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Old 06-12-2014, 10:29 AM  
Direckshun Direckshun is online now
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Jobs are opening up like crazy, but companies aren't really hiring.

This is a super interesting trend that I'd like your guys thoughts on.

Right now, we've reached a seemingly positive development, where there are now just 2.2 unemployed folks for every job opening. This is a really good spike over the past couple years -- yet companies are extremely hesitant to hire.

The question is, why?

My theory is two-fold, and perhaps you guys can offer your own theories.

1. Companies have jacked up the expected productivity of their workers to such a ridiculous extent that even though job openings are technically presenting themselves, companies aren't feeling the need to fill them. The ridiculous rise in productivity without a subsequent rise in wages has allowed companies to get more out of each employee for less.

2. Companies have trillions of dollars sitting in their coffers that they simply haven't invested since the recession hit. Companies cut tons of workers, went into extreme austerity, and now that the economy has come out of the recession and their sheets show them deep in the black, they simply haven't invested it like they normally would have prior to the recession. And this can be borne out in the (non-)hiring trends.

Thoughts?

http://fivethirtyeight.com/datalab/f...g-a-job-hasnt/

Finding a Job Opening Has Gotten Easier, But Getting a Job Hasn’t
By Ben Casselman
1:27 PMJun 10



Companies posted more job openings in April. Now if only they’d fill them.

There were 4.5 million jobs available in the U.S. at the end of April, the most since August 2007, the Bureau of Labor Statistics (BLS) reported Tuesday. Job postings are up 16.5 percent over the past year and have more than doubled since their 2009 low.

Actual hiring, however, is a different story. Hires were essentially flat in April and are up less than 6 percent over the past year. This has been a persistent pattern in the recovery, as the above chart shows.

One reason for the faster rebound in openings is that they fell further during the recession; companies pulled back on posting jobs even more than they did on hiring. But that isn’t the whole story. The ratio of hires to openings, which spiked during the recession, has fallen steadily through the recovery and is now below normal levels. That suggests companies aren’t filling available jobs at their usual pace.



(An important note on this chart: The BLS reports hires and openings differently. Openings are counted at a moment in time — the number of jobs available at the end of the month — while hires are a total for the whole month. So a one-to-one hires-to-openings ratio doesn’t mean every job was filled, because some jobs get posted and filled within a month, and therefore never show up in the data. So pay attention to the trend, not the absolute numbers.)

It isn’t clear what’s behind that reluctance to hire. Many employers, particularly in industries such as construction, blame a shortage of workers with the necessary skills. Some economists, meanwhile, argue that companies are struggling to fill jobs because there are fewer available workers than the 6.3 percent unemployment rate might suggest. But there’s reason for skepticism about both claims: Wage growth remains anemic (though that may, at last, be changing), which suggests employers aren’t being forced to pay more to attract workers.

The most likely explanation remains the simplest: the weak recovery. Companies are seeing more demand for their products, so they’re posting job openings, but that demand isn’t yet strong enough for them to fill those positions quickly. They’re content to wait for the perfect candidate to show up. (In economics jargon, companies’ “recruiting intensity” remains low, as it has been throughout the recovery.)

The good news for the unemployed is that more openings means more chances to land a job. There were 2.2 jobseekers for every available position in April, the best ratio since before the recession began. But those openings don’t mean much if companies won’t fill them.

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Old 06-12-2014, 01:34 PM   #31
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Quote:
Originally Posted by King_Chief_Fan View Post
and what will the union do?

Let's ask the auto industry, airline industry, coal industry, Hostess Twinkie, and certain there are many others.
Why do you continue to post these falsehoods?

The auto industry was doomed by legacy healthcare and pension costs which were worsened by chronic under-funding by management and by piss poor management.

Hostess was not done in by the unions either.

The airlines is a combination of business models (highly levered and unable to lower costs/debt quickly during periods of soft demand) and legacy pension costs.
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Old 06-12-2014, 01:43 PM   #32
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Unions aren't to blame for a company's problems. It's all the benefit programs pushed by unions that doom them. / KCnative
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Old 06-12-2014, 01:52 PM   #33
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Originally Posted by Prison Bitch View Post
Unions aren't to blame for a company's problems. It's all the benefit programs pushed by unions that doom them. / KCnative
Once again your lack of knowledge rears its head.

Defined benefit pensions are dumb. Companies don't use them anymore and have curtailed them for decades. The legacy costs from when they were commonplace and their chronic under-funding are the issues (we could get into the details on the accounting for pensions but I know that's way above your head so I'm not going to waste my time).

The only place you see defined benefit pensions anymore is in the public space (police officers, firefighters, other government employees).
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Old 06-12-2014, 02:17 PM   #34
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Quote:
Originally Posted by KC native View Post
Why do you continue to post these falsehoods?

The auto industry was doomed by legacy healthcare and pension costs which were worsened by chronic under-funding by management and by piss poor management.

Hostess was not done in by the unions either.

The airlines is a combination of business models (highly levered and unable to lower costs/debt quickly during periods of soft demand) and legacy pension costs.
ok...let's ask the question What will the unions do?
Promise job security?
Promise more money?
Promise better benefits?
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Old 06-12-2014, 02:31 PM   #35
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Unions don't promise shit. They negotiate for shit.
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Old 06-12-2014, 02:34 PM   #36
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Quote:
Originally Posted by Direckshun View Post
Unions don't promise shit. They negotiate for shit.
And still have nothing to do with hiring, per say
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Old 06-12-2014, 02:37 PM   #37
King_Chief_Fan King_Chief_Fan is offline
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Quote:
Originally Posted by Direckshun View Post
Unions don't promise shit. They negotiate for shit.
ever been through a union drive? ever see them at work handing out union cards? yes, they make promises, they just aren't obligated to keep them.
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Old 06-12-2014, 05:01 PM   #38
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Quote:
Originally Posted by King_Chief_Fan View Post
and what will the union do?

Let's ask the auto industry, airline industry, coal industry, Hostess Twinkie, and certain there are many others.
Or the electrical, labor, teamsters, carpenters, plumbers, UPS, wielders, actors... ect ect ect.

Plus, anyone who blames unions for company failures is a moron.
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Old 06-12-2014, 05:02 PM   #39
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Originally Posted by Prison Bitch View Post
Unions aren't to blame for a company's problems. It's all the benefit programs pushed by unions that doom them. / KCnative
Don't hold companies for blame for contracts they freely agreed too. Unions manage companies, not the actually companies

/morons.
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Old 06-12-2014, 05:04 PM   #40
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Originally Posted by King_Chief_Fan View Post
ok...let's ask the question What will the unions do?
Promise job security?
Promise more money?
Promise better benefits?
collective bargaining equaling out the two different sides of negotiation, so it isn't a lone worker versus the company. This leads to better pay, benefits, and worker protection.

I don't understand why people don't want a say in their workplace. Why do you hate representation?
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Old 06-12-2014, 05:06 PM   #41
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Originally Posted by King_Chief_Fan View Post
ever been through a union drive? ever see them at work handing out union cards? yes, they make promises, they just aren't obligated to keep them.
This is just the start and doesn't cover benefits, retirement, and worker protection.

Quote:
According to a January 2011 Bureau of Labor Statistics report, workers who belong to a union typically earn higher pay than non-union workers doing the same kind of job. Although it varies based on sector and occupation, the overall averages are striking.

$917 = Median weekly earnings in 2010 of union members.

$717 = Median weekly earnings in 2010 of non-union workers.

That's a yearly difference in salary of $10,400 for union members vs. non-union members.
http://www.seiu.org/a/ourunion/resea...nd-figures.php
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Old 06-12-2014, 05:16 PM   #42
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Hiring people is what I do for a living. Lack of qualified candidates is #1 for sure. Companies aren't going to train people these days. You need to have this, that and the other just to get a phone screen.

Pay is another issue but not usually at the level I deal with. For some reason people come out of college expecting $60k. I'm not sure who's telling them this but those expectations need to be adjusted earlier in the process. I'm guessing that it's the schools that are selling them on the idea of getting a degree. Only 10% of the position I work on (Fortune 100 company) require a degree and it's usually because the hiring manager spent a fortune on an MBA and only wants people like them.
I am sure it is different depending on what you are hiring for but you hit the nail on the head with the expectations and the influence from the colleges. It has been my experience that the counselors are clueless and just want to keep them in school while blowing smoke up their ass. To further complicate things most graduates don't even have a focus on exactly what they want to do. You are not a serial entrepreneur or a proven high tech soldier of fortune, get over it. Finding someone I actually want to hire is like looking for a needle in a haystack. I am not going to hire you just because I have a seat to fill. My 2 cents.
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Old 06-12-2014, 06:00 PM   #43
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Originally Posted by Loneiguana View Post
Don't hold companies for blame for contracts they freely agreed too. Unions manage companies, not the actually companies

/morons.
I made no such argument. I'm perfectly fine with private sector unions. The point was that Native said unions aren't to blame, while concurrently citing their benefit agreements as the cause.
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Old 06-12-2014, 07:00 PM   #44
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I made no such argument. I'm perfectly fine with private sector unions. The point was that Native said unions aren't to blame, while concurrently citing their benefit agreements as the cause.
Unions weren't the ones making the assumptions or inadequate contributions to the plans.

Color me not surprised that you don't understand that.
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Old 06-12-2014, 07:35 PM   #45
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