Posts Tagged ‘credentials’

On Long Term Social, Economic and Cultural Effects of Job Insecurity: 3

January 7, 2018 10 comments

In the previous part of this series, I talked about how the upper-middle class and the aspirational types (the main lay supporters of neoliberalism) are now getting screwed over by the very ideology they enthusiastically supported. Now some of you might say.. “I have not seen that yet” or “I still see people in STEM getting good jobs, marrying, having kids” etc. To which I say, enjoy that delusion while you can still afford to bask in its fake promise of maintaining the status quo.

While believers in the old status quo might wish to continue in their belief that not much has changed, the reality is far different. There are however a couple of caveats we need to address. Firstly, the effects of job and career insecurity are not obvious if you look at the 65-and-over group within the upper-middle class. Most people in this group have good pensions, fully paid-off houses (often more than one) and other investments as they were the main beneficiaries of income and asset inflation which we saw until 2008.

The second group which has still not experienced the full assault of neoliberalism are credentialed professionals in certain areas such as medicine, older upper and middle management types etc. They have so far been partially protected from income and career instability because of their cartel-type behavior or residual usefulness to super-rich. The most important words in the previous sentence are “so far”. This will almost certainly change for credentialed professionals and many older management-types within the next decade for reasons beyond their control.

Of course, as many of you realize, the upper-middle class is larger than licensed doctors and the alumni of 10-15 business and law schools. Which brings us to other previously upper-middle class or inspirational type careers. Let us start by talking about professors (of all types) who work and teach at universities or colleges. Have you ever wondered how many of those who perform the jobs of professors (research or teaching) in such institutions are permanent employees and how many are casual or contract employees? And why does that matter?

The simple answer to that question is that between 70-90 % of those who perform that tasks traditionally associated with being a professor in post-secondary educational institutions are underpaid and overworked temporary employees. In teaching, this takes the form of ‘adjuncts’ who are hired each term and paid wages typically associated with janitorial staff. In research, this takes the form of post-docs, graduate students and research associates who have a slightly more secure income stream than adjuncts but almost no real chance for the promised upward career (and income) mobility.

But the ‘work’ is getting done.. right? Well.. not quite. Academic areas which have the worst degree of such neoliberal exploitation, such as biomedical research, also have the most amount of unreproducible research. As I might have mentioned in the past, the vast majority of biomedical research produced today is either the result of extreme cherry-picking, outright fraud, pedantry or clever rewriting of the obvious. There is a very good reason that progress in the sciences, as measured by products or services that improve the quality of your life, has gone down to almost zero over the last two decades- inspite of breathless fake press releases which suggest otherwise.

Ask yourself.. which great breakthrough benefiting the lives of more than a handful has come about from all the money ‘invested’ in biomedical scientific research over the last two decades?

Do you see any radically new or better drugs for diseases such as diabetes, hypertension, pain, alzheimers, schizophrenia, depression, various types of kidney failure, coronary and cerebrovascular disease.. you know, the sort of diseases that affect and kill most people. The conventional ‘explanation’ for this state of affairs is that all the ‘low lying fruit have been picked’. But is that really so? And how did people in previous decades go about finding effective treatments for diseases when they often “knew” much less about those diseases than we do today?

For all the hype about targeted genetic engineering through zinc finger nucleases, CRISPR/Cas9, TALEN, Gene Drive etc- how many people have been successfully cured of any disease with such methods? Now some of you might say.. “it is because of excessive regulatory or ethical considerations”. Sadly, that is not the case. Most human diseases (by number of affected people) with known genetic predispositions are not single or even ‘few’ gene diseases. To make a long story short, most disease conditions with a hereditary component are basically impossible to treat without highly risky large-scale genetic tinkering.

And this brings me to the issue of income and career security in the pharmaceutical industry. As some of you might remember, many hundreds of thousands in that corporate sector have lost their jobs and often their careers over the last decade. Even the most optimistic propaganda about the fate of these people has to acknowledge that things have been pretty bad for most people laid off during those years. But why did that happen in the first place? Why were there very few large layoffs in that sector for almost 50-60 years and why did so many of them occur between 2005-2013?

How could a corporate sector legendary for providing stable and well-paying jobs and careers for many decades start to resemble the american manufacturing sector after “free trade agreements” within less than eight years? Interestingly, I tackled this particular issue in one of my earliest posts on this blog. The short version of the story is the financialization, “new” management techniques and the obsession with productivity and metrics killed the proverbial goose who laid golden eggs. Nowadays pharma makes money by yearly increases on drug prices, stopping or co-opting generics after patents run out and a whole host of other “legal” shenanigans.

Who needs to develop new drugs when you can sell old stuff at increasingly higher prices. Also selling expensive niche and often barely effective drugs (aka most newer anti-cancer drugs) is another way to pad the financial spreadsheet. But have you ever wondered what happened to the lives and mental world of the couple hundred thousand people who got have had to abandon that field or even worse, swing from one insecure job in that area to the next? Before this happened, they used to be solidly upper-middle class and often spouted distinctly neoliberal beliefs about “competition”, “meritocracy” and other assorted BS.

Nowadays, the general sentiment among that group is that they were scammed. Some are more forgiving than others, but the dominant feeling among most of them is that they were exploited and abused. Oddly enough, you never heard sentiments like these from them before 2005-2008. I wonder why.. Even the ones who are still employed in that area after going through multiple layoff cycles have become extremely cynical people who now are more focused on pretending to work as expected than do anything innovative or profitable for their employers. It will be a long time, if ever, before the pharma sector recovers its ability to develop truly revolutionary new drugs.

Did I also mention that the demographic profile of western countries is also highly unfavorable for any spontaneous recovery in that area. The point I am trying to make here is that the two areas which I am most familiar with have undergone highly damaging and essentially irreversible changes with regards to income and career security. In the next part of this series, I will talk about the deleterious effects of neoliberalism on the income and career prospects of people in the area of general areas of information technologies and computer programming.

What do you think? Comments?

On Long Term Social, Economic and Cultural Effects of Job Insecurity: 2

January 1, 2018 2 comments

In the previous post of this series, I wrote about one of the many reasons why neoliberalism-fueled capitalism lacks the ability to survive past a decade or so. The main point made, in that post, was that embrace of the neoliberal ideology causes extremely low, to zero, fertility in its most devout foot-soldiers (the credentialed classes, professionals and aspiring types). In other words, those most likely to explicitly, or implicitly, support neoliberalism do not produce enough offspring to continue their parent’s ideological belief system.

But why should that matter in the first place? Isn’t neoliberalism attractive enough to gain new followers? Didn’t neoliberal political leaders such as Reagan, Thatcher, Blair, Clinton, Bush43, Obama etc once win elections in western countries? Why were people once enthusiastic about neoliberal ideas such as “efficiency”, “reform”, “innovation” and “free trade” in the 1980-2008 timespan? Well.. the simple answer to that question is that most people are willing to go along with bad ideas as long as they are not personally hurt by it and receive a few trinkets in exchange for support.

People kept on electing neoliberal politicians for a couple of decades as there was no immediate downside for doing so in that timespan. Some also did so because they thought it would hurt racial minorities and poor people. In exchange for that support, they saw their house prices go up, the “stock market” boom etc. They were also able to buy inexpensive stuff manufactured in other countries and for a time, things looked good. It should also be noted that neoliberalism did not initially “disrupt” things such as healthcare, education, housing, pensions or affect job security to anywhere near the levels seen today.

And this brings us to focus of this post, namely the issue of job and career security (or the lack thereof) under neoliberalism. One of the major, if not main, factor responsible for the extremely low fertility rates among neoliberal-ideology worshiping classes is the lack of job and career insecurity. Now some of you might find this a bit puzzling. Shouldn’t job and career insecurity cause fewer poor people to have children than the upper-middle class and aspiring types? Others might also point out to anecdotal examples of upper-middle class types having more than one or two kids.

Anecdotes and exceptions do not negate an obvious statistical trend. The simple fact is that upper-middle class (or aspirational types) under 45-50 with few exceptions have no kids, one token kid or less frequently two kids. Contrast this to the rest of the population which seems to be doing noticeably better in that regard. But why? A simplified answer is as follows: People with mediocre job or career prospects are mentally prepared for more of the same in the future, and therefore keep on living out the rest of their lives. People from the upper-middle class (or aspirational types) recognize the instability of their currently well-paying jobs and careers and are far more obsessed with maintaining what they ‘have’ than living out the rest of their lives.

But just how stable (or unstable) are the jobs and careers which provide income levels or a social standing typically associated with the upper-middle class? The answer to that question partially depends on which country you live in, but in the case of USA the vast majority of such jobs and careers are now highly unstable. But how do you define who is an upper-middle class or an aspirational type in 2017, especially since the definition of that term has changed over the decades? So let us talk about a bit about the role of class as opposed to income in determining who is upper-middle class.

Social class has far more to do with factors beyond income. For example- certain occupations such as police, prison guards or people who work in other unionized, well paid but manual jobs will never be part of the upper-middle class. On the other hand, even an associate professor at some poorly known university will always be part of the upper-middle class or at least credibly aspire to belong to that class. To put it another way, social class is about a combination of education, lifestyle, mores and aspirations rather than just income. But what does any of this have to with the long-term social, economic and cultural effects of job and career insecurity?

Part of the answer to that question lies in one of my older posts- The Upper Middle Class will be the Big Losers in Class Warfare. The main point I made in that post was that class warfare would be far more disastrous for the top 2-10% of society largely because they are the public face of rent seeking behavior, inequality, elitism, snobbery and fraud. While they might justify their behavior by saying that they were “just doing their job” or “following orders”, the rest simply don’t care for those explanations. Whichever way you look at it, the upper-middle class types are the enablers and enforcers of all abuses perpetrated by elites.

So why do they do it? Well.. there are many reasons but it mostly comes down to an expectation of reciprocity from the elites. The ‘deal’ as seen by most upper-middle class and aspirational types is as follows: they do the dirty and disgusting work of maintaining the position of elites in society for which they are rewarded with better paying and significantly more secure jobs and careers. Now, this ‘deal’ worked out pretty well in USA from the mid-1940s to somewhere between 2005-2008 (though the cracks were obvious as far back as the mid-to-late 1990s). But then it fell apart and has since shown no signs of even partial revival.

We are now in an era where a smart person with a degree or two in subjects such engineering, chemistry, or any other area of science or technology has the same job stability as a person working at Wal-Mart for a year or two. And this problem extends well beyond STEM. Consider the fact that programmers making 200-500k a year in any given corporation in Silly Valley dread turning 40 years old because of age discrimination. Or consider the fact that most law graduates from universities that are not in the ‘Top 10’ or 15 have career prospects only marginally better than paralegals.

Even a degree which require more “soft skills” and once promised decent jobs such as an MBA is no longer a guarantee of getting a decent and relatively stable job unless you graduate from one the ‘Top 8’ or 10 programs. I could write entire books on the situation of those who were planning for a career in academia or even teaching in schools. To make a long story short, most jobs which require a degree or two (or more) have become as insecure, unpleasant and unstable as poorly paid jobs which require a high school diploma.

And then there is the issue of career stability. A lot of people who fall out of one of these higher paying jobs never seem to get a better or equivalent one in their area of competence. Many have to eventually abandon the field they spent half their lives working to get inside, in the first place. Some of you might, quite justifiably, see the plight of these people as an example of ‘the chickens coming home to roost’. But we also have to consider that this state of affairs is a marked and highly destabilizing shift in the relationship between elites and upper-middle class as it has existed for most of post-WW2 era.

In the next post in this series, I will try to explore how these destabilizing changes are manifesting themselves in various corporate and industrial sectors- especially as it concerns age related differences in attitudes towards the status quo.

What do you think? Comments?