Inequality Rages as Dwindling Wages Lock Millions in Poverty

[xchrom]

http://www.commondreams.org/headline/2013/01/15-2


A server waits on customers. Hit hardest by the trend of stagnant wages are those in service industries, like retail jobs, food preparation, clerical work and customer assistance. (Jeff Adkins/For the Chicago Tribune)

The official unemployment rate in the US may be slowly ticking down, but the rank of those who classify as 'the working poor' has continued to skyrocket, according to a new report.

Along with overall income inequality growth in the US, a new report by Working Poor Families Project says that over 200,000 families fell into poverty in 2011 even with both parents working.

National job growth saw a recovery from the worst days following the 2008 housing crash and subsequent financial crisis, but even as the recession ebbed in some areas or for some groups, many middle class or lower-middle class workers who returned to employment did so with much reduced wages.

As lead author of the report, Brandon Roberts, points out in an op-ed at Reuters on Tuesday:

These are not just the unemployed. Rather they are families that, despite having a working adult in the home, earn less than twice the federal poverty income threshold – a widely recognized measure of family self-sufficiency. They are working, but making too little to build economically secure lives. And their number has grown steadily over the past five years.

They are cashiers and clerks, nursing assistants and lab technicians, truck drivers and waiters. Either they are unable to find good, full-time jobs, or their incomes are inadequate and their prospects for advancement are poor.

[kenny blankenship]

1. But Rolls Royce had its best sales year ever in the US in 2012.

The country is doing GREAT! You're just not looking at the big picture. You want to embarrass us, and maybe you'd prefer President Palin, I'm thinking?

[raccoon]

2. Rec'd. Anyone who's been paying attention knows this. nt

[hfojvt]

3. Thank goodness Obama got $111 billion in tax cuts for the bottom 20%

that's almost 9% of the $1.3 trillion in tax cuts going to the richest 5%.

That will level things right out.

[Puzzledtraveller]

4. These are my clients

Many families that are really trying but if not for SNAP and medicaid would be in real trouble. We also refer to other organizations and churches so they can get additional help.

[coalition_unwilling]

5. USA! USA! USA! :sarcasm: - n/t

[WillyT]

6. K & R !!!

[Solly Mack]

7. K&R

[redstatebluegirl]

8. It will not be long before it works it's way up the middle class.

While our situation is nothing like those who are working minimum wage, it will not be long before some of us in the middle class see real poverty. With outrageous student loans, no raises for 5 years, aging parents who are quickly going through their savings due to healthcare costs, housing and food needing our help, many of us are just a paycheck away from being in real trouble.

Our government doesn't care about us, that is for sure.... We did what we were supposed to do, work to put ourselves through school with the help of student loans, moved away from our family to get what we thought were good jobs just to find we would go 4 to 6 years with no raises and increases in our health costs and everything else.

Do not misunderstand me, we are blessed compared to other folks but I am just making the point that a "good income" isn't what it used to be.

[amandabeech]

9. At some point, people will be so angry that they try to do something.

The question for the Democratic Party is whether the Party will be there for people like this or whether they will be completely sold out or staffed by people from CitiBank and Goldman Sacks.

So far, it seems that our President too often takes the easy route with so many appointments from those institutions (and the Univ. of Chicago).

If the Democratic Party doesn't stand up for these people with a real plan, people are more likely to fall into Republican BS about government being the cause of the problems.

This really is not looking good from where I type.

[Demo_Chris]

12. Very true.

[leftstreet]

10. DURec

[SunSeeker]

11. These used to be middles class jobs. Now they're the working poor.

While wages of professionals have risen steadily (but nothing compared to the 1%), the low skilled jobs have flatlined--or even gotten lower. These clerks and truck drivers used to be able to support a family on those wages. No more. The race to the bottom has eviscerated the wages of what used to be part of the middle class: blue collar and clerical workers.