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A “Global Enterprise” of Labor

Introduction-A “Global Enterprise” of Labor

Neoliberalism

and the Philippine

Labor Brokerage State

Not only am I the head of state responsible for a nation of 80 million people. I’m also the CEO of a global Philippine enterprise of 8 million Filipinos who live and work abroad and generate billions of dollars a year in revenue for our country. — President Gloria Macapagal-Arroyo, May 2003

A “Global Enterprise” of Labor

During a state visit to the United States in 2003, Philippine President Gloria Macapagal-Arroyo aggressively encouraged U.S. business- people to hire Philippine workers to fill their employment needs in the territorial United States and beyond. When American coloniz- ers encountered Filipinos in 1898, they considered them a backward and savage lot who were, nevertheless, sufficiently educable. The United States proceeded to violently conquer the Filipino people and then, with a policy of “benevolent assimilation,” schooled them into being proper colonial subjects who could labor for the nascent empire. Arroyo assures her audience that American colonial education adequately served its purpose and even exceeded it.1

Today, Arroyo suggests, the Filipino is a thoroughly modern and civilized global worker who can labor anywhere and under any set of circumstances for American as well as other employers. The presi- dent insists that Philippine workers can be relied upon to labor for the contemporary U.S. empire, pledging that Philippine workers will “play a role in helping rebuild the land for the people of Iraq.” No

ix

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x Introduction

matter how difficult or dangerous a place of employment may be, Filipinos and Filipinas are ever-willing workers. Employers can even be spared the expense of training workers because it is a task done in the Philippines, one that the Philippine government has “worked hard to support.” Though not stated explicitly by the president, her speech does suggest that employers can save on labor costs because Philippine workers are a temporary workforce ostensibly less able or willing to demand wage increases or better benefits over time. In short, the promise of the Philippine worker is not merely the promise of a worker of good quality, but ultimately one who is cheap.

According to Arroyo, she is not merely president but also the “CEO” of a profitable “global enterprise” that generates revenues by successfully assembling together and exporting a much sought- after commodity worldwide: “highly skilled, well-educated, English- speaking” as well as “productive” and “efficient” workers. By calling herself a “CEO” Arroyo represents herself not as a head of state but as an entrepreneur, the ideal neoliberal subject, who rationally maximizes her country’s competitive advantage in the global market. I suggest that the Philippines, especially when it comes to migrants, is a labor brokerage state.

Labor brokerage is a neoliberal strategy that is comprised of insti- tutional and discursive practices through which the Philippine state mobilizes its citizens and sends them abroad to work for employers throughout the world while generating a “profit” from the remit- tances that migrants send back to their families and loved ones remaining in the Philippines. The Philippine state negotiates with labor-receiving states to formalize outflows of migrant workers and thereby enables employers around the globe to avail themselves of temporary workers who can be summoned to work for finite periods of time and then returned to their homeland at the conclusion of their employment contracts. As Antonio Tujan of IBON (a nonprofit research-education-information development institution), a longtime critic of the government’s labor export program, puts it, the Philip- pine state engages in nothing more than “legal human trafficking.”2

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Figure 1. Brochure produced by the Philippine Overseas Employment Administration.

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xii Introduction

If, as many scholars have argued, global capital demands “flexible” labor, Philippine migrants are uniquely “flexible” as short-term, con- tractual, and incredibly mobile workers. Employers of Philippine workers need not “race to the bottom” by relocating to the Philip- pines but can actually stay in place as Philippine workers can be conveyed directly to them. The Philippines offers a reserve army of labor to be deployed for capital across the planet.

The Philippine state, in fact, distinguishes itself in its capac- ity to facilitate the out-migration of its population to destinations spanning the planet. It is undeniably the world’s premier “global enterprise” of labor as the Philippine migrant worker has become practically ubiquitous around the globe. The worldwide distribution of Philippine migrants is staggering and perhaps unmatched by any other labor-sending country.3 According to the most recent (2008) statistics from the Philippine Overseas Employment Administration (POEA) one of the key institutions in the Philippine government’s transnational migration apparatus, 1,236,013 Filipino and Filipina workers were deployed in some 200 countries and territories around the globe. These workers joined the millions of Philippine migrants already employed overseas to total an estimated 8,233,172.4 With a population of over 80 million people, that means that nearly 10 percent of the Philippine population is working abroad.

Among newly deployed migrants, the top occupations in which Philippine migrants are employed are the following (in order): household service workers; waiters, cleaners, and related workers; charworkers, cleaners, and related workers; nurses, professional; care- givers and caretakers; laborers/helpers, general; plumbers and pipe fitters; electrical wiremen; welders and flame-cutters; building care- takers.5 Both men and women leave the country although in the past decade women’s out-migration has outpaced the out-migration of men. However, statistics collected from April to September 2008 indicate that 51.6 percent of migrants were men while 48.4 per- cent were women. One in four migrants were between the ages of twenty-five and twenty-nine, and one-third were unskilled.6

Philippine migrants’ global mobility occurs in the face of increas- ing immigration restrictiveness around the world. Many countries

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Introduction xiii

are strengthening their borders, especially against those hoping to immigrate and settle with their families.7 In spite of this trend, out- migration from the Philippines continues to increase. The Philippine state has been central to the globalization of Filipina and Filipino workers. While people from the Philippines actively seek out oppor- tunities to live and work overseas for a variety of reasons, ultimately the countries they imagine as possible sites for temporary sojourns as well as the jobs they apply for are determined in large part by the Philippine state’s labor brokerage strategy.8

President Arroyo, for example, played a vital role in securing new jobs for Philippine workers in the Middle East to support U.S. military operations. After meeting U.S. businessmen, she met U.S. govern- ment officials to discuss the two countries’ shared interests in the global “war on terror” and, it can be assumed, transfers of Philip- pine labor, for not long after her brief stint in the United States, Iraq was added to the ever-growing list of Philippine migrants’ coun- tries of destination. Moreover, according to a report by the POEA published shortly after President Arroyo’s U.S. visit, ten thousand to fifteen thousand jobs were expected to open even beyond Iraq in countries including Kuwait, Bahrain, and Qatar because of expected “billion dollar infrastructure development projects in the Middle East (gas, electricity, water, finance, communications, engineering design, retail, health services, construction, IT, hotel/tourism),” attributed “to the presence of US forces.”9

If the Philippine state facilitates the out-migration of its citizens, just as importantly it attempts to shape its overseas citizens’ eco- nomic and political connections to the Philippines. The Philippines’ “profitability” as a “global enterprise” hinges on its ability to main- tain its overseas citizens’ relations to the homeland. Labor brokerage requires a particular set of relations between state and citizen. Under a migration regime of labor brokerage, Philippine citizens are to leave their families behind in the Philippines while giving themselves over to employers in faraway destinations. At the same time, they are to continue being linked to the homeland, especially through their remittances, as the foreign exchange generated by migrants’ over- seas wages has become vital to the Philippine economy. In 2008

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xiv Introduction

Product Earnings

Electronic products $1.915 billion Remittances $1.494 billion Articles of apparel and clothing accessories $125 million Coconut oil $80 million

Figure 2. Earnings from the three top export products compared with remittances for the month of July 2009. Sources: POEA, National Statistics Office (NSO).

alone, migrants remitted over U.S.$16 billion through official bank- ing channels.10 It is true that the very structure of the migrant labor system functions in such a way that individuals working overseas nec- essarily remit their earnings to their dependents left behind in the Philippines.11 Still, the state invests heavily in channeling migrants’ remittances back to the Philippines, with special emphasis on secur- ing their remittances through official banking channels as well as state-sponsored development projects.

The Philippine state’s transnational migration apparatus has be- come something of an “export-processing zone” that assembles and mobilizes and exports a commodity, workers, that actually rivals other export commodities in terms of profitability. A comparison of earnings from the Philippines’ top three highest earning export products with remittances in the month of July 2009 indicates that remittances from migrants are second only to electronic products (Figure 2). In other words, in the Philippines the export of people can be more profitable than the export of clothing.

It is because Philippine migrants are short-term employees that labor-receiving countries source their workers from the Philippines. The Philippine state’s future deployments of migrants (and ulti- mately remittances), therefore, depend on its ensuring that migrants are compliant with the terms of their employment contracts. In other words, the Philippine government requires that migrants return home to the Philippines immediately upon the completion of their work. The Philippine state’s investments in its relations to its citizen-workers globally are crucial for accomplishing that task.

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Introduction xv

This book examines how and why the Philippine state has emerged as a “global enterprise” of labor. It uses a case study of the Philippines to understand contemporary processes of neoliberal globalization. As Neferti Tadiar argues, “The Philippines is, as a supplier of global labour, a constitutive part of the world-system.”12 A key objective here is to map what Saskia Sassen calls a “countergeography of glob- alization,” that is, a form of globalization “either not represented or seen as connected to globalization,” yet is “deeply imbricated in some of the major dynamics constitutive of globalization.”13

My findings draw on qualitative methods including ethnographic research of the government’s migration bureaucracy, interviews with state officials and migrants, and archival work of government docu- ments conducted over the course of the last decade.14 I examine the mechanisms by which the Philippine state mobilizes, exports, and reg- ulates migrant labor to meet worldwide gendered and racialized labor demand. At the same time, I examine how the state has reconfigured Philippine citizenship and produced novel invocations of Philippine nationalism to normalize its citizens’ out-migration while simultane- ously fostering their ties to the Philippines. Though I begin with a quote from the Philippine president, this book is fundamentally about the quotidian institutional and discursive practices of the state.15

To get at why the Philippines has become a global broker of labor and the kind of functions it performs in the contemporary global order, however, requires first an understanding of how neoliberal globalization has reshaped the role of states more broadly and an understanding of the new forms of labor demand engendered by contemporary globalization. I turn to a discussion of the existing scholarship on the state and globalization and international migration in the sections that immediately follow.

Brokering Labor as a Neoliberal Strategy

Neoliberalism, “Development,” and the Nation-State

Under conditions of neoliberal globalization, the forms and func- tions of the nation-state have been shifting quite dramatically. While

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xvi Introduction

many scholars have lamented the eclipse of the state by the forces of global capital, many others suggest that what we are apprehend- ing is in fact its reconfiguration. Rather than being hollowed out, the state has created new apparatuses by which to actually facilitate neoliberalism. As David Harvey argues, the neoliberal state seeks out “internal reorganizations and new institutional arrangements that improve its competitive position as an entity vis-à-vis other states in the global market.”16 In her critique of Harvey Aihwa Ong suggests, first, that neoliberalism, although hegemonic globally, should not be understood as having common, universalized consequences. She fur- ther argues that “rather than taking neoliberalism as a tidal wave of market-driven phenomena that sweeps from dominant countries to smaller ones, we could more fruitfully break neoliberalism down into various technologies.”17

Neoliberal orthodoxy consequently takes different shapes in dif- ferent states. Moreover, it requires that states develop an arsenal of strategies to meet its imperatives. In the Philippines, for instance, the state has introduced numerous measures to create “new institu- tional arrangements” necessary to neoliberal globalization. Like other developing countries, it has complied with the mandates of what critics of neoliberalism have called the “Washington Consensus,” which involves privatization, deregulation, and liberalization among other sets of economic reforms or “structural adjustments.”18 But unlike other states in the global South, the Philippines has crafted a strategy of labor brokerage by which it mobilizes and deploys labor for export to profit from migrants’ remittances. Remittances from migrants’ overseas employment has strengthened the government’s foreign exchange reserves, helping the Philippines pay off the oner- ous debts it has incurred from lenders like the World Bank and the International Monetary Fund, along with a host of private banks, as a consequence of structural adjustment programs.

The Philippine state is not, however, simply a passive actor in the global order as elites at its helm have enthusiastically implemented policies compliant with the neoliberal Washington Consensus. Devel- oping countries “are undertaking restructuring and serve the needs of transnational capital not simply because they are ‘powerless’ in the

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Introduction xvii

face of globalization, but because a particular historical constellation of social forces now exists that present an organic social base for this global restructuring of capitalism.”19

Neoliberalism in the Philippines and other formerly colonized areas needs to be understood within the context of legacies of imperi- alism. For the Philippines neoliberal strategies of the state have long been shaped by its status as a neocolony of the United States. One can argue that neoliberalism in the formerly colonized global South is a contemporary form of coloniality.20

In a neocolonial, neoliberal state like the Philippines, labor broker- age functions to address the failures of so-called “development.”21 It is a peculiar kind of “trickle up” development as individual migrants’ earnings abroad become a source of foreign capital for the Philippine state. The Philippine state remains committed to drawing direct investments from foreign capital through neoliberal economic reforms; however, it also heavily draws on “investments” from its very own citizens. The strategy of labor brokerage merely “perpetuates the conditions this policy claims to ameliorate and reinforces the IMF structural adjustment policies’ grip on Philip- pine underdevelopment since remittances mainly go to debt servicing rather than to generating new local employment projects,” as Ligaya McGovern suggests.22 It is still a cornerstone of Philippine neoliberal “development” today. As E. San Juan acerbically, though accurately, puts it, the globalization of Philippine workers “is primarily due to economic coercion and disenfranchisement under the retrogressive regime of comprador-bureaucratic (not welfare-state) capitalism.”23

Neoliberal Governmentality Though neoliberalism is characterized by a set of economic rational- ities, as distilled in the Washington Consensus, neoliberalism is also a technology of governmentality. Aihwa Ong, drawing from Fou- cauldian understandings, suggests that neoliberalism is a mode of governing populations. She argues that the “neoliberal politics of ‘shrinking’ the state are accompanied by a proliferation of tech- niques to remake the social and citizen-subjects.”24 By brokering labor, the Philippine state attempts to contain the multiple social

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xviii Introduction

dislocations that are the consequence of its aggressive implemen- tation of neoliberal economic policies. It represents employment abroad and remittances as the fulfillment of a new form of national- ism. Contemporary Philippine citizenship has become a modality of governmentality.

The consequences of the neoliberal Washington Consensus have been disastrous for ordinary people in the Philippines, as they have been for most people throughout the world as they face increasingly precarious conditions of employment (if they are employed at all) and the elimination of state services.25 In the Philippines, structural adjustment has resulted in currency devaluation (meant to be an enticement for foreign investors), which has reduced real incomes in the Philippines, making it difficult for people to cope with the rising costs of living, which include the burden of having to pay for what were once state-subsidized public services. As the already small middle class tries to maintain its tenuous status, the difficulty of everyday life for the working classes and the poor compel many to join up with militant leftist movements, both legal and underground, to contest the state’s neoliberal orientation.26 Economic and political elites in the Philippines are all too familiar with the sorts of explosive upheavals these tensions can give rise to.

When the state’s neoliberal policies are coupled with charges of graft and corruption, as was the case for President Joseph Estrada in 2001, mass protests can bring an administration down. Overseas jobs address Philippine citizens’ dire need for livable wages and arguably contain social unrest to some extent.27 Under conditions of globaliza- tion, elites have to deal with “the contradictory pressures of (global) accumulation and (national) legitimation. This enduring contradic- tion is being managed by a restructuring of the capitalist state and a realignment of internal power relations within national state appara- tuses.”28 Successive Philippine presidents have offered up the promise of employment (albeit overseas) during the bleakest economic crises to calm citizens’ growing anxieties about job prospects, and in the Philippines labor brokerage is an important legitimization scheme for the state.

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Brief history of labor unions. What was the main purpose for unions when they were formed?

 In your own words, answer this unit’s discussion questions in a main post (recommended minimum 300 words) 

Assignment Details

As a manager, you may have the opportunity to work in a variety of organizations. Because of this, it is important to understand labor relations. Discuss the following:

  • Provide a brief history of labor unions. What was the main purpose for unions when they were formed?
  • Discuss the Worker Adjustment and Retraining Notification Act of 1989 (WARN). Provide at least 2 examples of the notification requirements under WARN.
  • Discuss at least 2 landmark Supreme Court rulings that have helped shape labor practices today.

In your own words, please post a response to the Discussion Board and comment on other postings. You will be graded on the quality of your postings

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Review the current BLS Job Report. Based on your reading and on your knowledge of the labor market

Part I:  Review the current BLS Job Report.  Based on your reading and on your knowledge of the labor market, how well is the economy doing in the labor market?  (Hint:  look at the unemployment rate, jobs added, major differences (between gender, ethnicity, age, and education as it relates to unemployment).  This response must be at least 10 sentences in length and it must include proper APA citations.

Part II:  Research the term “underemployment.”  How can you prevent yourself from falling into this category?  This response must be at least 6 sentences and must include proper APA citations.

Part III:  Respond to two of your classmates’ posts to either Part I or Part II.  If you choose to discuss Part I elaborate on what may be the causes of the unemployment rate differences due to the time of the year, gender, ethnicity, education, and/or age.  If you choose to elaborate on Part II, please discuss any other potential tactics that you can use to prevent yourself from becoming “underemployed.”  Each response must be at least 6 sentences.  If you reference any material, please use proper APA citations.

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Vice President of Finance at Labor First, LLC/ Retiree First, LLC

 Interview discussion.

the reply must be at least 200 words. Do not just say “good job” or “I learned something from your post.” Replies are not a cheering exercise. Instead, your replies must be substantial, reflecting what you learned from reading the post, offering an extension, or correcting a mistake. Use what you learned in researching for your post (or knowledge gained from other classes or personal experience) to either supplement or critique the post you are writing about.

Interview

We were given the opportunity to interview an accounting professional that would give their perspective on why business law is important to know in their field of work. I had the privilege of interviewing Matt Iagovino who is the Vice President of Finance at Labor First, LLC/ Retiree First, LLC. Labor First LLC deals in retiree benefits for unions and laborers all over the United States. They also have a sister company called Retiree First where that deal with retiree benefits for school systems, towns, and municipalities. Labor First has staff dealing with clients on rates for insurance and then have staff who are advocates for retires and help them with any benefits issues that are needed.

Mr. Iagovino has over 20 years of accounting knowledge from working in the private, public, and nonprofit accounting industries. He graduated from a Holy Family University with a BA in accounting in 2002 and a Master of Business Administration in 2012. He handles all the accounting functions within Labor First and helps the executive team with making key investment decisions, contract negotiation, and partnership analysis.

Business Law is the way “law intersects with business from legal to employment and can effect every department in a company” (M. Iagovino, VP of Finance, August 4,2021). Mr. Iagovino talked about how employment contracts can be violated and then a lawyer would need to get involved even on the back end to make sure the company is handling issues legally. Some of the legal issues that could also affect the company are CMS regulations, HIPPA, Insurance law and making sure guideline on terming members of their health insurance.

Contract law was discussed due to the number of contracts that flow through Labor First. “The basic elements required for the agreement to be a legally enforceable contract are mutual assent, expressed by a valid offer and acceptance; adequate consideration; capacity; and legality” (Blokhina Gilkis, 2019). At Labor First the contract that will start the offer process is a template contract that has been reviewed by their legal counsel. When a client negotiates before the acceptance process, they may ask for changes in the language or other specific part. Each client will have their own individual requests. (M. Iagovino, VP of Finance, August 4,2021) The process of the contract will go from the proposals team to the CFO and COO to get approval. The CFO at Labor First is also a CPA. He will look over the contract to make sure they are getting the right amount of money and make sure that it covers all the areas that Labor First offers. Making sure that you will be able to support the needs of the client, Labor First has a sales team that is integrated into the contract process. “The idea of ‘discreteness’ thus encompasses both the genuine ‘one shot’ deal between complete strangers who do not expect to engage in repeat trades and a quality that contracting parties familiar with each other may deliberately seek to impose upon their business relations” (Mitchell, 2009, Pg. 681)

Labor First collects and pays the health care benefits for groups that have retirees and provide a service to their members. Recently the company has been put into a predicament where they may have to term a client due to nonpayment. If this happens all the retirees in the group will lose their benefits. The executive team got into touch with legal to see what their options were and then brought it to the client’s attention. Labor First has never had to term any clients before and this would have been a first. The client was obligated to pay back what was owed and pay 1 future month in advance to keep their business. The company had to take into consideration if this was a deliberate breach of contract. “Deliberate breach is in fact a term without a conclusive meaning, whereas some authors at least let the reader believe that is a settled term” (Van Kogelenberg, 2014, pg. 142).  When the final terms came back it was a misunderstanding on the client’s side thinking they sent the payment but never approved the wire through the bank.

In addition to contract law, we discussed the ways a company can grow with investments. Mr. Iagovino stated that Labor First has taken on a new investor to help the company continue to grow. The investor will help lead Labor First to more opportunity. This affects the accounting department more due to changes that need to be made. There will be more reporting and the month end closes will have to be stricter. There is one mandatory change that the investors wanted to occur and that is to have more trust accounting. Trust accounting is the “separation of expenses will help determine the proper treatment for tax and accounting purposes” (Bertsch, 2020). This is to show our investor and new investment the net worth of the company at one time. They want to see the difference between what Labor First must pay the carriers for health care and administration fees they earn per member.

The interviewee was asked if learning business law in college was important to his career in the accounting field. His answer was yes. He stated that it would give you a broad view of the business world and legal implications that could happen (M. Iagovino, VP of Finance, August 4,2021).  It also gave him the knowledge that he knew when to seek legal counsel for any pitfalls and employment issue that could arise.

Business Law has an importance in accounting due to all the underlining issue’s that can arise from a legal standpoint. There are always contracts happening daily even if you do not see them.  Having the knowledge of business law can help when there are employment issues, violations of compliance, and more. The main take away I got from interviewing Mr. Iagovino was that you need to look at all the details and properly examine them. You need to know the basics of business law to proceed in accounting to know some of the in and outs of contracts that you may need to look at. Having the knowledge will set you apart from other in the accounting field.

“Do not deprive one another, except perhaps by agreement for a limited time, that you may devote yourselves to prayer; but then come together again, so that Satan may not tempt you because of your lack of self-control” (American Bible Society, 2010, 1 Corinthians 7:5). This versus tells me you need to overlook a contract before accepting the terms. There is a set time for the person receiving the contract to look over and negotiate terms. Make sure you are not making a split-second decision which could be related to Satan in 1 Corinthians. Always take the time to take into consideration all the details and agreements that are being offered. Negotiations is part of the process and if a company is not willing to make an exception for a certain thing then they are not the fit for you.

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Monopsony in the labor market and a monopoly in the product market

Suppose you manage a firm, which is a monopsony in the labor market and a monopoly in the product market. Suppose another firm moves into your market, hiring from the same pool of workers and selling an identical product to the same set of customers. Use the model of monopsony to analyze the impact of the new firm on the quantity of output you produce (Q), the price your firm should charge (P), the quantity of workers you employ (L), and the wage you pay (W).

Show graphically and explain your reasoning in detail. For example, if wages change, how and why do they change the way you say? Complete the following:

  • Create a graphic to illustrate producer equilibrium for monopsony in the labor market. Draw labor supply, labor demand and equilibrium for quantity of workers and wage.
  • Create a graphic to illustrate producer equilibrium for monopoly in the product market. Draw monopsony producer equilibrium with downward sloping marginal revenue product curve, and upward sloping labor supply and marginal cost of labor.
  • Conduct appropriate qualitative analysis to explain how Q, P, L and W will change when the new firm enters the industry. Explain your economic reasoning and show graphically.

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Describe who the suppliers and demanders are in the labor market. Is a government-mandated minimum wage a price floor or ceiling?

select only 1 of the following options and answer each of the questions related to that option. Your responses should be thorough and well supported. You are encouraged to use our textbook and the online book for this class, which is called Popular Economyths. 

A good, well-reasoned, detailed answer should be at least 1.5 to 2 pages (total) in length (and please do NOT rewrite the questions). You need to answer each of the questions for the option you select.

OPTION 1 – The Minimum Wage

Since 2009, the national minimum wage has been $7.25 per hour for most occupations in the private sector. Many of those who support an increase in the minimum wage believe this is one way the government could possibly reduce poverty, while its opponents believe that it creates unemployment and hurts low-skilled workers. The following items address the idea of raising the minimum wage from the current federal minimum of $7.25 per hour.

1) Describe who the suppliers and demanders are in the labor market. Is a government-mandated minimum wage a price floor or ceiling? Discuss the effect of a minimum wage law from a supply and demand standpoint, making sure to address the concept of surplus or shortage, and specify what that shortage or surplus is most commonly called in economic terms.

2) Raising the minimum wage will also affect the labor costs of businesses. What is going to happen to the prices these businesses charge for their products? And who is going to be most affected by these price changes, those with low incomes or those with high incomes? 

3) Discuss any potential changes in the incentives for low-skilled workers – those who keep their jobs and their hours – to increase their human capital when the minimum wage increases. What about those who lose their jobs or never get hired? Discuss the incentives for employers to substitute capital inputs (technology and automation) for labor.

4) What might be an unintended impact on government spending on entitlements such as welfare, food stamps, and unemployment compensation because of the changes in the minimum wage and its impact on unemployment and underemployment?

5) Do advocates of a minimum wage law believe that workers should be paid based on their output (i.e., performance) or on their level of need? What do opponents of the minimum wage law believe workers’ wages should be based on? Which one is sustainable and why? 

For the sake of comparison, how should students be graded in class, based on their performance or level of need?

6) Advocates of a minimum wage often believe that employers would “exploit” or “take advantage” of their workers if there were no minimum wage. How would you know if employers are “taking advantage” of their workers if there were no minimum wage? What simple thing could the employee do if they believed they were being exploited?

7) What percentage of American workers get paid above minimum wage? In general, why do such workers get paid more than the government-mandated minimum wage if employers are supposedly so greedy? 

8) Compare and contrast some of the information contained in the three videos:

Obama: “Raise Minimum Wage to $9 an Hour” – SOTU 2013 

How the Minimum Wage Creates Unemployment – Note: this video uses an example of a $5 minimum wage as an illustration only. The same exact point could be made with a minimum wage of $7.25, $9, $12.37, or any other amount, so please do not get hung up on the $5 amount. The point is whether or not the government ought to dictate the wages of a private transaction between a willing employee and employer.

We the Internet TV: Pledge for $15

Describe the main points of each video. Which one or two videos do you agree with more from an economic perspective and why? Be specific!

9) Based on your previous responses, do you believe that the minimum wage should be raised, lowered, remain as it currently is, or be altogether eliminated? If you think there should be a minimum wage, how would you arrive at the specific wage? You need to give a thorough reason for your answer. Who should get to decide how much a worker gets paid, the worker and their employer or a politician? WHY?

OPTION 2 – Taxes

It has been said that nothing in life is guaranteed except for death and taxes. The next questions ask about the three tax structures as well as rate rates.

1) A lot of students say that some people pay “more (or less) in taxes” than others, but they often confuse tax rates (percentages) with the amount of tax paid (in dollars). Be sure to answer questions in this option with references to the differences between taxes paid in dollars versus percentages.

Please state whether you prefer a progressive, regressive, or flat (proportional) tax system and WHY. Is your preference more in accordance with the concept of equality of opportunity (which is equal treatment) or equality of outcome (which is unequal treatment)? BE SPECIFIC. Which tax system incentivizes taxpayers to earn more money and which structure disincentivizes taxpayers to work harder and earn more money. 

2) Please write about marginal tax rates and whether you believe they need to be changed in general. More specifically,

A) If you believe in a flat tax rate system, should income tax rates be raised or lowered? 

B) If, however, you think a progressive tax rate is best: 

i) should taxes on low-income earners be raised or lowered?

ii) should taxes on average-income earners be raised or lowered?

iii) should taxes on high-income earners be raised or lowered?

C) If, however, you think a regressive tax rate is best: 

i) should taxes on low-income earners be raised or lowered?

ii) should taxes on average-income earners be raised or lowered?

iii) should taxes on high-income earners be raised or lowered?

Regardless of which you chose (A, B, or C) be sure to give your reasons WHY you feel the way that you do.

3) Please explain HOW the tax rate changes (the increase or decrease you advocated for in Questions #2 above) will affect each of the following:

a)  economic growth: job creation, investment, incentives to work more, and tax avoidance

b)  the budget: the difference between tax revenue and government spending

   c) economic “fairness” 

Your answer needs to have a discussion related to the Laffer Curve, especially with respect to the budget (and to government revenue in particular). In addition, please give your definition of economic “fairness” and WHY you believe that. 

4) Please watch the following two videos:

Robert Reich: Why Taxes Have to be Raised on the Rich

Is America’s Tax System Fair?

Describe the main points of each video in detail. Which video do you agree with more? Please describe WHY. Which video recommends treating people equally and which one does not? 

5) Please read the following articles:

What You Don’t Know About the Top One Percent

Tax Foundation: Latest Federal Income Tax Data

Describe the main points of each article in detail.

Based upon the two articles: By income percentile group, who doesn’t pay their “fair share” of taxes and who pays more than their “fair share” in your opinion? How do you arrive at that opinion?

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Labor unrest at American Airlines

After you have reviewed the above laws (attached), read the following articles concerning labor unrest at American Airlines.
American Air pilots’ union: No strike unless it is legal. (2012, August 30). Retrieved August 31, 2012, from http://www.reuters.com/article/2012/08/30/us-americanairlines-pilots-idUSBRE87T14O20120830  (attached)
DeMaura, S. (2012, August 13). Not just public unions: Private sector unions hurting business. Retrieved August 31, 2012, from Not Just Public Unions: Private Sector Unions Hurting Business  (attached)
Saporito, B. (2012, October 8). The worst job in America. Time, 180(15), 1. Retrieved from Business Source Complete. (https://townhall.com/columnists/stephendemaura/2012/08/13/not-just-public-unions-private-sector-unions-hurting-business-n1037100)
Give a brief summary of the current state of union relations in the airlines industry in the United States. Then answer the following in a well-organized 4 page paper:
•    If DeMaura is correct in his editorial, why would the American Airlines’ Allied Pilots Association (APA) risk the future of American Airlines with their union demands?
•    Using additional research about unionization in the U.S. airline industry in general and American Airlines in particular, update where we are currently with American’s situation. How do the recent updates that you have found affect American Airlines employees? Are other U.S. airlines also in jeopardy because of labor demands?
•    In your educated opinion (supported by your research) are changes needed in labor laws in the United States to help stop unions from hurting business?
Use at least 5 Trident Online Library sources plus any applicable background readings to help strengthen your discussion.
The paper should be 4 pages, not counting cover and reference pages.

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Labor unions and the airlines industry in the United States

United States airlines are currently enjoying a boom due to streamlining over the past few years, streamlining that included mergers and acquisitions.The streamlining was because of many carriers going bankrupt in the last decade, a situation that was attributed to generous base pay rates and work rules negotiated by the unions as a result of previous good profits. The current boom is also tempered by fractious labor relations between the airlines and staff. Delta Airlines suffered from their pilots picketing in 2016. Southwest pushed back purchase of new airplanes partly because of tensions with its pilots.This is despite the two airlines having a history of good labor relations where they have awarded good remuneration to their workers, relations that have made them some of the most financially successful airlines in the world(Bhaskara, 2016).

However, there were gains in the same year as three-year contentious negotiations between ULCC Allegiant Air and its pilots ended in mid-2016, with the pilots getting hefty pay rises and the airline’s safety record consequently improving (Bhaskara, 2016). United Airlines also reached agreements with its pilots and flight attendants, with the flight attendants getting a combined contract after six years of being treated as two separate workgroups following the merger of United and Continental.

After going bankrupt in 2011, American Airlines was forced into a merger with the smaller US Airways in 2013. The airline unions backed Doug Parker, the then CEO of US Airways, to become the CEO of the new American Airlines, forcing the management of the earlier company out(Koenig, 2017). Since then, the Allied Pilots Association (APA) and the flight attendants union have been in constant negotiation with the airline for better pay and working conditions.

Risks

APA risks the future of American Airlines with their union demands because they offer the company little or no flexibility in adjusting their costs to suit the market situation (DeMaura, 2012). In times of recession, the airline still has to pay high wages which becomes a weakness in the competitive landscape. The risk is exacerbated by fluctuations in oil prices that make continuity of profitability uncertain. Hence pay rates that are gained during times when prices of fuel are low become unsustainable when the ………………………………………………………………………………………………………………………………………………………………………………………………………………………………….fuel………………………………………………………………………………………………………………………………………………………………………………………………………………………………….

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LABOR RELATIONS

Topic:

Go to the following website: http://www.nrtw.org/rtws.htm. Determine if your state of residence is a Right-to-Work state. Right-to-Work is a product of the Open-Shop Movement. Conduct research about this movement. (State website; professional organization; other resources). Understand its purpose and history. Then analyze the state you reside in. Has “Right-to-Work” or “Forced Unionization” been successful in your state. Explain why or why not.

The requirements below must be met for your paper to be accepted and graded:

• Write between 750 – 1,250 words (approximately 3 – 5 pages) using Microsoft Word in APA style.

• Use font size 12 and 1” margins.

• Include cover page and reference page.

• At least 80% of your paper must be original content/writing.

• No more than 20% of your content/information may come from references.

Use an appropriate number of references to support your position, and defend your arguments. The following are examples of primary and secondary sources that may be used, and non-credible and opinion based sources that may not be used.

a) Primary sources such as government websites (United States Department of Labor Bureau of Labor Statistics, United States Census Bureau, The World Bank, etc.), peer reviewed and scholarly journals in EBSCOhost (Grantham University Online Library) and Google Scholar.

b) Secondary and credible sources such as, CNN Money, The Wall Street Journal, trade journals, and publications in EBSCOhost (Grantham University Online Library).

c) Non-credible and opinion based sources such as, Wikis, Yahoo Answers, eHow, blogs, etc. should not be used.

Cite all reference material (data, dates, graphs, quotes, paraphrased statements, information, etc.) in the paper and list each source on a reference page using APA style

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National Labor Board

Labor Relations

National Labor Board
Research the National Labor Relations Board, an independent agency that handles labor disputes.
•Research the internet regarding the various labor laws and procedures.
•Select one subject or area of information from your research, and discuss what you researched and learned.
•Explain why this is important to know.

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Business: Labour Relations: National Labour Board

(Course Instructor)

(University Affiliation)

(Student’s Name)

The National Labour Board         

The National Labour Board (NLB) is a federal agency, which is independent and was formed under the Congress Act of 1935, in order to administer the Wagner Act (National Labour Relations Act) (Fisher, 2004). The National Labour Relations Act was subsequently amended through the Taft-Hartley and Landrum-Griffin Acts of 1947 and 1959 respectively. The National Labour Relations under the National Labour Relations Board has a number of functions; to decide on the existence of appropriate bargain unit when petitioned by employees, to correct unfair labour practices and to decide in a secret ballot whether employees in an organization/business need to represented by a union. A number of Acts have been developed by the federal government in order to guide the mandate of…………………………..

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Labor market and availability

Research two or three career paths of interest in your prospective field. In 750-1,000 words, include the following: future Counselor and Psychologist

PSY693

  • Labor market and availability (e.g., location)
  • Income range
  • Education/training needed
  • Job availability
  • Future stability
  • Time Demands
  • Benefits
  • Challenges (e.g., burnout propensity)
  • Opportunities for advancement
  • Does it match your skill level?
  • Does it align with your personality? Value system?
  • Summarize which path best suits you and your career choices. Explain why.
  • Discuss any surprising factors surrounding the career paths of your prospective field.

At least two to three scholarly, peer reviewed sources published within the last five years are required for this assignment.

apa format 7th edition