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Omar Yaqub

It's a paradox: high unemployment with serious labour shortages - The Globe and Mail - 0 views

  • Almost every government, from Beijing to Ottawa, is nowadays forced to use immigration to fill job shortages, at the same time as it devotes expensive social programs to helping the jobless. This, to put it mildly, has been creating tensions.
  • 34 per cent of corporations now regard “shortage of skilled labour” as their main business constraint
  • another 13 per cent regard their biggest problem as “shortage of un/semi-skilled labour.”
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  • lmost one in seven companies can’t find enough uneducated, non-experienced people.
  • Canadian businesses, both large and small, are lobbying Ottawa hard to increase its immigration numbers above the current rate of more than 280,000 per year.
  • federal government, with one ear on these urgent business needs and another on a Conservative rank-and-file who aren’t keen on immigration, is striking a compromise by keeping the numbers more or less steady.
  • German government recently concluded that its shortfall of immigrant workers is costing the economy 20 billion euros a year, leading to a strong push from business to push immigration above its current level of 600,000 per year, even though there are officially 3 million jobless Germans (or 6.6 per cent).
  • Raising pay in sectors with shortages would encourage people to get the needed education to work there, it would encourage older workers to stay on longer and it would encourage foreign workers with the right skills to move” to your country,
  • high-unemployment regions are physically far from the labour-shortage regions, and poorer people tend to be rooted in the places they grew up. Welfare changes provide a one-time fix; after that, the shortages often return.
  • United States, despite its paltry welfare programs, will still be short 35 million workers by 2030; Europe, despite its generous decent minimum wages, will need 80 million. The most direct and politically feasible solution, the one most governments will continue to use to square the circle and fill the hole, will remain immigration.
Omar Yaqub

Degrees and Dollars - NYTimes.com - 0 views

  • It is a truth universally acknowledged that education is the key to economic success. Everyone knows that the jobs of the future will require ever higher levels of skill. That’s why, in an appearance Friday with former Florida Gov. Jeb Bush, President Obama declared that “If we want more good news on the jobs front then we’ve got to make more investments in education.”
  • But what everyone knows is wrong.
  • technological progress is actually reducing the demand for highly educated workers.
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  • since 1990 or so the U.S. job market has been characterized not by a general rise in the demand for skill, but by “hollowing out”: both high-wage and low-wage employment have grown rapidly, but medium-wage jobs — the kinds of jobs we count on to support a strong middle class — have lagged behind. And the hole in the middle has been getting wider: many of the high-wage occupations that grew rapidly in the 1990s have seen much slower growth recently, even as growth in low-wage employment has accelerated.
  • jobs that can’t be carried out by following explicit rules — a category that includes many kinds of manual labor, from truck drivers to janitors — will tend to grow even in the face of technological progress.
  • production workers in manufacturing down to about 6 percent of U.S. employment, there aren’t many assembly-line jobs left to lose. Meanwhile, quite a lot of white-collar work currently carried out by well-educated, relatively well-paid workers may soon be computerized.
  • robot janitors are a long way off; computerized legal research and computer-aided medical diagnosis are already here.
  • we need to fix American education. In particular, the inequalities Americans face at the starting line — bright children from poor families are less likely to finish college than much less able children of the affluent — aren’t just an outrage; they represent a huge waste of the nation’s human potential.
  • things education can’t do. In particular, the notion that putting more kids through college can restore the middle-class society we used to have is wishful thinking. It’s no longer true that having a college degree guarantees that you’ll get a good job, and it’s becoming less true with each passing decade.
  • education isn’t the answer — we’ll have to go about building that society directly. We need to restore the bargaining power that labor has lost over the last 30 years, so that ordinary workers as well as superstars have the power to bargain for good wages. We need to guarantee the essentials, above all health care, to every citizen.
  • What we can’t do is get where we need to go just by giving workers college degrees, which may be no more than tickets to jobs that don’t exist or don’t pay middle-class wages.
Omar Yaqub

Pay Teachers More - NYTimes.com - 0 views

  • Until a few decades ago, employment discrimination perversely strengthened our teaching force. Brilliant women became elementary school teachers, because better jobs weren’t open to them. It was profoundly unfair, but the discrimination did benefit America’s children. These days, brilliant women become surgeons and investment bankers — and 47 percent of America’s kindergarten through 12th-grade teachers come from the bottom one-third of their college classes (as measured by SAT scores). The figure is from a study by McKinsey & Company, “Closing the Talent Gap.”
  • Recent scholarship suggests that good teachers, even kindergarten teachers, increase their students’ earnings many years later. Eric A. Hanushek of Stanford University found that an excellent teacher (one a standard deviation better than average, or better than 84 percent of teachers) raises each student’s lifetime earnings by $20,000. If there are 20 students in the class, that is an extra $400,000 generated, compared with a teacher who is merely average.
  • Consider three other countries renowned for their educational performance: Singapore, South Korea and Finland. In each country, teachers are drawn from the top third of their cohort, are hugely respected and are paid well (although that’s less true in Finland). In South Korea and Singapore, teachers on average earn more than lawyers and engineers, the McKinsey study found.
Omar Yaqub

Raising the dropout age won't work - - Macleans OnCampus - 0 views

  • Despite a country-wide boost in high school graduation rates over the past 20 years, the dropout rate in Alberta remains the third highest in the country at 10.4 per cent, ahead of Manitoba at 11.4 per cent and Quebec at 11.7 per cent.
  • Like Ontario and most provinces across the country, Alberta has also expanded their work experience programs to try and keep high school students interested in working in manufacturing or trades from dropping out. Recognizing that education isn’t one-size-fits all is definitely a step in the right direction towards getting students to value their education. However, thinking that requiring students by law will simply make everything fall into place when it comes to raising the high school graduation rate is simply foolish.
  • As spokeswoman for Alberta Education, Carolyn Stuparyk, told the Globe and Mail, a large part of the challenge in keeping Alberta students in school is combating the notion that taking a high paying physical labour job in a still relatively strong economy is more exciting than sitting in a classroom.
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  • With that in mind, even if raising the dropout age to 17 does lower the dropout rate in the 16 to 17 age group, its not much of an accomplishment if you’ve raised those statistics by simply forcing students to stay an extra year. I doubt that students will be convinced that taking that $25 an hour job on the oil sands instead of gaining a high school education may not be the best decision another year down the line because someone legislated they should
Omar Yaqub

The Future of Manufacturing is Local - NYTimes.com - 0 views

  • Both SFMade and its New York cousin, Made in N.Y.C., are increasingly able to share success stories of how manufacturing has developed new models for doing business in the 21st century. The monolithic single-industry model has evolved as manufacturers see the benefits of being smaller and paying attention to how patterns of consumption, ownership and use are shifting.
  • “For decades we have developed a culture of disposability — from consumer goods to medical instruments and machine tools. To fuel economic growth, marketers replaced longevity with planned obsolescence — and our mastery of technology has given birth to ever-accelerating unplanned obsolescence. I think there is increasing awareness that this is no longer sustainable on the scale we have developed.”
  • “It’s not some cute cottage industry,” she says, referring to the prevailing tendency to view “local” as something generally limited to cupcakes, jam or “My Mom Went to _____ And All I Got Was This T-Shirt.” The “number one thing we do,” Sofis continues, “is facilitate new connections.”
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  • The decision to be a non-profit was borne out of the belief that trade organizations (like the Chamber of Commerce) often serve more of a business development function rather than address the needs of the local manufacturing community.
  • In contrast to government-initiated programs, SFMade emerged from the community, the culmination of a grassroots movement. The group allows that community to reconnect, share resources, receive education and assistance on everything from zoning to sourcing to taxes. In the last year, 128 companies have joined in the belief that they’re better togethe
  • Sustainability has become a large part of its mission: member companies can post the environmental impacts of their manufacturing processes on the Made in N.Y.C. Web site, with those excelling in greener process and product able to earn a “green apple.” Tying economic growth inextricably to environmental stewardship has so far been a strong strategy.
  • “Let’s help the public understand what we have,” she continues. “The job potential is huge.”
Omar Yaqub

Restructure Teacher Compensation - Room for Debate - NYTimes.com - 0 views

  • Here’s the game plan: raise starting pay, accelerate salary bumps to keep up with a young teacher’s rapid improvement in effectiveness, offer ways for teachers to take on additional responsibilities and thus make more money (like mentoring younger peers or taking on more students), and offer portable retirement benefits that allow people to build retirement wealth without signing on for a lifetime of teaching. Finance this all by allowing class sizes to rise modestly, maximizing smart uses of technology, and trimming the number of aides and specialists our schools employ.
Omar Yaqub

After wild ride, employers have plenty at stake in this campaign - 0 views

  • job-creation plans
  • job retraining programs.
  • To me that's not good public policy because it's essentially paying for jobs
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  • he says, adding the federal government should instead be looking for ways to increase productivity, such as by helping companies invest in labour-saving equipmen
  • Instead of needing help to create jobs, Alberta firms are unique in that they need help finding labour, says Dale Allen, president of the Acheson Business Association and head of SciTech Engineered Chemicals.
  • "And that means it's now becoming difficult to get labour," says Allen, whose company of six employees produces environmentally friendly products such as organic salts for cleaning gas plants. "Everybody is competing for the same people."
  • To help the situation, Allen says the federal government should try to recruit skilled workers from countries like the United States and Great Britain, which are still going through economic difficulty. Bringing in unskilled, temporary foreign workers is a more time-consuming and costly practice for companies, he says.
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