It used to be the case that once you got a job and were reasonably competent at it, you would get regular pay increases that at least kept pace with inflation. And if the economy expanded and your company’s profits improved, you might expect to share in the benefits and this enabled you to aspire to a more financially secure life.
Not anymore. The CEO’s of corporations are brutally frank that in these times, if you want a salary increase you need to transition to a better paying job.
Now, executives of big U.S. companies suggest that the days of most people getting a pay raise are over, and that they also plan to reduce their work forces further.
The moderator asked the panel whether there would be broad-based wage gains again. “It’s just not going to happen,” Taylor said. The gains would go mostly to technically-skilled employees, he said. As for a general raise? “Absolutely not in my business,” he said.
But there will always be a need for some jobs that do not require technical skills but are essential nonetheless. What will happen to those people? It looks like they will fall farther and farther behind in terms of income.