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Where Are All The Workers? Companies worldwide are suddenly scrambling to manage a labor crunch
Business Week ^ | April 2007 | Peter Coy and Jack Ewing

Posted on 04/03/2007 9:33:36 AM PDT by SirLinksalot

Employers in some unlikely places say they're having trouble filling jobs. Factory managers in Ho Chi Minh City report many of their $62-a-month workers went home for the Tet holiday in February and never came back. In Bulgaria, computer experts are in such demand they can't be bothered to answer the want ads of a Los Angeles movie studio. And in Peoria, Caterpillar Inc. (CAT ) is struggling to train enough service technicians. The problem in each case: not enough people who are both able and willing to do the work for the posted pay. "We've got a global problem...and it's only going to continue to get worse," says Stephen Hitch, a human resources manager at Caterpillar.

A global labor crunch, already being felt by some employers, appears to have intensified in recent months. That's in spite of widely publicized layoffs, including Citigroup's (C ) plans to shed as many as 15,000 staffers. In fact, U.S. unemployment remains low--just 4.5% in February--and even companies in countries with higher jobless rates are feeling pinched. "It's not just a U.S. phenomenon," says Jeffrey A. Joerres, CEO of Manpower Inc., the staffing agency. On Mar. 29, Manpower was to release the results of a survey of nearly 37,000 employers in 27 countries. The study found that 41% of them are having trouble hiring the people they need.

What's going on here? With global growth running at a strong 5% a year since 2004, the strategies that companies developed to hold down labor costs--including offshoring work to low-wage countries--are running out of gas far sooner than many expected. The seemingly inexhaustible pools of cheap labor from China, India, and elsewhere are drying up as demand outstrips the supply of people with the needed skills.

(Excerpt) Read more at businessweek.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: crunch; labor; workers
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1 posted on 04/03/2007 9:33:42 AM PDT by SirLinksalot
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To: SirLinksalot

Why should I work when the government will take care of me!?!?


2 posted on 04/03/2007 9:36:16 AM PDT by xrp (Republicans Message: Vote for us, we suck less than Democrats.)
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To: SirLinksalot
Europe has an unemployment rate at 10-20%

Socialism tend to get in the way...

3 posted on 04/03/2007 9:37:07 AM PDT by 2banana (My common ground with terrorists - they want to die for islam and we want to kill them)
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To: 2banana

“What’s going on here?” The market is working. If you can’t get enough workers for the pay you are offering, INCREASE THE OFFER.


4 posted on 04/03/2007 9:38:54 AM PDT by Marie2 (I used to be disgusted. . .now I try to be amused.)
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To: 2banana; xrp

TWO wonderful replies!

Right on!


5 posted on 04/03/2007 9:39:09 AM PDT by nmh (Intelligent people recognize Intelligent Design (God) .)
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To: SirLinksalot
Hey where are all the Walmart haters? If conditions are so bad there, why aren’t they quitting?
6 posted on 04/03/2007 9:39:09 AM PDT by rhombus
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To: SirLinksalot

Where are all the workers? Gee, why don’t they ask the pro-abortion lobby.


7 posted on 04/03/2007 9:41:00 AM PDT by Extremely Extreme Extremist (Remember, don't shoot food!)
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To: Marie2
There is a shortage of skilled labor in this country. You can pay all you want. They quit because they DON’T WANT TO WORK!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

poobear
Mechanical Contractor, Inc.

8 posted on 04/03/2007 9:42:47 AM PDT by poobear
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To: SirLinksalot

I can believe this. There are tons of software jockeys (don’t even get me started on “web developers”), but try finding a guy that can debug his code with an oscilloscope.


9 posted on 04/03/2007 9:43:48 AM PDT by randog (What the...?!)
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To: SirLinksalot

We should look into rounding up some of our mexicans and sending them over.

Owl_Eagle

If what I just wrote made you sad or angry,
it was probably just a joke.


10 posted on 04/03/2007 9:44:22 AM PDT by South Hawthorne (In Memory of my Dear Friend Henry Lee II)
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To: SirLinksalot

**Where Are All The Workers? Companies worldwide are suddenly scrambling to manage a labor crunch**

Easy answer:

They were aborted. Never born.


11 posted on 04/03/2007 9:44:28 AM PDT by Salvation (" With God all things are possible. ")
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To: Extremely Extreme Extremist

BTTT!


12 posted on 04/03/2007 9:45:09 AM PDT by Salvation (" With God all things are possible. ")
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To: SirLinksalot
Factory managers in Ho Chi Minh City report many of their $62-a-month workers went home for the Tet holiday in February and never came back.

$62 a month? I suppose you're going to have to offer a better salary if you want workers to stay. It's amazing how the free market proponents are often dumbfounded when no one wants to take the crap wage they offer. That's part of the free market as well.
13 posted on 04/03/2007 9:46:22 AM PDT by mysterio
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To: poobear

There is a shortage of skilled labor in this country. You can pay all you want. They quit because they DON’T WANT TO WORK!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

You are right but I would modify it..........Good workers quit because they are tired of BS. I am one of them.


14 posted on 04/03/2007 9:47:08 AM PDT by PeterPrinciple ( Seeking the truth here folks.)
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To: SirLinksalot
The problem in each case: not enough people who are both able and willing to do the work for the posted pay.

I'm having a very hard time finding somebody to mow my lawn for $5 too. However, if I pay $20, there is a very reliable young man (gringo) in our neighborhood who is glad to do it.

15 posted on 04/03/2007 9:47:52 AM PDT by Vigilanteman (Are there any men left in Washington? Or are there only cowards? Ahmad Shah Massoud)
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To: Salvation

**Where Are All The Workers? Companies worldwide are suddenly scrambling to manage a labor crunch**”

They have been se poorly educated the employers cannot find talent to hire.
The schools taught 2 generations of “students” that they could get good grades for “trying” to do the homework, etc.
That chicken is coming home to roost.

Employers don’t pay an employee for “trying”.


16 posted on 04/03/2007 9:48:18 AM PDT by ridesthemiles
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To: Owl_Eagle

“We should look into rounding up some of our mexicans and sending them over.”

Make that all of the illegals from anwhere and I agree!


17 posted on 04/03/2007 9:48:43 AM PDT by dalereed
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To: SirLinksalot

Many, many millions of American citizens have been aborted. Ergo, labor shortage now.


18 posted on 04/03/2007 9:54:03 AM PDT by coronado
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To: randog

Finding a guy to do your bookkeeping with an abacus is hard also. And don’t get me started about the difficulty in finding someone to impress the characters in the wet clay.


19 posted on 04/03/2007 9:54:11 AM PDT by tundra1946
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To: randog

My hubby is an expert on Labview. Do you know of any freelancing opportunities? There isn’t much call for data acquisition here in Fresno, unfortunately.


20 posted on 04/03/2007 10:00:47 AM PDT by TenthAmendmentChampion (Pray for our President and for our heroes in Iraq and Afghanistan, and around the world!)
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To: PeterPrinciple

Good workers are very rare. The ones who are with me stay because they are compensated well, appreciated and know they have a good future.

Sounds like you need a good Employer. My last one offered to pay for my divorce in order for me to stay. They knew replacing me be almost impossible. I declined of course. Still married after 15 years and our business is booming.

My comments on workers quiting, most feel they can do the 8 hour foot shuffle and get a paycheck. That only applies to Government employees I guess. Try calling a government agency...


21 posted on 04/03/2007 10:04:00 AM PDT by poobear
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To: PeterPrinciple
You are right but I would modify it..........Good workers quit because they are tired of BS. I am one of them.

Yep, companies will have to start treating their employees better, instead of threatening to replace them with somebody from India. This is good news.

22 posted on 04/03/2007 10:06:37 AM PDT by Moonman62 (The issue of whether cheap labor makes America great should have been settled by the Civil War.)
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To: Salvation; Coleus

Wasn’t there a thread about worker shortages just the other day? “Unintended” consequences. Or worse, intended.


23 posted on 04/03/2007 10:06:58 AM PDT by TenthAmendmentChampion (Pray for our President and for our heroes in Iraq and Afghanistan, and around the world!)
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To: SirLinksalot
Well, I feel totally screwed here... I have the VISA required... I have the experience (9years here in Japain, 6 of those years teaching elementary)).. but every year my salary goes DOWN!
When I first got here, I was getting equivalent to $2200/mo... Within 3 years... I was getting equivalent to $3200/month (of course you have to enter in the COL, cost of living)...
And starting about 4 or 5 years ago... everything started going down.. and down.. and down..
Now I am unemployed (sorta.. waiting for my company for the last 2 years to "rehire" me, which may not happen)..
If I am able to get 'rehired', I drop from $2000/mo to $90/day... no pay for off time (meaning no paid vacation time).
The worst thing about this is that the illegal immigrants in the states get better than this :/ At least they can go to any hospital and get the care they need. (NOT saying I want that type of situation.. pop out kids and live here free without working!!!)... Far from it... I believe we all have to fight for our rights.
I know there will be some of you that will suggest I go back to the states... not that easy for me.. I don't have the money, job, family, home, friends (they all married and moved away... and I have NO idea where they are now), drivers license (or even the previous licenses I had before, for example.. State Peace Officer's License) I had when I was last there 9 years ago.
Not that simple....
I just wish there was a way to get these beurocraps here to hear the (LEGAL) foreigners here.

24 posted on 04/03/2007 10:14:20 AM PDT by MrJapan
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To: randog
try finding a guy that can debug his code with an oscilloscope.
GOOD one ;) These new tech weenies don't know crap... and what happens when the power goes out for good.. and they are left reading books?! sorry... a small rant.. :/
25 posted on 04/03/2007 10:17:13 AM PDT by MrJapan
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To: SirLinksalot

“Factory managers in Ho Chi Minh City report many of their $62-a-month workers went home for the Tet holiday in February and never came back.”

I’d probably stay home too.


26 posted on 04/03/2007 10:25:37 AM PDT by taxed2death (A few billion here, a few trillion there...we're all friends right?)
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To: MrJapan

OH... forgot to mention that I am paying half my salary for child support back in the states (for 2 kids I never met, thanks to the ‘courts’).. another l.o.n.g. s.t.o.r.y ...


27 posted on 04/03/2007 10:25:48 AM PDT by MrJapan
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To: MrJapan

I hear they’re hiring in Hi Chi Minh city for 62 bucks a month.

/s


28 posted on 04/03/2007 10:28:21 AM PDT by taxed2death (A few billion here, a few trillion there...we're all friends right?)
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To: taxed2death

considering the cost of living there.. might be grand compared to here (and I am sure you were being sarcastic)... but considering the CS I have to pay... no can do... they already took my passport. The only reason I’m still here is that my VISA is still good for another year m(o.O)m


29 posted on 04/03/2007 10:31:07 AM PDT by MrJapan
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To: SirLinksalot
Factory managers in Ho Chi Minh City report many of their $62-a-month workers went home for the Tet holiday in February and never came back.

Hard to understand that.

30 posted on 04/03/2007 10:32:31 AM PDT by Mike Bates (Irish Alzheimer's victim: I only remember the grudges.)
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To: mysterio
“It’s amazing how the free market proponents are often dumbfounded when no one wants to take the crap wage they offer. That’s part of the free market as well.”

No, you’ve got it all wrong. The workers are all bums who don’t want to work and are just waiting for the chance to go on welfare. The ONLY humans that are worth anything are management, investors and entrepreneurs.

31 posted on 04/03/2007 10:38:33 AM PDT by dljordan
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To: MrJapan
Good luck. I hope things work out for you. I’ve always wanted to go to Japan on vacation...it seems like an interesting place....albeit a bit crowded.
32 posted on 04/03/2007 10:39:23 AM PDT by taxed2death (A few billion here, a few trillion there...we're all friends right?)
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I’m actually a technical recruiter, and I can see the issues many companies are having.

Most of it is money, and employee treatment, they’re not paying well or the company doesn’t treat them well, it’s not just that, but allot of the times the company is looking for the perfect person in a tight industry, they want some one who can hit the ground running, though they may be the only company in the area that does that particular product, so they can’t find anyone.

And don’t get me started on HR, they often overlook strong candidates because they don’t know what they’re recruiting on, either that or they’re hiring based on popularity contest rules instead of skills.

Human resources is usually the biggest obstacle in the hiring process, managers don’t get the see all the candidates, HR usually only send over those they like, so many people who would be a great fit never make it past the “Thank you for applying” e-mail.

The other side of the coin though is that you have allot of people who are out of work looking for more than they’re worth, or looking for the perfect job that doesn’t exist.

There are various reasons why companies are having a hard time finding employees, here is Massachusetts it’s because the pay sucks compared to cost of living in this state.


33 posted on 04/03/2007 10:42:30 AM PDT by gjones77
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To: PeterPrinciple
I agree with that statement. 9/10 of your workers are crap, the last 10th do the rest of the work the others won’t, and usually leave quickly to another company only to repeat the same cycle for slightly more pay. Let’s not forget the 9/10 of management that are crap as well, which perpetuate said cycle. I’m at the point now where i don’t even bother posting my resume. Then there are the HR types who do not know what jobs they are trying to fill, or with what types of skill-sets. Usually some moron fresh out of college with an idyllic view of the working world.
34 posted on 04/03/2007 11:05:43 AM PDT by Domicile of Doom (Hey boy why is there dirt in my hole? I dunno Boss.)
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To: gjones77

HR is the largest problem for large companies trying to fill positions. I changed careers and industries partly because of this reason.

As far as I’m concerned this is good news though. Let these companies struggle looking for good/productive workers and they will be forced to offer higher pay, better incentives, better work environment. This should help shake out the unproductive workers.

I don’t need pet health care, flexible hours, fancy coffee, or ergonomic office furniture. What I need is more green.


35 posted on 04/03/2007 11:14:51 AM PDT by Domicile of Doom (Hey boy why is there dirt in my hole? I dunno Boss.)
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To: poobear

“They quit because they DON’T WANT TO WORK!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!”

Good. More money for me.


36 posted on 04/03/2007 11:17:59 AM PDT by VRing (Happiness is a perfect sling bruise.)
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To: SirLinksalot

Take a look at the abortion numbers in industrialized countries....there may offer an answer....can not flush good quality fetuses down the drain, and expect to maintain the population....


37 posted on 04/03/2007 11:21:38 AM PDT by thinking
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To: SirLinksalot

This is just a puff piece for upping H1-B numbers.


38 posted on 04/03/2007 11:29:15 AM PDT by glorgau
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To: SirLinksalot
Gee. Let's see. If you are over 45 you will be fired or layed-off so they can replace you with someone 25 who will work for 1/3 your pay, never file a health insurance claim, and never become vested in the pension plan. If you are 45 you can expect to never again have a full-time job with benefits and instead will have to scramble for the rest of your life on 1099s, take a second mortgage, and pay $900/mo for health insurance until you are 65.

I think that's where all the employees have gone.

39 posted on 04/03/2007 11:39:08 AM PDT by pabianice
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To: poobear

Well, maybe there is a shortage. I still say, if you pay them enough, they will work.

I couldn’t fix a Caterpillar. But, if you gave me free training, only made me work two hours a day so I could spend most of my time with my kids, and paid me $50/hr, I’d do it.


40 posted on 04/03/2007 11:44:26 AM PDT by Marie2 (I used to be disgusted. . .now I try to be amused.)
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To: Vigilanteman

“Having a hard time finding someone to mow my lawn for $5”

Too bad you don’t live in our area (East Bay, SF Bay Area). My sons are dying for some lawn mowing work, and $5 a lawn works for them.


41 posted on 04/03/2007 11:46:02 AM PDT by Marie2 (I used to be disgusted. . .now I try to be amused.)
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To: Marie2

You sound like a union worker.

Ever tried marketing your skills in the free market?

You would be surprised what you are NOT WORTH!

No offense, but give a go.


42 posted on 04/03/2007 11:48:18 AM PDT by poobear
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To: dljordan
No, you’ve got it all wrong. The workers are all bums who don’t want to work and are just waiting for the chance to go on welfare. The ONLY humans that are worth anything are management, investors and entrepreneurs.

LOL, "Atlas Shrugged" in three sentences!

43 posted on 04/03/2007 11:54:15 AM PDT by Grut
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To: poobear

“You sound like a union worker”

Am not. Stay at home mom of five.

I’m just sayin’, $50 an hour is not out of line for skilled labor (plumbers, mechanics, etc., right?) And I’m just sayin’, if they really need repairpersons that bad, that’s what it would take to get me to do it. I can’t work full time with all these little people around, but I could do a couple of hours a day, for $50 an hour. And of course, they’d need to train me.

But I’d do it.


44 posted on 04/03/2007 11:56:23 AM PDT by Marie2 (I used to be disgusted. . .now I try to be amused.)
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To: Marie2
$104,000 a year for a skilled plumber or HVAC. Sadly, everyone wants to claim they are qualified but have the handy skills of a #12.00 per hour laborer. Try working that into your bids and see how much work you produce or are awarded (save the NJ/NY eastern coast).

As far as training you or anyone else to this level of employment it take YEARS of experience not to mention money.

No one starts at $50.00 an hour.

Also, I am a parent too. What you are doing is worth MORE than $50.00 an hour. DON’T YOU FORGET THAT!

Love, poobear

45 posted on 04/03/2007 12:14:00 PM PDT by poobear
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To: xrp

You nailed it there. Socialism & unions also demand so much babying that people are not inclined to work like they used to.


46 posted on 04/03/2007 1:15:46 PM PDT by vpintheak (Like a muddied spring or a polluted well is a righteous man who gives way to the wicked)
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To: 2ndMostConservativeBrdMember; afraidfortherepublic; Alas; al_c; american colleen; annalex; ...

abortion and population control limiting the amount of youth in the Western World.


47 posted on 04/03/2007 4:19:36 PM PDT by Coleus (Roe v. Wade and Endangered Species Act both passed in 1973, Murder Babies/save trees, birds, insects)
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To: taxed2death
$62 a month in Vietnam beats $15 a month working in a rice paddy.

On another note, unskilled/semiskilled industrial employment is what you do when your only alternative is to work the fields. Not a good choice, considering that technology and automation is making much unskilled labor unnecessary.

48 posted on 04/03/2007 4:25:20 PM PDT by Clemenza (NO to Rudy in 2008! New York's Values are NOT America's Values! RUN FRED RUN!)
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To: Marie2; poobear
Even in places like Tennessee and South Carolina, there are machinists who make the low sixes, particularly after overtime.

Its the guys who overstate their qualifications, and take two months to do a two week job that I seem to encounter these days. Its one thing to pay for skills, another to pay just for "time." This is as true in the white collar world as in the blue collar world.

49 posted on 04/03/2007 4:27:49 PM PDT by Clemenza (NO to Rudy in 2008! New York's Values are NOT America's Values! RUN FRED RUN!)
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To: MrJapan

Please don’t tell me you teach English.


50 posted on 04/03/2007 4:45:57 PM PDT by Old Professer (The critic writes with rapier pen, dips it twice, and writes again.)
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