First  Prev  1  2  3  4  5  Next  Last
Post Reply Shortage Of Illegal Labor Caused Construction Worker Wages To Rise Up To 30%
23712 cr points
Send Message: Send PM GB Post
The White House
Offline
Posted 9/4/17 , edited 9/5/17
I am shocked! Who would have ever thought that getting rid of illegal labor, that is willing to work for below market wages, would cause wages to rise?! Well because of illegal labor becoming harder to find wages are rising in the construction industry because they are having to hire more Americans and pay more overtime hours.

I wonder if we could apply the same concept to fast food workers and increase their wages to $12 or $13 an hour? I've been seeing that fast food places where I live are paying $10 an hour for employees and $12 for closers.

Do you think we should crack down on illegal labor more so wages for Americans can start rising?



https://www.nationaleconomicseditorial.com/2017/08/06/shortage-illegal-labor-wage-increases/



Trump’s Crackdown on Illegal Aliens is Driving Wage-Growth in US Construction Industry by up to 30%

There is a strong correlation between immigration—particularly illegal immigration—and wages. This should be obvious to anyone familiar with the fundamental principle of supply and demand: more supply (workers) means lower prices (wages), and vice versa.

Despite the fact that this correlation between immigration and wages is well-documented, it is not obvious to many liberal economists, who see immigration as an unfettered economic benefit. The evidence suggests otherwise, including new data reported by Fox.

According to the National Association of Home Builders, more than 56% of America’s developers are reporting labor shortages, which is forcing them to increases wages and improve working conditions to attract new talent.

In fact, according to Ted Wilson of Residential Strategies Inc. construction costs have risen by 30% this year—the majority of which is due to higher wages and increased overtime pay. That is, companies are being forced to hire American workers, and pay wages at fair market value.

Why?

Because President Trump’s crackdown on illegal immigration is preventing them from hiring illegal aliens, who undercut the labor market, shortchanging American workers. The impact of this (while often ignored) is significant.

According to Stan Market, CEO of Texas’ Marek, “half of the workers in construction in Texas are undocumented.”

He goes on to say that many of them are leaving Texas, either to find refuge in sanctuary cities and states, and “many of them are going back to Mexico.”

This is good news for American workers, who have been hammered in recent decades. In fact, real wages have not risen for the median American worker since 1973, in part because of the deflationary effects of illegal immigration.

And just to be clear, this is not an isolated event—wages will rise in tandem with deportations and other labor restrictions (such as if, and when, the RAISE Act becomes law).

We know this because it’s happening elsewhere already. For example, the restriction of temporary work visas in Maine earlier this year led to higher wages, better working conditions, and lower unemployment—all good for the average American citizen.


Labor Markets and Minimum Wage: Crash Course Economics - https://www.youtube.com/watch?v=mWwXmH-n5Bo

My Opinion: We don't need illegal labor work legally or GTFO.
29328 cr points
Send Message: Send PM GB Post
29 / M
Offline
Posted 9/4/17 , edited 9/6/17
Increasing wages is great news. You won't even need legislation forcing companies to raise them.
Ejanss 
17135 cr points
Send Message: Send PM GB Post
Offline
Posted 9/4/17 , edited 9/6/17
Help American workers build a better future! Deport a family today!
29328 cr points
Send Message: Send PM GB Post
29 / M
Offline
Posted 9/4/17 , edited 9/6/17

Ejanss wrote:

Help American workers build a better future! Deport a family today!


That's what it boils down to, unfortunately. The way the U.S. is it can't support unlimited illegal immigration, despite what you might think.
Humms 
13810 cr points
Send Message: Send PM GB Post
26 / M / CAN, ON
Offline
Posted 9/4/17 , edited 9/6/17
Si, my name is David, me ride my tiny Bicicleta to school

30% increase, more taxes, more man hours, more deductions?

Me ride my teeny tiny Bicicleta to work.
23712 cr points
Send Message: Send PM GB Post
The White House
Offline
Posted 9/4/17 , edited 9/6/17

Ejanss wrote:

Help American workers build a better future! Deport a family today!


We can't help the world ourselves, everyone has to help themselves.

Immigration, World Poverty and Gumballs: https://www.youtube.com/watch?v=LPjzfGChGlE


Humms wrote:

Si, my name is David, me ride my tiny Bicicleta to school

30% increase, more taxes, more man hours, more deductions?

Me ride my teeny tiny Bicicleta to work.


I just watched that episode lol. Hes from Idaho and might not even speak Spanish.
Ejanss 
17135 cr points
Send Message: Send PM GB Post
Offline
Posted 9/4/17 , edited 9/6/17

Rujikin wrote:


Ejanss wrote:

Help American workers build a better future! Deport a family today!


We can't help the world ourselves, everyone has to help themselves.


Good, I'll remember that the next time you're in an auto accident.
16125 cr points
Send Message: Send PM GB Post
25 / M
Online
Posted 9/4/17 , edited 9/6/17
Its interesting to read Fox's reporting on this next to your source:


Wilson said companies have had to get by with fewer workers, so in addition to paying more for a house, you'll likely have to wait longer for it to get built. Wilson claims that sort of shortage can add a month or two to the time it takes to build a home.

But apart from higher prices and inconvenience to consumers, Marek said the worker shortage is a drag on the economy, keeping the recovery from going full throttle. Marek said he is turning down projects for lack of workers.


Basically, there is a shortage of workers which is driving wages up, however the shortage of workers is also putting a strain on these businesses, increasing housing costs and potentially hurting the economy and the housing market in general.

Also, as someone who is pretty familiar with the trades, the worker shortage is pretty much universal and has been for a while now. Very few people are going into the trades in America. Everybody is being pushed towards knowledge based jobs which has created a vacuum. I wouldn't really say this is anything new and I question Trump's effect on these issues (especially in the long run).
29328 cr points
Send Message: Send PM GB Post
29 / M
Offline
Posted 9/4/17 , edited 9/6/17

Ejanss wrote:


Rujikin wrote:


Ejanss wrote:

Help American workers build a better future! Deport a family today!


We can't help the world ourselves, everyone has to help themselves.


Good, I'll remember that the next time you're in an auto accident.


That's, a pretty dumb analogy...
23712 cr points
Send Message: Send PM GB Post
The White House
Offline
Posted 9/4/17 , edited 9/6/17

sundin13 wrote:

Its interesting to read Fox's reporting on this next to your source:


Wilson said companies have had to get by with fewer workers, so in addition to paying more for a house, you'll likely have to wait longer for it to get built. Wilson claims that sort of shortage can add a month or two to the time it takes to build a home.

But apart from higher prices and inconvenience to consumers, Marek said the worker shortage is a drag on the economy, keeping the recovery from going full throttle. Marek said he is turning down projects for lack of workers.


Basically, there is a shortage of workers which is driving wages up, however the shortage of workers is also putting a strain on these businesses, increasing housing costs and potentially hurting the economy and the housing market in general.

Also, as someone who is pretty familiar with the trades, the worker shortage is pretty much universal and has been for a while now. Very few people are going into the trades in America. Everybody is being pushed towards knowledge based jobs which has created a vacuum. I wouldn't really say this is anything new and I question Trump's effect on these issues (especially in the long run).


Yup thats basic economics. However certain workers will take half or less of what an American will work for and they are hurting wages. We have been building stuff TOO cheaply due to paying well below market values. We are now going back to equilibrium.

Yeah schools taught us that there was no money to be made in skilled trades so a lot of my generation avoided it. Now after being tens of thousands of dollars in debt we find out the skilled trades are where the money is at and since many of us went for higher education our fields are flooded, especially with H1B Vias.

He does want more training in skilled trades.
Posted 9/4/17 , edited 9/6/17
I wonder if this will turn into a double edge sword.

Massive wage increases will cause inflation (as all previous reports will be undervalued) to skyrocket and a flow on for stuff like higher interest rates.
Which will flow into things such as pricing yourself out of the market due to high currency value. No one is going to want to buy US made things or Coal etc if they can source it elsewhere for much much less. (It's why i don't buy Video games or Anime from the US anymore as the UK is a lot cheaper.)
So I wonder if 'America first' will have to be dropped as you will need lots of trade agreements for other counties to see you as being viable. Other wise it will all end up in the toilet when the bubble bursts.

All I can say is good luck
29328 cr points
Send Message: Send PM GB Post
29 / M
Offline
Posted 9/4/17 , edited 9/6/17
Yeah there are plenty of jobs. They aren't always glamorous but money is money and the society has to encourage citizens provide for their family by any legal means necessary. As the job market improves wages will rise.
24084 cr points
Send Message: Send PM GB Post
53 / M / In
Offline
Posted 9/4/17 , edited 9/6/17

sundin13 wrote:

Its interesting to read Fox's reporting on this next to your source:


Wilson said companies have had to get by with fewer workers, so in addition to paying more for a house, you'll likely have to wait longer for it to get built. Wilson claims that sort of shortage can add a month or two to the time it takes to build a home.

But apart from higher prices and inconvenience to consumers, Marek said the worker shortage is a drag on the economy, keeping the recovery from going full throttle. Marek said he is turning down projects for lack of workers.


Basically, there is a shortage of workers which is driving wages up, however the shortage of workers is also putting a strain on these businesses, increasing housing costs and potentially hurting the economy and the housing market in general.

Also, as someone who is pretty familiar with the trades, the worker shortage is pretty much universal and has been for a while now. Very few people are going into the trades in America. Everybody is being pushed towards knowledge based jobs which has created a vacuum. I wouldn't really say this is anything new and I question Trump's effect on these issues (especially in the long run).

Dude why do you want to ruin this feel good moment with harsh facts
1987 cr points
Send Message: Send PM GB Post
26 / F / PA, USA
Offline
Posted 9/4/17 , edited 9/6/17
I have not felt that in the workplace. I do work in construction as an industrial electrician. My latest job came to a close just last week, and let me say this; my higher ups made sure to skimp out about as much as possible, and I hear the same from other contacts in the field. It was to the point of the company I work for barely avoiding having their asses pulled through the ringer for the unpaid overtime that myself and the rest of the crew dealt with. This article looks good on paper, but the same greedy bastards run jobsites.
16125 cr points
Send Message: Send PM GB Post
25 / M
Online
Posted 9/4/17 , edited 9/5/17

Rujikin wrote:


sundin13 wrote:

Its interesting to read Fox's reporting on this next to your source:


Wilson said companies have had to get by with fewer workers, so in addition to paying more for a house, you'll likely have to wait longer for it to get built. Wilson claims that sort of shortage can add a month or two to the time it takes to build a home.

But apart from higher prices and inconvenience to consumers, Marek said the worker shortage is a drag on the economy, keeping the recovery from going full throttle. Marek said he is turning down projects for lack of workers.


Basically, there is a shortage of workers which is driving wages up, however the shortage of workers is also putting a strain on these businesses, increasing housing costs and potentially hurting the economy and the housing market in general.

Also, as someone who is pretty familiar with the trades, the worker shortage is pretty much universal and has been for a while now. Very few people are going into the trades in America. Everybody is being pushed towards knowledge based jobs which has created a vacuum. I wouldn't really say this is anything new and I question Trump's effect on these issues (especially in the long run).


Yup thats basic economics. However certain workers will take half or less of what an American will work for and they are hurting wages. We have been building stuff TOO cheaply due to paying well below market values. We are now going back to equilibrium.


Whether or not this is good for the economy starts to get a bit complicated. While some wages may go up (I am not entirely convinced that this is due to anything Trump has done or that we will see any real long term changes), the wages of a number of other people in the chain (engineers, suppliers, electricians, plumbers, inspectors, etc) may go down due to decreased demand. Then you have the impact on the market which means the consumer's dollar doesn't go as far which means that spending power is decreased, etc..

While I don't support companies paying below minimum wage, I am also not sure if we can definitively say "Yes, this information is good for the economy", especially when the experts you are quoting explicitly state "the worker shortage is a drag on the economy, keeping the recovery from going full throttle".

I also think it brings up the interesting question of: Should America weigh the good of the company or the good of the worker?

In most cases, the Republican line of thought is that we should focus on the good of the company with things such as decreasing regulations and not increasing the minimum wage. In this case, it seems the thinking runs counter to the general Republican idea of "what is good for business is good for America". Do you believe I have some misunderstanding of the Republican line of reasoning or how do you reconcile these two ideas?
First  Prev  1  2  3  4  5  Next  Last
You must be logged in to post.