Media clips

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• New data shows how white top companies are

  Black workers are especially underrepresented in industries and occupations with the fastest growth in pay. Valerie Rawlston Wilson…[Paywall]

  USA Today July 16, 2021
• President Biden’s Recent Executive Order Takes Aim At Non-Competes

  According to a 2019 report from the Economic Policy Institute (EPI), 31.8% of private-sector businesses that responded to EPI’s survey (a total of 634 respondents were surveyed) reported that all of their employees had to sign a non-compete agreement, regardless of their job duties or compensation. And of the respondents that had an average wage of less than $13.00, 29% of them required all their workers to enter into non-compete agreements.

  Forbes July 16, 2021
• Wage Suppression as the Prime Driver of Deepening Inequality

  For more than three decades, our friends at the Economic Policy Institute have been waging a lonely struggle against the conventional wisdom about the causes of widening inequality. They did not have powerful allies on their side. All they had was reality.

  Now, EPI’s research has been vindicated, and is increasingly accepted by mainstream economists. Wage inequality is the result of deliberate suppression of wages, which in turn is the result of a deepening power inequality.

  Even better than having reality on their side, EPI economists now have a Democratic administration on their side. Several senior Biden people, including Jared Bernstein and Heather Boushey on the Council of Economic Advisers, are former EPI staffers, and EPI’s insights are at last influencing national policy.

  EPI pulled together all of this research in a document called “Unequal Power.”

  I recently had a Zoom conversation with former EPI president Larry Mishel, the leader of this research project, along with professors Anna Stansbury of MIT and Suresh Naidu of Columbia University, to discuss the findings. You can watch the interview below:

  The American Prospect July 16, 2021
• July 16th, 2021
  July 16, 2021
• What Biden’s executive order on noncompete agreements means for tech workers

  This executive order comes as noncompetes are on the rise across the country, with anywhere between 27% and 46% of all private-sector workers subject to the agreements, according to a 2019 survey by the Economic Policy Institute. Though broadly intended to discourage employees from taking trade secrets along with them when they switch jobs, noncompete clauses are increasingly worked into jobs across the economic scale.

  LA Times July 16, 2021
• New data shows how white top companies are

  Black workers are especially underrepresented in industries and occupations with the fastest growth in pay. Valerie Rawlston Wilson…[Paywall]

  USA Today July 16, 2021
• President Biden’s Recent Executive Order Takes Aim At Non-Competes

  According to a 2019 report from the Economic Policy Institute (EPI), 31.8% of private-sector businesses that responded to EPI’s survey (a total of 634 respondents were surveyed) reported that all of their employees had to sign a non-compete agreement, regardless of their job duties or compensation. And of the respondents that had an average wage of less than $13.00, 29% of them required all their workers to enter into non-compete agreements.

  Forbes July 16, 2021
• Wage Suppression as the Prime Driver of Deepening Inequality

  For more than three decades, our friends at the Economic Policy Institute have been waging a lonely struggle against the conventional wisdom about the causes of widening inequality. They did not have powerful allies on their side. All they had was reality.

  Now, EPI’s research has been vindicated, and is increasingly accepted by mainstream economists. Wage inequality is the result of deliberate suppression of wages, which in turn is the result of a deepening power inequality.

  Even better than having reality on their side, EPI economists now have a Democratic administration on their side. Several senior Biden people, including Jared Bernstein and Heather Boushey on the Council of Economic Advisers, are former EPI staffers, and EPI’s insights are at last influencing national policy.

  EPI pulled together all of this research in a document called “Unequal Power.”

  I recently had a Zoom conversation with former EPI president Larry Mishel, the leader of this research project, along with professors Anna Stansbury of MIT and Suresh Naidu of Columbia University, to discuss the findings. You can watch the interview below:

  The American Prospect July 16, 2021
• Biden Moves To Restrict Noncompete Agreements, Saying They’re Bad For Workers

  The White House estimates that noncompete agreements are used by roughly half of private-sector businesses for at least some of their employees, affecting anywhere between 36 million and 60 million workers. The numbers come from a 2019 report from the left-leaning Economic Policy Institute, which surveyed 634 employers.

  KUOW July 16, 2021
• The human cost of Doritos: Claims of 84-hour work weeks and stagnant wages at Frito-Lay factory where workers are on strike

  Union membership has neared all-time lows across the US, while income inequality has widened, according to the Economic Policy Institute, a progressive think tank.

  A report from the organisation earlier this year found that the annual median income for a full-time worker is $3,250 less than similar work in 1979 amid declining union enrollment.

  The Independent July 16, 2021
• Sanders Confirms Inclusion of Provisions of PRO Act in Reconciliation Bill

  As union membership approaches all-time lows in recorded history, income inequality is now worse than it’s been since the Great Depression, according to the Economic Policy Institute (EPI). Indeed, workers are feeling the effects — an EPI report earlier this year found that the median full time worker is making $3,250 less per year than in 1979 because of declining unionization.

  Truthout July 16, 2021
• There’s A Wage Shortage, Not A Worker Shortage

  And they’re refusing to work in shit conditions. The Economic Policy Institute points out that many of the people screeching about worker shortages are restaurant owners. Lots of the businesses struggling to attract workers in Ohio and South Carolina come from the restaurant and hospitality sectors. These business owners are trying to find workers at the same wages they paid pre-pandemic.

  …

  Workers exist for these jobs. UE reports that when Klavon’s Ice Cream, in Pittsburgh, Pennsylvania, raised their wages to $15 an hour, they were “flooded with applicants.” As the Economic Policy Institute says, in a labor market as complex as America’s, there will always be pockets of worker shortages. But right now, “Employers post their too-low wages, can’t find workers to fill jobs at that pay level, and claim they’re facing a labor shortage… whenever anyone says, ‘I can’t find the workers I need,’ she should really add, ‘at the wages I want to pay.’”

  Scary Mommy July 12, 2021
• Over 200,000 workers are seeing a pay bump today as 2 states and DC up their minimum wages

  Over 200,000 workers will see their paychecks grow, according to an estimate by Ben Zipperer of the left-leaning Economic Policy Institute. Of the workers who will benefit, most are women, according to Zipperer; Black and Hispanic workers will see the largest hikes.

  …

  Workers who earn above the minimum wage will likely also benefit from hikes, according to Zipperer. They’ll feel “ripple” effects as their employers adjust pay internally, and could see their own wages increase.

  Insider July 12, 2021
• A solution to the service worker shortage? Eliminate tipping, some experts say.

  As the U.S. economy (and our favorite eateries) reopen, many restaurants are facing a service worker shortage. Saying goodbye to the tipping model could be just the solution, said David Cooper of the Economic Policy Institute.

  “I think [the pandemic] has rightly forced us into this sort of rethinking about job quality and what workers should expect. And that’s created the scenario we’re in now, where employers are struggling to fill these jobs because, generally, they’re just low-quality jobs,” he said.

  Cooper added that the stressors of pandemic-era serving, including having to police mask-wearing or social distancing, as well as the risks of working an in-person job, added more to the plates of low-paid service workers.

  …

  But if the service industry wants to recruit and retain employees, Spriggs and Cooper believe it has to re-evaluate the gratuity model that allows customers to determine the total pay of their employees.

  Marketplace July 12, 2021
• Why The Labor Shortage Might Not Be As Bad As You Think

  Low-wage workers in general were struck most severely by the current recession, as less than 75% of low-wage workers were still working in 2020 as opposed to 95 percent of high-wage earners (or those in the top 25 percent of wage distribution), according to data from the Economic Policy Institute, a nonpartisan policy think tank.

  Yahoo Finance July 12, 2021
• Labor shortage? Wage data sends mixed signals.

  But, “there really isn’t any evidence of widespread labor shortage,” said Valerie Wilson at the Economic Policy Institute.

  If there were, Wilson said, employers would be jacking up wages across the board to entice unemployed workers. Instead, there are some pockets of wage acceleration, “in leisure and hospitality. A big boost in those wages is the fact that they’re getting more tips now because more people are coming to those restaurants in person.”

  Marketplace July 12, 2021
• US economy adds 850,000 jobs in June as wages keep climbing

  “Returning workers are earning more (as they should) – nominal hourly earnings of production non-supervisory workers are up 3.67% over this time last year,” tweeted Valerie Wilson, an economist at the progressive-leaning Economic Policy Institute.

  Al Jazeera July 12, 2021
• Economy adds robust 850K jobs in June, exceeding expectations

  “Many people who lost jobs at the start of the pandemic have been unemployed ever since. As jobs come back they will get work but there is still a big jobs deficit—labor demand is still the problem,” tweeted Heidi Shierholz, policy director at the Economic Policy Institute, a left-leaning think tank.

  The Hill July 12, 2021
• Wall Street at record high after jobs report – business live

  Payroll growth over the last three months in the US has been ‘huge’, says Heidi Shierholz, director of policy at the Economic Policy Institute (and former chief economist at the Department of Labor)

  …

  Total nonfarm payroll employment rose by 850,000 in June, following increases of 583,000 in May and 269,000, today’s report shows – or around 1.7 million new jobs.

  Shierholz also points out that the recovery is much faster than after the financial crisis — but doesn’t see worrying signs in the wage data:

  The Guardian July 12, 2021
• Opinion

  We are in the midst of a teacher shortage crisis. The Economic Policy Institute’s final report in their series, “Perfect Storm in the Teacher Labor Market,” noted only 30 percent of teachers report feeling they have the power to select instructional materials, topics, or skills to be taught in their classrooms. The authors suggest public policy “ensure[s] that teachers have a say in the curriculum they teach, the classroom practices they follow, and the materials they use.” Federal protection of academic freedom does that; state bans do the opposite.

  Newsweek July 12, 2021
• What Happens Economically When Wealth Tilts to the Top?

  Facts like this: Between 1979 and 2019, the Economic Policy Institute reported this past December, the bottom 90 percent of American paychecks barely annually increased at all. In effect, EPI observes, wages for the bottom 90 percent have been “continuously redistributed upwards” — “frequently” to the top 1 and 0.1 percent.

  Inequality.org July 12, 2021
• Families Struggle With Child Care Costs As Life Returns To “Normal”

  Even before the pandemic, child care was known for it exorbitant costs, which vary by state. The average annual cost of child care for a 4-year-old in New York costs $12,358, according to the Economic Policy Institute, a nonprofit, nonpartisan think tank. In Kentucky, it costs $6,411 but is still categorized as “out of reach” for low-wage workers. Overhead costs, liability insurance, licensing fees and labor costs contribute to the overall price tag.

  Forbes July 12, 2021
• Top 10 Cities for Working Parents – 2021 Edition

  Additionally, the state of Arkansas has the third-lowest average annual childcare costs – less than $6,200, according to data from the Economic Policy Institute.

  …

  Average annual childcare costs range from roughly $5,100 to more than $21,600. Using data from the Economic Policy Institute, we calculated average annual childcare costs, averaging the expected annual cost of infant care and the cost for care for a four-year old in each state.

  Yahoo Finance July 12, 2021
• 200+ Groups to Democrats: $6 Trillion ‘Should Be the Floor’ for Climate and Infrastructure Bill

  Led by the Progressive Caucus Action Fund, the Economic Policy Institute, the Institute for Policy Studies, and the Poor People’s Campaign, the joint statement characterizes the $6 trillion framework proposed by Sen. Bernie Sanders (I-Vt.) as the “minimum scale necessary to tackle our nation’s most urgent challenges.”

  Common Dreams July 12, 2021
• Let the Market Fix Labor Shortages

  Yet quickening wage growth isn’t the only hallmark of a shortage. The telltale sign is seeing this trend alongside stalling job growth, as Heidi Shierholz, senior economist and policy director at the Economic Policy Institute puts it. Just look at what’s been happening in the leisure and hospitality sector, among the most bruised by the Covid-19 shutdown. After jobs all but vanished in the throes of the pandemic, we’re starting to see a rebound: In May, the sector created 292,000 jobs, far outpacing other corners of the economy and contributing heavily to the overall increase in nonfarm payrolls of 559,000. June data, to be released Friday, are expected to show still stronger gains. Meanwhile, average weekly earnings have been rising faster than many other industries. In other words, the market is working to resolve a shortage: When employers lift wages, they’re able to attract the employees they need, as Shierholz said in a recent podcast. (She also notes that leisure and hospitality wages are only just meeting pre-Covid levels; they are not too high.)

  …

  Compare that with what happens in the U.S., where the conversation is largely driven by businesses trying to influence policy makers behind closed doors, write Daniel Costa of the Economic Policy Institute and Philip Martin, an economics professor at the University of California, Davis. “While the data are sometimes clear, in many cases, shortage determinations are an inexact and subjective science,” Costa wrote in an email. Without a credible source of information and set of objective criteria, we’re ceding the debate to the loudest lobbyists with the fattest wallets.

  Newsday July 12, 2021
• High Unemployment, Openings, Ignite Seasonal Worker Visa Debate

  “Those workers are not free agents that can go work wherever the economy needs them most. They don’t just switch jobs and move on to higher wages if they find a better job,” said Daniel Costa, director of immigration law and policy research at the Economic Policy Institute. Reform is needed for nonimmigrant visas that restrict worker rights, he added—not just H-2B visas, but H-2A visas and L-1 visas, which are for transfers of executives or managers within a company.

  …

  “Historically, employers have pushed for relaxing visas and relaxing immigration policies in order to maintain a low-wage workforce,” he said.

  Bloomberg Law July 12, 2021
• Study: Working From Home A Mixed Bag For Black Workers

  The Economic Policy Institute found that Black workers were less likely to work at home than their white and Asian counterparts. It’s estimated that only about 20% of Black workers can work from home. Black workers are also less likely to work from home regardless of education level.

  NewsOne July 12, 2021
• US restaurant sales are back to pre-pandemic levels, so why isn’t restaurant employment?

  But workers’ leverage may be shortlived, says Heidi Shierholz, an economist at Economic Policy Institute.

  Quartz July 12, 2021
• The World Tonight with Kelly Wright & Nayyera Haq

  There are thirty states that have a higher minimum wage than the federal minimum wage. Economist Ben Zipperer with the Economic Policy Institute tells me the federal minimum wage hasn’t been raised since 2009.

  Features interview with Ben Zipperer.

  Black News Channel July 12, 2021
• AFL-CIO’s Former Top Atty Joins DOL To Boost Union Efforts

  The former general counsel of the AFL-CIO has joined the U.S. Department of Labor as a senior adviser in its labor-management standards office, where she will also help the agency implement…[paywall].

  Law360 July 12, 2021