We are getting closer to 1984 and Brave New World, where people work but that has nothing to do with the cost of living, rather something they just have to do. In this article in the Guardian, Nina Power analyses the disparity between the value add workers bring, to the amount of wages they take home.
The theory has been that if companies retain a higher percentage of profits, investment will grow. Looking at the data gives another picture: as wages plummet, partly thanks to the influx of workers from Easter Europe, firms take on more staff to do menial jobs rather than automate.
And the gap between wages for workers and the top-end salaries widens.
Sadly, this is a very negative preparation for peak oil. Reduce wages as far as possible so that workers can become cheap replacements for automation.
In a related post by Guardian’s Economic Editor, LARRY ELLIOT, he explains why more jobs may be bad for British workers. Low wage and falling investment are symptoms of a failing economy.