Nicholas Anway is a student at Harvard Law School.
In today’s news and commentary: We’re in the midst of a “structural” labor shortage, giving workers bargaining power.
“It feels like we have a structural labor shortage out there,” said Federal Reserve Chair Jerome Powell late last week. And according to Business Insider, the tight labor market is a source of worker power. There are just under 4 million more jobs than workers in the labor force, the Fed reported; the aggregate labor force participation rate remains stuck below pre-pandemic levels. Powell pointed to three factors as driving the worker shortage. First, “accelerated retirements”: Goldman Sachs estimated that of the 2.5 million people who retired during the pandemic, 1.5 million retired early. Second, Powell emphasized the pandemic’s tragic effects on workers, explaining that “[c]lose to half a million who would have been working died from COVID.” Third, the market is “missing” over one million immigrant workers, according to Giovanni Peri, the director of the Global Migration Center at the University of California at Davis. “If you ask businesses, you know, pretty much everybody you talk to says there aren’t enough people,” Powell said. The labor market demand, reports Insider, means that “employers are still offering more in attempts to get workers.”
Daily News & Commentary
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January 18
Met Museum workers unionize; a new report reveals a $0.76 average tip for gig workers in NYC; and U.S. workers receive the smallest share of capital since 1947.
January 16
The NLRB publishes its first decision since regaining a quorum; Minneapolis labor unions call for a general strike in response to the ICE killing of Renee Good; federal workers rally in DC to show support for the Protecting America’s Workforce Act.
January 15
New investigation into the Secretary of Labor; New Jersey bill to protect child content creators; NIOSH reinstates hundreds of employees.
January 14
The Supreme Court will not review its opt-in test in ADEA cases in an age discrimination and federal wage law violation case; the Fifth Circuit rules that a jury will determine whether Enterprise Products unfairly terminated a Black truck driver; and an employee at Berry Global Inc. will receive a trial after being fired for requesting medical leave for a disability-related injury.
January 13
15,000 New York City nurses go on strike; First Circuit rules against ferry employees challenging a COVID-19 vaccine mandate; New York lawmakers propose amendments to Trapped at Work Act.
January 12
Changes to EEOC voting procedures; workers tell SCOTUS to pass on collective action cases; Mamdani's plans for NYC wages.