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swag

(26,487 posts)
Wed May 1, 2013, 01:42 PM May 2013

DEAR WORKERS OF THE WORLD: These Three Charts Show How You're Getting Totally Shafted

http://www.businessinsider.com/profit-margins-high-wages-low-2013

...

1) Corporate profit margins just hit another all-time high. Companies are making more per dollar of sales than they ever have before. If you're a shareholder, that seems like good news (in the very short term, anyway). Alas, most people aren't shareholders. And for folks whose investment horizon is longer than "this quarter" and "this year," it's actually bad news. Companies are under-investing in their employees and the future.



2) Wages as a percent of the economy just hit another all-time low. One reason companies are making so much money is that they're paying employees less than they ever have as a share of GDP. That's bad news for everyone, by the way, not just employees. Low employee wages are one reason the economy is so weak: Those "wages" represent spending power for consumers. And consumer spending is "revenue" for other companies. So the short-term corporate profit obsession is actually starving the rest of the economy of revenue growth.



3) Fewer Americans are working than at any time in the past three decades. The other reason corporations are so profitable is that they don't employ as many Americans as they used to. As a result, the employment-to-population ratio has collapsed. We're back at 1980s levels now.

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DEAR WORKERS OF THE WORLD: These Three Charts Show How You're Getting Totally Shafted (Original Post) swag May 2013 OP
They are not screwing us either liberal N proud May 2013 #1
did you mean Doctor_J May 2013 #2
Forgot the sarcasm smiley liberal N proud May 2013 #6
This message was self-deleted by its author liberal N proud May 2013 #5
And you're a commie if you suggest raising the minimum wage Addison May 2013 #3
yep it's not income inequality, it's return on investment inequality yurbud May 2013 #4

Response to liberal N proud (Reply #1)

yurbud

(39,405 posts)
4. yep it's not income inequality, it's return on investment inequality
Thu May 2, 2013, 06:49 PM
May 2013

Why should someone who invests their time and effort into a business not see their returns go up along with the financial investors?

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