Gallup Senior Economist Jonathan Rothwell synthesizes data challenging the notion that globalization and manufacturing’s decline explain President Trump’s electoral victory. When controlling for demographic factors, Mr. Trump was only three percent more popular among manufacturing workers than non-manufacturing workers. Current supporters of the president are less concerned than their countrymen about how trade and technology may impact their work. Writing for the New York Times, Rothwell notes that conscious racial attitudes correlate strongly with support for Trump; in the Atlantic Ta-nehisi Coates analyzes the depth and breadth of unacknowledged racial attitudes in connection with the president’s rise to power.
The U.S. Department of Labor announced an increase in the minimum wage for work done on federal contracts: contractors are currently guaranteed $10.20 per hour, and their minimum wage will increase to $10.35 per hour effective January 1, 2018. The analogous minimum cash wage for tipped employees will increase from $6.80 to $7.25 at the same time. Politco notes that this move has the Trump Department of Labor carrying out—not rescinding—an Obama-era executive order, though it’s unclear how many workers will be affected by these increases.
Commentators react to Tuesday’s Census reports showing a higher national median household income and lower rate of poverty for 2016 than 2015. “The Economy Isn’t Broken,” concludes David Brooks. If anything, low labor productivity is the problem. Patricia Cohen takes a longer view, arguing that earnings aren’t as high or equitable as they seem. The median lifetime income for an American man has decreased 19 percent since 1967, with high earners faring markedly better than others.
Daily News & Commentary
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August 24
HHS cancels union contracts, the California Supreme Court rules on minimum wage violations, and jobless claims rise
August 22
Musk and X move to settle a $500 million severance case; the Ninth Circuit stays an order postponing Temporary Protection Status terminations for migrants from Honduras, Nicaragua, and Nepal; the Sixth Circuit clarifies that an FMLA “estimate” doesn’t hard-cap unforeseeable intermittent leave.
August 21
FLRA eliminates ALJs; OPM axes gender-affirming care; H-2A farmworkers lose wage suit.
August 20
5th Circuit upholds injunctions based on challenges to NLRB constitutionality; Illinois to counteract federal changes to wage and hour, health and safety laws.
August 19
Amazon’s NLRA violations, the end of the Air Canada strike, and a court finds no unconstitutional taking in reducing pension benefits
August 18
Labor groups sue local Washington officials; the NYC Council seeks to override mayoral veto; and an NLRB official rejects state adjudication efforts.