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Wages

Dismantling Of Student Loan Aid Is Crashing Down On Debtors

“It is so much money,” Jacqueline Wheelock said to me about the monthly payment amount she will soon be forced to pay for her student loans. Until last summer, she wasn’t thinking about this bill. Under the repayment plan known as SAVE (short for Saving on a Valuable Education), she could afford her payments, so she made them, month after month, never missing one or paying late. At the lowest, Wheelock paid $35 each month, and at the highest, she paid $110. But now, in the wake of the Trump administration’s termination of SAVE, like 7 million other Americans, Wheelock must find a new plan — and soon — that works for her.

Wage Suppression In 10 Charts

In the following 10 charts, we outline the historical context of workers’ wage trajectories since the 1970s. For most of those years, wages for the majority of workers were essentially stagnant. Two periods, the late 1990s and the last decade, saw decent wage growth, which kept cumulative wage growth since 1979 well above zero. But those years were the exception, not the norm. More importantly, even with those two periods, wages for typical workers lagged far behind productivity growth—meaning there was the potential for wages to rise far faster than they did.

Paywatch: CEO-Worker Pay Gap Hits Record

The gap between median CEO pay and median U.S. worker pay grew to a record 312-1 last year, the AFL-CIO’s annual Paywatch study shows. But add in the $158 billion Tesla paid its CEO, Elon Musk, and that ratio becomes 17-1/4 times as large, at 5,387-1. Think that figure is huge? Paywatch calculates the ratio between Musk’s pay and that of a median Tesla worker is a canyon: 2.522 million-1. And Musk didn’t even work full-time on Tesla, federation Secretary-Treasurer Fred Redmond said in unveiling the report, based on corporate data sent to U.S. agencies. 

Taxpayers Subsidize Low Wages Paid By Corporate Giants

Call it corporate welfare. The nation’s taxpayers are subsidizing the nation’s largest private employers, notably Walmart and Amazon, who pay their workers so little that millions of their employees are forced to survive by turning to public subsidies, notably food stamps (SNAP) and Medicaid, a new report says. And that applies to much of the so-called “gig economy,” especially Uber, Lyft, DoorDash and similar delivery services, too, the study adds. The latest Government Accountability Office (GAO) report, based on data through September 2024—the most recent complete statistics available—also shows a huge rise since the prior study, using then pre-pandemic data in 2020, said Sen. Bernie Sanders, Ind-Vt., who commissioned both reports.

Harvard Withholds Raises, Bonuses From Unionized Academic Workers

Harvard withheld annual raises and performance bonuses from unionized academic workers across the University this summer, prompting Harvard Law School clinical instructors to file an unfair labor practice charge late last month alleging the move violated federal labor law. Union representatives said they knew of no Harvard Academic Workers-United Auto Workers members in the Faculty of Arts and Sciences, Harvard Medical School, or Harvard Divinity School who received the raises awarded to non-union employees. At the Wyss Institute for Biologically Inspired Engineering, employees represented by HAW-UAW were informed by the institute’s human resources department that they would not receive the annual performance bonus or the July 1 salary increase, according to an email obtained by The Crimson.

American Axle Strikers Set To Win $30 By ’30

For years their pay topped out at $22 an hour, max. Now $22 becomes a new hire’s starting pay, under the tentative agreement workers at American Axle reached on Wednesday, after 10 days on strike. Their slogan and demand was “$30 by ‘30.” By 2030 all 1,000 workers in the plant will be making $30 an hour. During the financial crisis in 2008, many longtime American Axle members saw their pay slashed in half, from $29 to $14.50. The strike was an attempt to recoup some of what they lost. Workers are still picketing, though, until the ratification vote on Sunday.

Unite Escalates Strike Action Against Below-Inflation Pay For Workers

On 20 April, Unite the Union announced that more than 1,100 workers at five Scottish universities will stage a 24-hour strike. The industrial action is scheduled for 24 April to dispute an imposed real-terms pay cut. Unite members at Glasgow, Strathclyde, Glasgow School of Art, Edinburgh Napier and Heriot Watt universities will take part. At 12:30pm on the same day, 24 April, Unite will also hold a Pay and Fair Funding Rally. The assembly will take place at the top of Buchanan Street, next to the Concert Hall and Donald Dewar statue.

India: Workers Defy State Repression To Demand Rightful Wages

Large-scale protests and strikes have rocked the industrial center of Noida, in India’s largest state of Uttar Pradesh. Protesting workers have now rejected an announced wage increase on Tuesday, April 14, that falls far below their demands. The state government announced an increase in the minimum wage for unskilled workers in two of its districts, Ghaziabad and Noida, by 21%, while unskilled workers in other urban areas of the state will get an increase of 15%. The remaining areas will see a mere 9% increase.  The agitating workers and all major trade unions have termed the so-called increase “insufficient” and vowed to continue their movement until wages are revised satisfactorily.

Farm Workers To March On Federal Courthouse

Fresno, California—The United Farm Workers and their allies will march on the federal courthouse in Fresno, California, on March 18 to protest new Trump administration rules they say will cut their already low pay. The rules governing how many workers can be admitted under H2-A visas, and how much to cut their minimum pay, will be the subject of a challenge in federal court that day. The Farm Workers argue, reasonably, that owners, especially agribusinesses, will use the pay cut and the visa expansion to cut every farmworker’s minimum pay, regardless of whether the worker is documented or undocumented, holds an H-2A visa or not, or is a citizen or not.

Why Canada Needs A Universal Parental Income Support Plan

Finally, a major economic actor in Canada has recognized the important contributions of self-employed Canadians. The Business Development Bank (BDC)’s report, The Entrepreneurial Spark of Canada’s Self-Employed, confirmed what many advocates have long argued: self-employed Canadians have distinct needs and make significant contributions to our economy. But the report also revealed something else — a narrow and troubling definition of economic value. BDC places particular emphasis on what it calls “agile and ambitious self-employed” individuals, those who plan to hire employees and transition into employer firms.

Four Union Strategies To Fight Artificial Intelligence

A corporate artificial intelligence frenzy is sowing fear for workers on a massive scale. Seventy-one percent of people in the U.S., according to a Reuters poll on A.I., are concerned “too many people will lose jobs.” Wall Street and Big Tech are running a huge hype machine to back up their massive, risky investment in A.I., pledging it will drive a “productivity surge,” meaning fewer workers and more profits. But workers can take heart that, so far, it’s mostly hot air. To date, A.I. is making few profits. It can be helpful at a few tasks—rough drafts of computer code, summaries of reams of data—but is rarely the equal of human talent otherwise.

These 20 Corporations Are Major Culprits In The Affordability Crisis

A recent poll found that nearly half of people in the world’s richest country are having difficulty affording basic necessities like groceries, utility bills, health care, housing, and transportation. A new Institute for Policy Studies report shines a spotlight on the role leading corporations are playing in this affordability crisis. The report analyzes the 20 largest employers of low-wage U.S. workers, a group we’ve dubbed the “Low-Wage 20.”  Our analysis finds that at half of these firms, median worker pay actually declined in real terms between 2019 and 2024. For the group as a whole, average median pay dropped 4.6 percent to just $29,087.

How To Challenge Wage Garnishment For Defaulted Student Loans

For the first time since the onset of COVID-19, the Trump administration is set to garnish U.S. workers’ wages for defaulted student loans. The Department of Education has announced that beginning this week it will send at least 1,000 borrowers a notice of intent to garnish wages, sending additional notices every month as it expands its efforts to forcibly collect money from millions of borrowers in default. This is a cruel, harsh policy that the Trump administration does not have to implement — and it shouldn’t.

The American Dream, We Hardly Knew You

If Americans’ hopes of getting ahead have dimmed, as the Wall Street Journal reports yet again, it could only be because the lid of the coffin in which the “American Dream” was long ago laid to rest has finally been sealed shut. The promise that if you work hard and play by the rules, you will get ahead, or if you don’t, surely your children will, was broken long ago. And today’s economic hardships have left young adults distinctly worse off than their parents, and especially their grandparents. This long decline has stripped away much of what there was of U.S. social mobility, which never did measure up to its mythic renderings.

The Unraveling Of Workplace Protections For Delivery Drivers

American households have become dependent on Amazon. The numbers say it all: In 2024, 83% of U.S. households received deliveries from Amazon, representing over 1 million packages delivered each day and 9 billion individual items delivered same-day or next-day every year. In remarkably short order, the company has transformed from an online bookseller into a juggernaut that has reshaped retailing. But its impact isn’t limited to how we shop. Behind that endless stream of packages are more than a million people working in Amazon fulfillment centers and delivery vehicles.
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