dollar to $10 an hour in February 2016. That would still be less than the $10.10 per hour proposed by President Obama, but 38% above the current federal minimum.
Some companies have set even higher wage floors more in line with living wage expectations. Most recently, for example, Aetna set its floor for US workers at $16 an hour, twice the current federal minimum wage.
Higher wages are exactly what the financial doctors have ordered to cure America’s ailing economy. According to the Economic Policy Institute, it would take a wage growth of at least 3.5% to 4% for workers to feel the impact of the recovery. In 2014, the average hourly pay went up by just 1.7%.
“Raising wages among low-wage workers shifts income into the pockets of workers and families that are highly likely to quickly spend every additional dollar they earn,” says David Cooper, economic analyst at the Economic Policy Institute.
“So even though some businesses have to pay their workers more, they see more customers coming through the door because now there’s additional dollars rippling out through local economies in a way that doesn’t really happen if those dollars just go back into the bank accounts of corporate shareholders.”
Unable to count on the Republican-held Congress to raise minimum wage, President Obama might have to look elsewhere to help drive America’s recovery. CEOs of companies like Gap and Aetna might prove to be worthy-allies.
“Since I became CEO, one of my goals has been to help re-establish the credibility of corporate America,” Aetna CEO Mark Bertolini said in a statement. “With these investments, we are leaning into the recovering economy and working to bring everyone along instead of just a few.”
Aetna’s decision to increase its minimum base wage and reduce out-of-pocket health care costs for its employees comes at the time when many low-wage workers are still not reaping the benefits of the recovery. In addition to building a healthier and more productive workforce, the company hopes to increase its employees’ financial security, says Cynthia Michener, a spokesperson for Aetna.
Aetna estimates that about 5,700 workers will see bump in pay when its new floor takes effect in April. On average, that increase should be about 11%. For some, it will be as much as 33%. In 2016, the company will also cover more health care costs for about 7,000 of its employees, saving some as much as $4,000 annually.
Last year, Gap also got attention – not just from the media, but also from the White House – with its Do More campaign, in which the clothing retailer announced that it would raise hourly pay for its US employees to at least $10 an hour by June 2015. Obama visited a New York-based store to “congratulate the Gap for doing the right thing”.
Doing the right thing wasn’t Gap’s main reason for raising its wages, though; improving its customer service was. Better pay will help attract and retain “great talent” and provide better in-store and digital experience, says Paula Conhain, a spokeswoman for Gap.
“Raising the minimum wage is like any strategic investment we may make, such as investing in marketing or technology,” Conhain explains. Since the announcement, Gap has seen a double-digit percentage increase in the number of employment applications it has received. The announcement also led to an increase in employee pride, according to an internal employee opinion survey.
Aetna, a health insurance provider, also acknowledges that customer service is an important component of its business model.
“As healthcare moves to a consumer industry, Aetna is investing in the employees who interact with our customers every day,” Michener says.
Besides happier staff and customers, companies that have raised their wage floors have reaped other benefits such as lower turnover and higher productivity. Businesses could also spend less recruiting, hiring, and training new workers, Cooper says.
It might take some time for those benefits to become apparent. For Ikea, which raised its US wage floor by 17% to $10.76 an hour starting 1 January, it’s still too early to tell if the raise is affecting staff turnover, says Tracey Kelly, corporate communication manager for Ikea US. But she says the staff has been “very pleased” with the increase.
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http://www.theguardian.com/sustainable-business/2015/feb/19/companies-raise-minimum-wages-pay-walmart-ikea-aetna-gap
One of the upsides of having a global elite is that at least they know what’s going on. We, the deluded masses, may have to wait for decades to find out who the paedophiles in high places are; and which banks are criminal, or bust. But the elite are supposed to know in real time – and on that basis to make accurate predictions.
Just how difficult this has become was shown last week when the OECD released its predictions for the world economy until 2060. These are that growth will slow to around two-thirds its current rate; that inequality will increase massively; and that there is a big risk that climate change will make things worse. Despite all this, says the OECD, the world will be four times richer, more productive, more globalised and more highly educated. If you are struggling to rationalise the two halves of that prediction then don’t worry – so are some of the best-qualified economists on earth.