Economy

Netanyahu versus the EU

EU sanctions against Israeli settlements are a warning from friends that their patience has run out.

Sipa via AP Images
AP Photo/Ariel Schalit, File "T his is the chronicle of a crisis foretold years in advance," said the Israeli ex-ambassador to Germany, in that petulant tone of a diplomat working very hard not to sound infuriated. Shimon Stein was trying to explain new European Union sanctions against Israeli settlements. Neither journalists nor politicians should sound so shocked by the EU move, he lectured the anchor of state radio's morning news program. He was right, but he was trying to outshout a hurricane of public anger and disbelief. The anchor herself had begun the show with a riff of indignant surprise that the EU considered her Israeli neighborhood in East Jerusalem to be a settlement. Of course, the EU position has consistently been that the country called Israel is defined by its pre-1967 borders, or Green Line—and that anything built beyond those borders is not part of Israel. The sanctions are designed to give more teeth to that position. Under new budget guidelines, EU bodies must...

Rhode Island’s Small Victory

AP Photo/Susan E. Bouchard, File
AP Photo/Mel Evans W hen Governor Lincoln Chaffee signed the Temporary Care Giver’s Insurance law last week, Rhode Island became the third state—along with California and New Jersey—to grant paid time off to care for a sick loved one or a new baby. Rhode Island’s law, which goes into effect in 2014, will not only provide most workers with up to four weeks off with about two-thirds of their salaries (up to $752 a week), it will protect employees from being fired and losing their health insurance while they’re out. Workers will be able to use the time to care for a broad range of people, including children, spouses, domestic partners, parents, parent-in-laws, grandparents, and foster children. And, though the maximum single leave is four weeks, each parent can take four weeks off to bond with a new baby. A mother recovering from birth could combine that with an additional six weeks paid through an existing state program, bringing her total paid time off to ten weeks. An entire family...

Transatlantic Trouble

How much has America's spying on European allies damaged the transatlantic trade deal once thought to be one of Obama's best opportunities for shaping his foreign policy legacy?

AP Images/Charles Dharapak
Recent revelations that the U.S. government had been spying on European allies continue to rile public sentiment on the continent, just as officials from both sides of the Atlantic sit down for talks in Washington on the Transatlantic Trade and Investment Partnership (TTIP), a wide-ranging deal that the Obama administration has been pushing as a key foreign policy initiative. If successful, TTIP would deepen the economic ties between North America and the European Union and represent the biggest trade deal in over two decades. But with public trust in the United States ebbing throughout the core countries of the European Union, President Obama will probably have to do more than simply downplay the scandal as a hyped-up, misunderstood policy detail. Old school Atlanticists have long touted the wisdom of deeper economic integration between the United States and the European Union, which is already vast and significant. U.S.-EU trade in goods and services totals about one trillion...

Online LL.M.'s: A New Way to Rob Peter to Pay Paul?

flickr/David Ortez
Two weeks ago, faculty at Seton Hall’s School of Law were informed their pay would be cut by 10 percent during the upcoming term. All junior (untenured) faculty were told they could be fired after the 2013-2014 school year. Seton Hall joined Florida Coastal, (where 10 percent of staff were fired ) and Vermont Law School (one-fifth of tenure-track faculty positions were removed ), in delivering a message professors not at elite schools have long feared was coming. As the legal job market remains in shambles and law school applications continue their historic free-fall, schools will be forced to take a variety of drastic measures to remain solvent until the millions in disappearing tuition dollars return. Firing faculty and downsizing staff—perhaps even closing whole schools—will likely soon be common; so will the appearance of the LL.M., a degree whose strange history may be emblematic of the most serious problems in legal education. The LL.M., awarded after the first degree in law,...

How to Keep Bad Cops on the Beat

A few states forego a key tool protecting the public from rogue police officers.

AP Photo/Harold Valentine
AP Photo/Elise Amendola David Silva died during an arrest in Bakersfield, California on the night of May 8. The Kern County sheriff’s department contends that the 33-year-old was drunk and uncooperative and fought back during the arrest. The sheriff’s deputies on the scene also fought back during the arrest—using unreasonable and excessive force, as the civil-rights lawsuit Silva's family filed charges—allegedly beating Silva with batons while he lay on the ground. One of the accused deputies has the same name as one charged in the 2010 beating of a man that resulted in a $4.5-million court judgment against Kern County. County sheriff Donny Youngblood declined to tell The Los Angeles Times whether he is the same officer. If the deputy is one and the same and the lawsuit succeeds, the circumstances will fit an emerging pattern in the state—police departments retaining cops with questionable records. In October 2011, two San Joaquin Valley TV stations revealed that several officers with...

Wal-Mart Plays Hardball in D.C.

Flickr/laurieofindy
There's a power struggle going on in Washington right now, not between Republicans and Democrats but between Wal-Mart—which is supposed to open six stores in the District—and the city council, which has a bill pending to require big-box retailers to pay a living wage. As you surely know, Wal-Mart was built on keeping costs as low as possible, particularly labor costs. The model Wal-Mart recruit is someone who has no other employment options and will take whatever they can get. The retail colossus isn't going to let some uppity city council tell it how much it can pay its employees: The world's largest retailer delivered an ultimatum to District lawmakers Tuesday, telling them less than 24 hours before a decisive vote that at least three planned Wal-Marts will not open in the city if a super-minimum-wage proposal becomes law. A team of Wal-Mart officials and lobbyists, including a high-level executive from the mega-retailer's Arkansas headquarters, walked the halls of the John A...

The Recession That Always Was

Nona Willis Aronowitz
Nona Willis Aronowitz Young fast-food and retail workers demonstrate on the streets of Milwaukee This is the second installment of a four-part series on Millennials and the new economy, based on the author’s monthlong road trip with stops in the Rust Belt, Omaha, and Texas. Read the first . T his past May, I visited Milwaukee and spent the day with a few young startup founders. You know the types: college-educated twenty-somethings who, upon graduating into a terrible job market, decided to create their own jobs instead. Bright, organized, and creative, they are the kind of Millennials often held up as the scrappy saviors of our brave new economic world. They told me how affordable Milwaukee was, especially compared to the city’s pricier neighbor, Chicago. Angela Damiani, director of NEWaukee, a networking organization for young professionals, and a homeowner at 27, observed that “if you want to start a business or follow a pipe dream, Milwaukee is the type of place you can do that,...

The State of the Unions

AP Images/Bill Wagner
Gallup and Pew concur: Just over one-half of Americans approve of labor unions. In late June, the Pew Research Center released the results of its biennial poll on unions and corporations , and reported that 51 percent of Americans had a favorable view of unions—up from just 41 percent in 2011, the last time Pew popped the question. Pew’s new number is almost identical to Gallup’s, which found that 52 percent of Americans approved of unions when it last asked that question in August of 2012. Gallup polls on union approval every year and has reported a 52 percent approval rating each of the past three years. Before then, union approval had hit an all-time low for Gallup surveys, with just 48 percent in 2009. So unions are modestly, sorta, kinda back, in the public’s estimation. Back, that is, from the trough into which they fell during the first year of the recession, when their approval ratings toppled from the high-50s (Gallup) and the mid-50s (Pew) by ten points in each poll. The...

Congress Is Squandering the Opportunity of a Lifetime

Dan McKay / Flickr
Dan McKay / Flickr It’s the first Friday of the month, which means a jobs report . And this one isn’t bad. The economy added a net 195,000 jobs in June, with upwards revisions of 70,000 in April and May. Which means that, so far this year, the economy has added more than 1 million jobs. To repeat a point, this is why the 2012 election was so critical for Democrats—a Mitt Romney win would have given Republicans a chance to claim credit for the current job growth, and use the political capital to push a highly-ideological agenda. But back to the numbers. Federal government employment dropped by 5,000, a likely result of sequestration, and part of an overall decline of public employment—since 2010, the public sector has shed more than 600,000 jobs. The unemployment rate remained unchanged at 7.6 percent, with a slight drop in long-term unemployment. Still, more than four million people have been out of work for longer than six months. In other words, despite the improving economy, we’re...

The Part-Timer Problem

The Obama Administration’s decision to delay for a year the penalty that employers (in firms of 50 or more employees) must pay if they don’t provide health insurance to their workers shines a light on a problem that may be even more profound than getting health coverage for every American: that is, the decline of the American job. The employer mandate was designed for an economy in which American workers were employed in what had been normal jobs. In firms of 50 or more, all workers who put in at least 30 hours a week were either to receive coverage from the firm or else the firm would have to pay the government a $2,000 yearly penalty. Problem is, fewer and fewer workers are putting in 30 hours a week. To begin with, labor-force participation is at its lowest level since women increased their work-force participation in the 1970s. It has declined even during the past four years of so-called recovery. The past four years have also seen a rise in the percentage of workers who are part-...

Bright Kids, Small City

Harrisburg, Pennsylvania has long been the sort of place where you grew up and got out. But with fewer opportunities elsewhere, many young people are choosing to stay.

Amanda Owens/Makespace
Amanda Owens/Makespace This is the first installment of a four-part series on Millennials and the new economy, based on the author’s monthlong road trip with stops in the Rust Belt, Omaha, and Texas. A fter 24-year-old Sam Melville graduated from a small arts school 20 minutes outside of Harrisburg, Pennsylvania, she made a beeline for Los Angeles, where she hoped to make it in the film industry. She scored a production internship and was excited to put her film degree to good use. But she spent most of her time working at a frozen yogurt shop 30 hours a week for minimum wage, a night job that was an hour-and-a-half bus ride from her house. She was scraping by, but her career was going nowhere. She didn’t have time to meet anyone. And she certainly didn’t have time to work on her own projects. A few months later, she decided to move back to Harrisburg. “I knew I’d have a social life there, and I knew it was cheap,” Melville said. Now working at a sandwich shop, “I make about the same...

Kansas Bleeds the Middle Class

Are we on our way to becoming a low-wage nation? Recent trends in suburban poverty indicate that Americans are facing an uphill battle to secure well-paying jobs.

AP Images/Don Ryan
AP Images/Don Ryan K ansas City is a little bit plainsy, and a little bit Southern, straddling the Missouri-Kansas border. It is an old city, especially compared to others west of the Mississippi, fueled in its early years by farming money and trade from settlers heading west. Kansas City proper is on the Missouri side, and Kansas City, Kansas, or KCK, sits like a stepchild on the other side, absorbing most of the urban core’s poverty and crime. The cities themselves have some of the fastest-growing poverty rates in the country, but in the suburbs, the number of low-income families has more than doubled since before the Great Recession. Suburban poverty has been exploding for a decade, and that growth accelerated so much during the Great Recession that the Brookings Institution devoted a special research project to the trend, and released their report a few weeks ago. It has continued to grow: Overall, poverty in suburbs rose by 64 percent, increasing at a rate that was twice as fast...

The Man Behind Moral Mondays

Jenny Warburg
Jenny Warburg S ince they began in April, weekly “Moral Monday” protests at the North Carolina General Assembly have swelled into a movement gaining national attention. Led by the state’s charismatic NAACP president, the Reverend Doctor William Barber, progressives from across the state have come to denounce a flood of regressive legislation emanating from the Republican legislature—and in some cases, to perform acts of civil disobedience. Last Monday, in the largest Moral Monday yet, 1,400 protested and more than 80 were arrested inside the Legislative Building. In all, more than 400 have been arrested so far. Barber himself has been arrested twice at the General Assembly. Moral Monday began as a way to call attention—both in the state and nationally— to what Barber calls a “mean-spirited quadruple attack” on the most vulnerable. This year, Republicans lawmakers have slashed unemployment benefits, raised taxes for poor and working families, rejected federal funds for Medicaid...

Charting a Moral Monday, from the Capitol to the Prison Bus

Jenny Warburg
Jenny Warburg Thousands of people have been taking part in the weekly rallies. At the one on June 10, there were over 1,400 protesters swarming the Capitol building. Thousands of demonstrators have been congregating at the North Carolina State Capitol for weeks to protest the increasingly tone-deaf policies being trotted out by the General Assembly. As Chris Kromm and Sue Sturgis put it in our May/June issue , There is growing anger over the GOP agenda. In April, the North Carolina chapter of the NAACP began organizing what it calls “Moral Monday” protests at the General Assembly in response to the Republican assault on programs serving the state’s poorest and most vulnerable residents, timed to coincide with the opening of the session each week, the protests have drawn thousands of people to the legislature from throughout the state, a diverse crowd that has included young and old, black and white, students, working people, professionals, and retirees. Some protesters have engaged in...

Pacifiers and Pink Slips

AP Images/Joel Ryan
Would you lose your job if, for a few months, you had to run to the bathroom more often than your coworkers? Or your doctor told you to carry a water bottle and drink as often as possible? Or if you were told you couldn’t lift more than twenty pounds for a few months? Probably not, if you’re a white-collar worker. And probably not, if you’re a blue- or pink-collar worker—a janitor, factory worker, health aide, retail clerk—who’s strained your back or has some other condition covered as a temporary disability by the Americans with Disabilities Act’s Amendments Act (ADAAA, or “AD triple A,” as the insiders say it) of 2008. But yes, you might well lose your job for that if you’re pregnant. Pregnancy doesn’t qualify as a disability. So if you’re a pregnant low-wage worker, your boss could very well tell you that if you can’t follow the workplace’s standard rules—about bathroom breaks, water bottles, standing all day, or carrying trash bags weighing up to 30 pounds—you have to stay home...

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