Today’s News & Commentary — April 17, 2017

Why don’t all jobs matter? The provocative question is posed by Paul Krugman in today’s New York Times. Krugman questions why so much focus is on mining and manufacturing jobs, when the service sector—a much bigger slice of the economy—is dwindling. He points to several possible reasons, though complicates them all: the importance of mining jobs to local economies, the “political footballs” they have become, and the fact that miners and manufacturers tend to be white and male. Krugman ultimately concludes that saving jobs that are being lost may not be the smartest tack; instead, we should be investing in reeducation and guaranteeing benefits like health care.

Dylan Matthews of Vox summarizes a number of ideas—inspired largely by Europe—for how to save unions. First, unions could be organized on the sector level instead of on the company level, so all workers in a particular industry are affected. With less cross-company labor competition, the argument goes, businesses will be less union-averse. But how do you avoid the “free rider” problem, where, as in France, nearly every worker is covered by a collective bargaining agreement but fewer than 10% of workers are actually in unions? Some countries, like Denmark and Finland, have systems where unions run unemployment insurance, increasing the contact between the labor organizations and possible members. As Professor Sachs notes in the piece, however, such a change might be very tough during the Trump years.

Fast Company Co.Design covers a recent report by the Center for Business and Human Rights at NYU Stern School of Business on migrant workers. The report highlights how many of these workers end up paying to work: agents and recruiters require trumped-up fees and many workers end up dishing out extra for airline tickets and other documents. As the piece notes, “When you finally get to work, you might already owe a year’s worth of wages.”