Market Watch reports “more bad news” for United States workers, projecting that “pay rises will be dismal next year”:
Pay raises for U.S. employees are not expected to improve next year, according to a survey released Monday by global professional services company Aon, based on a survey of over 1,000 companies. Base pay is expected to rise 3% in 2018, up slightly from 2.9% in 2017. Spending on variable pay — incentives or bonuses — will be 12.5% of payroll, low levels not seen since 2013. This suggests a “pessimistic view of corporate performance in the coming year,” Ken Abosch, a strategy and development analyst at Aon, said in a statement.
“Companies remain under pressure to increase productivity and minimize costs,” he said. “As a result, we continue to see relatively flat salary-increase budgets across employee groups, with most organizations continuing to tie the majority of their compensation budgets to pay incentives that reward for performance and business results.” Middle-of-the-road performers will lose out: 40% of companies said they’re reducing or eliminating increases for lesser performers.
In totally unrelated news, Pew Research reports that 34 million legal immigrants now live in the United States competing with US workers for jobs and/or living on taxpayer-provided government services:
Lawful immigrants account for three-quarters of the foreign-born population in the U.S. – 33.8 million people out of 44.7 million in 2015, the most recent year for which numbers were available. Among lawful immigrants, those who hold U.S. citizenship (19.8 million in 2015) outnumber lawful permanent residents (11.9 million).
The rest of the foreign-born population consists of 11 million unauthorized immigrants and 2.1 million people in the U.S. on temporary visas. The total foreign-born population, 13.4% of the U.S. population in 2015, is somewhat below the historic high of 14.8% in 1890, when 9.2 million immigrants lived in the U.S.
It isn’t difficult to understand. We are talking about basic supply and demand. Importing millions of Third World people increases the supply of labor, especially for jobs generally taken by working and middle class people. This lowers the demand for labor, allowing employers to pay workers a lower wage. Decades of flooding the USA with tens of millions of Third World immigrants, legal and illegal, has resulted in stagnant wages. Low wages is a policy decision made by our political leaders.