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- <text id=93TT1265>
- <title>
- Mar. 29, 1993: "Nobody Is Safe"
- </title>
- <history>
- TIME--The Weekly Newsmagazine--1993
- Mar. 29, 1993 Yeltsin's Last Stand
- </history>
- <article>
- <source>Time Magazine</source>
- <hdr>
- SOCIETY, Page 46
- "Nobody Is Safe."
- </hdr>
- <body>
- <p>Janice Castro and Robert Reich
- </p>
- <p> Secretary of Labor Robert Reich has written extensively on
- the dilemma of the American worker in a global economy. TIME
- associate editor Janice Castro recently talked to him about the
- trend toward a contingent, or temporary, labor force.
- </p>
- <p> Q. A lot of people were heartened by the employment
- figures released this month because so many new jobs were being
- created. But most of those jobs were part-time positions.
- </p>
- <p> A. Yes, 90% of the new jobs we created in February were
- involuntary part-time jobs. These were people who would rather
- be full-time workers.
- </p>
- <p> Q. One-third of all American workers now have part-time,
- temporary or contract jobs, some sort of contingent work with
- no job security and usually no benefits. Many of them had better
- jobs until recently. They say they are suffering incredible
- stress.
- </p>
- <p> A. Oh, it's enormous stress. The anxiety level is very
- high, regardless of the kind of job you hold. Nobody is safe.
- </p>
- <p> Q. Companies now say they want to identify their basic,
- core function and their core workers, and everything else can
- be done by peripheral workers, part-time people or
- subcontractors. Isn't this an extreme buyer's market for labor?
- </p>
- <p> A. I think there are reasons for pause. We have built up
- in this country since the 1930s a system of employment
- relationships, guaranteed by law and guided by business
- practices that have become norms. The state courts have
- essentially codified entire areas of workplace law having to do
- with everything from unjust dismissals through areas of
- labor-management relationships such as family and medical leave,
- which many of the states pioneered before the federal
- legislation was passed. Many people think this system needs
- fundamental rethinking.
- </p>
- <p> Q. We have developed a two-tier work force. The contingent
- workers get a different package of pay and benefits or no
- benefits at all.
- </p>
- <p> A. Yup. And that is definitely the trend. The first step,
- in the mid-'80s, was to reduce some of the benefits packages
- for the lower-tier workers, and that continues. The next step
- was to fire middle-level management. The third step was to
- reduce benefits packages across the board for all employees. And
- now we're at the fourth step, which is to do much more business
- by contract, whether it is with contingent workers and
- part-time workers or by contracting out.
- </p>
- <p> Q. In other words, the fourth step is to eliminate the
- benefits entirely.
- </p>
- <p> A. The contingent work force is outside the system of
- worker-management relationships and expectations we've created
- over the years. Larger and larger numbers of Americans are
- working far longer hours and often at several jobs. The nation
- faces a dilemma and a challenge. Does this mean we should begin
- to dismantle that system of protections? Is it simply too
- expensive for employers?
- </p>
- <p> Q. What impact is this change having on motivation?
- Creativity? Commitment to goals? How can people work well when
- they are being told that they do not matter, that they can
- easily be replaced?
- </p>
- <p> A. Unless people feel that they will be valued over the
- long term, they may be more reluctant to go the extra mile, to
- think a little harder, to contribute. In the same way, if the
- employer feels this is not a long-term relationship, the
- employer may be more reluctant to invest in on-the-job training
- of that worker. There are companies that traditionally were
- very, very careful about laying off workers because they were
- so concerned about their corporate culture. Now they just fire
- people, sometimes with very little notice.
- </p>
- <p> Q. Employers say they believe in empowerment. They're
- talking about pushing the information down to the shop floor,
- about letting the ideas and the creativity bubble up. But it
- seems that all these contingent workers are being crippled, not
- empowered.
- </p>
- <p> A. What we're seeing here is two trends on a collision
- course. One trend is empowerment, in which companies are
- revitalizing the core, strengthening relationships with workers.
- But the countertrend is the move toward contingent work, where
- there is always a question mark hanging over the relationship
- as to whether it will continue in the future. You can't do both.
- </p>
-
- </body>
- </article>
- </text>
-
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