the split between American workers and the companies that employ them is widening
That gulf helps explain why stock markets are thriving even as the economy is barely growing and unemployment remains stubbornly high.
With millions still out of work, companies face little pressure to raise salaries
in this recovery, corporations have captured an unusually high share of the income gains,
The U.S. corporate sector is in a lot better health than the overall economy
The result has been a golden age for corporate profits, especially among multinational giants
As a percentage of national income, corporate profits stood at 14.2 percent in the third quarter of 2012, the largest share at any time since 1950, while the portion of income that went to employees was 61.7 percent, near its lowest point since 1966.
Corporate earnings have risen at an annualized rate of 20.1 percent since the end of 2008,
disposable income inched ahead by 1.4 percent annually over the same period
“There hasn’t been a period in the last 50 years where these trends have been so pronounced,”
At 218,300 employees, United Technologies’ work force is virtually unchanged from seven years ago, even though annual revenue soared to $57.7 billion in 2012 from $42.7 billion in 2005. That 57.7 Billion comes mostly from US taxpayers paying for their military jet engines with the cracked blades.
four days after the company’s shares soared past $90 to a record high last month, United Technologies confirmed it would eliminate an additional 3,000 workers this year, on top of 4,000 let go in 2012
3M, based in Minnesota, has grown substantially in recent years, rising to 87,677 last year from 76,239 in 2007. But of those 11,438 positions added, only 608 were in the United States.
“The Federal Reserve has done a good job stimulating financial conditions and lifting the market,” he said. “It’s been less successful in stimulating job growth.”