Who will win the Minimum Wage Fight for 15?

18 | The Fight for 15 is an American political movement advocating for the federal minimum wage to be raised to $15 per hour. The federal minimum wage was set at $7.25 per hour in 2009, and as of 2019 it has not been increased since. The movement has involved strikes by workers in child care, home healthcare, airport, gas station, convenience stores but most notably with fast food workers. What will happen if or when $15 is the minimum wage for all of the United States?  I speculate the national and global consequences in this episode of The Jim Stroud podcast.

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About the host:

Over the past decade, Jim Stroud has built an expertise in sourcing and recruiting strategy, public speaking, lead generation, video production, podcasting, online research, competitive intelligence, online community management and training. He has consulted for such companies as Microsoft, Google, MCI, Siemens, Bernard Hodes Group and a host of startup companies. During his tenure with Randstad Sourceright, he alleviated the recruitment headaches of their clients worldwide as their Global Head of Sourcing and Recruiting Strategy.  He now serves ClickIQ as its VP, Product Evangelist.

PODCAST TRANSCRIPT

Hi, I’m Jim Stroud and this is my podcast.

The Fight for 15 is an American political movement advocating for the federal minimum wage to be raised to $15 per hour. The federal minimum wage was set at $7.25 per hour in 2009, and as of 2019 it has not been increased since. The movement has involved strikes by workers in child care, home healthcare, airport, gas station, convenience stores but most notably with fast food workers.

The movement has seen some success on the state and local level. California, Massachusetts, and New York are currently in the process of raising their state minimum wage to $15 per hour and major cities such as San Francisco, New York City and Seattle, where the cost of living is significantly higher, have already raised their municipal minimum wage to $15 per hour with some exceptions.

What will happen if or when $15 is the minimum wage for all of the United States?  I speculate the national and global consequences after this special message.

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The fight for a $15 minimum wage has been argued over and over and over by people who support and oppose the idea. These are the points I tend to hear, both pro and con.

If you are for a $15 minimum wage then, you are likely thinking that minimum wage workers will have more spending power which means increased sales for businesses resulting in more workers being needed. There would be less stress on social programs because people will be able to better take care of themselves. And since people would be earning more money, there would be less employee turnover thus, saving companies money from lost productivity due to vacant openings.

If you are against the $15 minimum wage, its likely because you, as a business owner, believe you cannot afford the raise in salary and must layoff workers to compensate. Plus, the increased salaries will have to be compensated for in some way, likely you will have to raise your prices and outsource some of your jobs to countries where people are willing to accept a lower pay rate. I also imagine that competition for jobs will intensify exponentially as overly qualified individuals pursue jobs that younger workers typically pursue. And when that happens, younger workers won’t have the experience needed to build their resumes.

The minimum wage debate is only going to increase in light of the fast approaching 2020 presidential election. Presidential hopeful Bernie Sanders has been pressuring McDonald’s to raise their minimum wage to $15 via an open letter to the CEO of McDonalds – Steve Easterbrook and a tweet which (in part), says this, “If Amazon and Disney can pay $15 an hour, so can McDonald’s, which made $5.1 billion in profits last year.”  Some people agree with Bernie Sanders. I speculate, many businesses do not.

I was in London recently and I saw something I had never seen before, inside McDonalds was a kiosk that allowed you to place your order and pay for your food. I looked at the counter where I presumed the cashier would be. There were several workers handing out food and such and some were taking orders but, I had to wonder. How many less workers were needed once these kisoks were introduced?  I did a bit of research after witnessing this and found out that McDonalds was adding these self-order and pay kiosks to 1,000 stores per quarter; not to mention their  mobile app that let you place orders with your cell phone. Very, very clever.

Now, I don’t speak for McDonalds, so I can only guess that these kiosks are McDonalds rebuttal to the “Fight for 15” movement. In other words, McDonald’s says sure, we will pay a $15 minimum wage if required but thanks to automation negating cashier jobs, that $15 an hour salary will go out to fewer workers.

So, on one hand, it looks like McDonald’s wins by employing fewer people while at the same time reaping higher profits. Right? Well, not necessarily. What happens when your customers don’t agree with your policy and protest it or, worse yet, show their discontent by shopping elsewhere? Consider this… Quite recently, Walmart announced that it was getting rid of greeters (many of whom are disabled) and would replace them with “Customer Hosts.” The plan was to go in effect at 1,000 of their stores. Shortly thereafter, there was a BIG backlash from its customers. So much so, Walmart backpedaled on their policy. Listen to this report from CBS Pittsburgh.

And here is something else to consider… Amazon. Robert Charette, a risk consultant to financial organizations made a very astute observation. Here’s a quote from 2017 that is still ringing true today…

Amazon is a leading indicator of what may come for service industries. In 2012, Amazon purchased Kiva Systems, a maker of warehouse robots, for US $775 million. The company began deploying the 320-pound, 16-inch-tall robots to its warehouses in early 2014, with some 10,000 of them operational by the end of 2014. Analysts estimatedthen that each robot replaces 1.5 full-time-equivalent human beings. Over the past two years, Amazon has added another 30,000 Kiva robots to its warehouses, as well as increased the productivity of its warehouse activities through additional automation initiatives, which allowed it to ship over 1 billion items between 1 November and 19 December 2016. While it may still be some years away, nearly completely automated Amazon (and other companies’) warehouses are seen as inevitable.

Clearly, Amazon’s automated warehouse efficiency has other consequences. It has enabled Amazon, through its online sales channel and ability to discount prices, to become the world’s eighth largest retailer(and largest online retailer). Amazon increasingly is taking market share away from traditional department stores, helping place companies like Sears, Kmart, and Macy’s, among many others, at risk. All three announced significant store closures and layoffs this past week, with Macy’s alone eliminating 10,000 jobs after disappointing holiday sales attributed to increased online sales competition. Macy’s management says it will take the savings from the layoffs and invest it into its online presence.

How many of those employees that Macy’s and other retail companies laid off will be able to find comparable work at the same salary is unknown. However, it is unlikely for very many, as few retailers that are under threat by Amazon and other online retailers are hiring permanent staff. Instead, like Macy’s, they are looking for ways to shed staff while they increase their online presence to combat Amazon and other e-commerce discounters. [END QUOTE]

And now, 3 predictions…

  1. Technology will persevere, and progress will be made, as it always has, since at least the 19th century when people protested the cotton gin and the steam engine as a threat to their way of life. But I think the transitional period will be bumpy, to say the least. As automation encroaches and younger, under-educated workers from the services sector become more and more frustrated, I think it is entirely possible to see another type of… Arab Spring but this time, on a much larger scale. Why? People losing jobs in America due to automation is one thing multiply that number by the countries we no longer need to outsource jobs too due to that same automation; and you have young angry displaced workers all over the globe, and roughly around the same time.
  2. Companies will begin to experience consumer rebellion. What do I mean by that? People will begin to make a more conscious effort to forgo automation whenever possible: for example, skipping right past the robot operator and demanding to speak to an actual human being when calling a company; not using the automated checkout lines in supermarkets and reducing reliance on ATM machines.
  3. There is a Made in America movement to support American businesses and the families that rely on them. I imagine that in the next decade, there will be a “Made by Human Hands” movement to support those businesses who refuse to fully automate their processes so they can put a human being to work.

But that’s just what I think will happen. I’m more interested in what you have to say.  Share your thoughts?

If you love what you heard, hate what you heard or, don’t know what you just heard, I want to know about it. You can reach me at my website – www.JimStroud.com. In addition to finding source material and related information for this podcast episode, you’ll find other goodies that I hope will make you smile. Oh, before I go, please financially support this podcast with a little somethin’-somethin’ in my virtual tip jar. (There’s a link in the podcast description.) Your generosity encourages me to keep this podcast train chugging down the track. Whoot-whoot, whoot-whoot, whoot-whoot…

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When will robots replace recruiters?

17 | I break away from my typical podcast format to chat with Katrina Collier, Candidate Engagement Specialist, world-renowned speaker and my friend. As only we can, we discuss robots replacing recruiters, 4-day work weeks and cellphone addiction during a very sunny London day. Tune in to hear all the fun! Want more of Katrina Collier? (And who could blame you?) Find her at: www.thesearchologist.com

Subscribe to this podcast via your favorite podcast platform!

About the host:

Over the past decade, Jim Stroud has built an expertise in sourcing and recruiting strategy, public speaking, lead generation, video production, podcasting, online research, competitive intelligence, online community management and training. He has consulted for such companies as Microsoft, Google, MCI, Siemens, Bernard Hodes Group and a host of startup companies. During his tenure with Randstad Sourceright, he alleviated the recruitment headaches of their clients worldwide as their Global Head of Sourcing and Recruiting Strategy.  He now serves ClickIQ as its VP, Product Evangelist.

Facebook Is Not Your Friend

15 | 2018 was a banner year for data breaches and 2019 is already off to a great start. At the center of privacy scandals last year, was Facebook. It seemed like every other week there was a hacking issue or ethical misconduct around their user data. So, does this mean that Facebook usage is on the decline? In a word, no. Despite all the data drama, Facebook is doing all right. So, what does it all mean for user privacy on Facebook and other tech companies with millions of users? I discuss that and something far more concerning than hackers stealing your data, predictive analytics. Tune in to find out what I mean. | Click here for information on protecting your privacy on Facebook.  And please support my Starbucks habit by dropping something in my virtual tip jar. Thank you.

Subscribe to this podcast via your favorite podcast platform!

About the host:

Over the past decade, Jim Stroud has built an expertise in sourcing and recruiting strategy, public speaking, lead generation, video production, podcasting, online research, competitive intelligence, online community management and training. He has consulted for such companies as Microsoft, Google, MCI, Siemens, Bernard Hodes Group and a host of startup companies. During his tenure with Randstad Sourceright, he alleviated the recruitment headaches of their clients worldwide as their Global Head of Sourcing and Recruiting Strategy. His career highlights can be viewed on his website at www.JimStroud.com.

PODCAST TRANSCRIPT

Hi, I’m Jim Stroud and this is my podcast.

Well, we are in the 2nd month of 2019 and already there have been a number of data breeches. Among them, a security flaw in the online video game – Fortnite, made its 200 million users worldwide vulnerable to such hacks as taking over a gamer’s account, purchasing game currency in the user’s name and eavesdropping on game chatter. If you do an online search for “data breaches in 2018,” no doubt you would discover a seemingly endless list of search results where users’ privacy and data had been hacked or exploited in some way. So, what does that mean for the bottom line of tech companies, especially those with millions and millions and millions of active users – like Facebook? Surprisingly, nothing much. I’ll explain after this message.

To fully understand the privacy of Facebook and how it’s likely to evolve, you need to understand one thing…Facebook executives want everyone to be public. As the service evolves, executives tend to favor our open access to information, meaning information you think is private will slowly become public, but that doesn’t mean you can’t be private if you want to. Facebook gives its users the option to lock things down, but users need to be aware of their controls, how to use them and how to prepare for future Facebook privacy changes. Facebook has not and will not make information obvious, and that’s where my special offer comes in. Go to JimStroud.com/free and download “The Very Unofficial Facebook Privacy Manual.” That’s JimStroud.com/free to download your free copy of “The Very Unofficial Facebook Privacy Manual.” One last time, download it now at JimStroud.com/free Operators are standing by.

In 2018, Facebook was the poster child for data breeches. It seemed like there was a data breech or privacy related scandal every week. Here are just a few of them, in no particular order.

  • Robert Mueller, the special counsel investigating Russian interference in the 2016 election, brought to light that Facebook advertising was used in Russian schemes; albeit to minimal effect on the election, some would say. Said Facebook ads violated the prohibition on foreign spending, as well as requirements mandating the disclosure of campaign spending. End result, 13 Russian indictments. Scandalous!
  • Facebook partnered with at least 60 device makers — including Apple, Amazon, BlackBerry, Microsoft and Samsung and gave them access to the friend’s of Facebook users without their explicit consent; even after Facebook had promised to stop. Scandalous!
  • A serious security flaw gave hackers access to 50 million Facebook accounts, allowing them to control those accounts. Uh oh! Here’s another whoops…
  • It was reported that third party developers were able to see the photos of 6.8 million Facebook users; even if those photos were marked private and not intended for public view. Yikes! And finally…
  • Internal documents, discovered by the NY Times, revealed that Facebook gave Microsoft, Amazon, Spotify and others far greater access to people’s data than it had publicly disclosed; effectively exempting those business partners from its usual privacy rules.

So, with all of that drama, and even more drama I did not mention (for the sake of time), you would think that Facebook was on the decline. But, not so. Facebook is doing alright. Here’s a quote from a recent CNBC article.

This week, Facebook pleased investors by reporting a strong quarter of earnings led by impressive statistics on user activity for the fourth quarter of 2018.

In light of the social network’s recent controversies, there were a few surprises in the figures: The number of monthly Facebook users was steady in the U.S., with spikes in the Asia-Pacific region. Perhaps most surprisingly, they also rose in the European Union — where the company has endured the brunt of criticism over privacy related to the Cambridge Analytica scandal and uncertainty over General Data Protection Regulation, or GDPR.

Facebook’s success in courting users so quickly could have far-reaching impact, as other tech companies seek to understand the true consumer appetite for personal privacy.

I have to admit. I was surprised and concerned. I know people like free. I can hear them say, “Free, free, free, is good to me.” Even if it means that there is a chance, a very good chance, that your information will be hacked, already has been hacked and/or will be used to some nefarious end. So, what’s the solution? Delete Facebook? Delete Instagram? Stop using WhatsApp? Hah! No, you’re not going to do that. You might consider using false personal information on social media. I mean, what will happen to you if you if you shave 5 years off your birthdate or mention that you live in a different zip code of your city? Probably nothing, but the reality of it all is, 15 minutes from now it won’t matter. Why? Two words. Predictive analytics. I’ll explain.

NBC News shed light on something recently that I think is a thousand times more alarming than a hacker stealing your data. As of now, Facebook doesn’t need your personal information to determine exactly who you are or what you’ll do next. Every time you watch a video, like something, leave a comment, interact with a webpage that has a Facebook like button or, engage with an app that is in partnership with Facebook, Facebook is building a profile of you; but it doesn’t stop there. Facebook looks at the behavior of other users who are similar to you in terms of online behavior, demographics and merges your data with the collected data of others who act like you online. With that information they build a virtual version of you, then test that virtual version of you in a number of ways. How would this virtual version of you react to this video, react to this article, react to this photograph or, react to this political message?

Now, wrap your mind around this. Facebook’s mastery of data enables it to produce results much more powerful than traditional advertising. Here’ a quote from NBC NEWS…

… Facebook offers the chance to pay not just for a certain audience size, but an actual business outcome, like a sale, an app download, or a newsletter subscription. Once upon a time advertisers paid a “CPM” — cost per thousand views — for a marketing campaign. That was just the chance to get in front of people. Now Facebook offers a rate based on “CPA,” or “cost per action,” a once-unimaginable metric offered because the company is so confident in its understanding of people and their preferences that Facebook can essentially guarantee a certain number of people will do certain things.

Remember when I told you how Facebook takes your data, combines it with other people’s data in order to build a virtual version of you? Well, Aza Raskin, co-founder of the Center for Humane Technology was interviewed in that same NBC News article I quoted earlier and in regard to the virtual version of you I was describing, he said this…

With 2.3 billion users, “Facebook has one of these models for one out of every four humans on earth. Every country, culture, behavior type, socio-economic background,” said Raskin. With those models, and endless simulations, the company can predict your interests and intentions before you even know them.

So, its that creepy? Does it feel weird to know that Facebook can reliably predict your reaction to an advertisement based on your past online actions and the collected data of users like you? Is this enough to make you want to get off Facebook? For some of you, yes. But for the majority, no. And that makes me very afraid for the future.

If you love what you heard, hate what you heard or, don’t know what you just heard, I want to know about it. You can reach me at my website – www.JimStroud.com. In addition to finding source material and related information for this podcast episode, you’ll find other goodies that I hope will make you smile. Oh, before I go, please financially support this podcast with a little somethin’-somethin’ in my virtual tip jar. (There’s a link in the podcast description.) Your generosity encourages me to keep this podcast train chugging down the track. Whoot-whoot, whoot-whoot, whoot-whoot…

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Discussing Trump in the Workplace

#13 | What happens when politics is discussed in the workplace? A recent survey says that American workers are stressed out by any and all chatter about Donald Trump and politics in general. Despite that fact, with another presidential election on the horizon, there is no sign of that trend changing. So, what are you as a worker to do? Moreover, what can managers do (if anything) to curtail political discussions that can divide an office, much like the USA is these days? Tune in to hear my thoughts and strategies for how workers and managers can navigate these interesting times today and in the future.  | Click here for information on protecting your privacy on Facebook.  And please support my Starbucks habit by dropping something in my virtual tip jar. Thank you.

Subscribe to this podcast via your favorite podcast platform!

About the host:

Over the past decade, Jim Stroud has built an expertise in sourcing and recruiting strategy, public speaking, lead generation, video production, podcasting, online research, competitive intelligence, online community management and training. He has consulted for such companies as Microsoft, Google, MCI, Siemens, Bernard Hodes Group and a host of startup companies. During his tenure with Randstad Sourceright, he alleviated the recruitment headaches of their clients worldwide as their Global Head of Sourcing and Recruiting Strategy. His career highlights can be viewed on his website at www.JimStroud.com.

PODCAST TRANSCRIPT

Hi, I’m Jim Stroud and this is my podcast.

The 2017 Recruiter Nation Report produced by Jobvite, a recruiting software company, breaks down recruiters’ attitudes, behaviors, fears, strategies, and predictions for how to build the best companies possible — good people, good practices, and good culture. Among the survey findings was something I found a bit… startling. When recruiters are researching candidates for opportunities, 51% of the 831 US recruiters surveyed, saw political rants on a candidate’s social media as a red flag.

Should someone’s political affiliation be a matter of concern when recruiting talent? Apparently, many US recruiters think so today and with another presidential election on the horizon, I see it as a future issue as well. What happens when Trump is discussed in your office? I’ll be talking about that after this special message.

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To fully understand the privacy of Facebook and how it’s likely to evolve, you need to understand one thing…Facebook executives want everyone to be public. As the service evolves, executives tend to favor our open access to information, meaning information you think is private will slowly become public, but that doesn’t mean you can’t be private if you want to. Facebook gives its users the option to lock things down, but users need to be aware of their controls, how to use them and how to prepare for future Facebook privacy changes. Facebook has not and will not make information obvious, and that’s where my special offer comes in. Go to JimStroud.com/free and download “The Very Unofficial Facebook Privacy Manual.” That’s JimStroud.com/free to download your free copy of “The Very Unofficial Facebook Privacy Manual.” One last time, download it now at JimStroud.com/free Operators are standing by.

{End Sponsor Message}

I was so surprised to discover that so many recruiters red flag candidates based on their political views that I did my own, very unscientific poll on Twitter. The question was this, “RECRUITERS, have you ever turned down a candidate based on political beliefs you found on social media?” 21 Recruiters responded and 29% of them said yes which I thought was pretty high for such a low number of respondents. I also solicited comments from my network of recruiters and many responded openly, others privately, and this is what some of them had to say.

• One person said, “I interpret political interests much differently than political rants. I think often times people who cross boundaries of what is considered “socially acceptable” social media behavior can be viewed as a liability to corporations. Rants are usually emotionally triggered too”

• Someone else said, “This is a great illustration of why “cultural fit” should never be in a job description or ad. With all this trying to be politically correct, all the time, otherwise great candidates go unhired. On the other end of that spectrum, the calls for NOT being politically correct yields the same results. What ever happened to just focusing on human decency and skills? Social media has messed up the hiring process. It’s being abused by everyone. I believe everyone has a right to their own opinions. As long as a person isn’t putting someone else in jeopardy or harms way, let them have their views. As long as the work can get done in a manner of excellence, I don’t care what their views are. Work is for work anyway, not a place to argue politics, religion, etc.”

• And another opinion, “I guess the question Jim Stroud is would you hire someone you knew was a white supremacist [but] otherwise well qualified? I’m struggling with recruiters who regularly post something homophobic or anti Muslim. Would I hire them? Probably not”

Another reason why all this talk of politics in the workplace is of interest to me is because of the small talk I make with the business executives I meet at meeting and conferences; once they realize I can keep a secret. In one such instance, I am sitting with someone in a cafe and breaking away from business chatter to regard breaking news. On a television, a reporter is detailing news of a political protest on a college campus that has turned violent. We could not hear the reporter but, the headline on the screen told us enough for my client to comment. For whatever reason, one student attacked another for wearing a Make America Great Again hat.

“What happens if I hire one of those students?” the client asked me. “And what if one of my customers is a Trump supporter who likes to wear a MAGA hat or button? Do I have to worry about someone suing my business because one of my workers cannot control themselves? What if they are not violent but, decide to engage in political debate and offend my customer, as a result, I lose business and now I have to lay people off?”

Although I did my best to comfort him and dissuade his fears, I had to admit that his concerns were totally valid. In October of last year, Bloomberg reported a significant drop in restaurant receipts, the most since 2016. Some analysts put the blame on hurricanes that happened near that time whereas others pointed the finger at politics. If you do a search on “refused service due to maga hat,” you will find a LOT (and I do mean a lot) of search results. Here are just a few…

Three Black GOP Interns: Uber Denied Us a Ride Because of Our Trump Support
Watch: Unhinged Leftist Has Mental Breakdown, Refuses Service To Trump Supporter in Vape Shop
Woman Says Restaurant Threw Her Out Over Trump Hat
A Canadian Restaurant Refused to Serve a Man Wearing a MAGA Hat and Now Its Yelp Score is Ruined
Restaurant manager fired for refusing service to man in MAGA hat
Man Sues Bar for Refusing Service Over Trump Hat
‘Latina For Trump’ Kicked Out of Arizona Bar For Wearing Red “MAGA” Hat (VIDEO)

So, what do you do if you are a manager dealing with political discussions in your office? What do you do if you are a worker and maybe, just maybe, you came to work – to work and not deal with political discussions. Well, either way, I have a few suggestions.

Okay, managers, as much as you may want to ban all political discussion in the workplace, you cannot. My understanding is employees have the right to engage in political discussions because the National Labor Relations Board classifies such discussion as a “protected concerted activity.” However, you can intervene when discussions become disrespectful or distracting because such could be construed as a hostile work environment. And nobody wants that. Managers can also step in if those political discussions are impeding productivity; so, there’s that. Discussing politics during lunch breaks, sorry managers, your hands are tied; grin and bear it. All that being said, I am not an expert on employment law in your state (or any other state for that matter). So, my suggestions should not be regarded as legal advice. Just sayin’…

And for the workers, 3 things to think about.

Point #1: Don’t discuss politics in the office. Why? Think of your political views the same way you regard your sex life— its a personal matter, not a professional one. In a perfect world, your co-workers may know that you vote but they don’t know how you vote.
Point #2: Don’t discuss politics in the office. Why? It creates bias. You might start to make assumptions and harbor resentment towards your co-workers once you learn their political leanings, and this could lead to a less-than-harmonious working relationship that stifles productivity because you don’t want to be around them anymore. .
Point #3: Don’t discuss politics in the office. Why? It makes workers feel isolated or it could make them feel bullied. Being the only Republican, being the only Democrats, being the only Libertarian or Green Party supporter need not be awkward; just so long as you veer away from political discussions. In some cases, political discussions intersect with social issues and as such, voicing a strong opinion on such things as same-sex marriage which could lead to some employees feeling discriminated against. Make sense?

And one final word to all the Republicans, Democrats, Democratic Socialists, Libertarians, Green Party Supporters, Liberals, Conservatives, far left radicals, far right radicals and anyone else I may have missed who are working in your office and mine, buckle up, the 2020 Presidential election is coming soon. God help us all.

If you love what you heard, hate what you heard or, don’t know what you just heard, I want to know about it. You can reach me at my website – www.JimStroud.com. In addition to finding source material and related information for this podcast episode, you’ll find other goodies that I hope will make you smile. Oh, before I go, please financially support this podcast with a little somethin’-somethin’ in my virtual tip jar. (There’s a link in the podcast description.) Your generosity encourages me to keep this podcast train chugging down the track. Whoot-whoot, whoot-whoot, whoot-whoot…

Links related to this episode:

Music in this podcast