How Many Hours Should A 1 Month Old Be Awake Worker Shortage Might Be Excellent News For The Economy

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Worker Shortage Might Be Excellent News For The Economy

Shortage of manpower can be good news for the economy! Maybe, just maybe, companies will wake up and see the significant contribution employees make to their success. Some CEOs take exorbitant sums and destroy the value of their companies, unlike many front-line employees who create value. During the pandemic, CEOs took huge sums when they fired employees. Some companies filed for bankruptcy protection, but the cap didn’t stop their greedy CEOs from grabbing hefty bonuses.

We have a shortage of workers and companies are trying to hire whoever they want. Some companies like McDonalds have paid signing bonuses. Canada’s Loblaw and its competitors paid frontline workers a bonus when the pandemic began. They discontinued it after three months along with their competitors. When the government confronted them about this collusion, they claimed it was done independently. Find out! It’s like you got a three-year-old’s hand in a cookie jar and he said, “Mommy, ‘Cookie Monster did it!’

Labor shortage inevitable with bad treatment

Loblaw’s behavior disturbs me. During the bonus period, profits increased sharply. In itself, It is not a problem. I support profitable companies. I’m sure I’m against taxing government profits. But paying employees a bonus during a pandemic should not depend on profits. It was just right. In the meantime, my wife and I shopped at a Loblaw store, and the employees continued to provide excellent service despite Loblaw’s low turnover.

Managers need to understand that front-line employees are the foundation of the company and treat them well, not as cogs giving bonuses to CEOs! When employers treat employees like machines, they disengage. Gallup said that over several decades, they and other researchers have found a strong link between employee workplace engagement and overall company performance. However, employers do not accept this. But there is good news: research shows that some companies are breaking the mold and treating employees with respect: Cisco, Apple, Accenture, IBM, FedEx there are a few.

The next quarter’s result drives companies

Companies see the next quarter as a reward, so they exploit workers and waste the next quarter’s numbers. I repeat: I am against the government taxing business. However, I agree Biden is building back better A provision on the taxation of share buybacks was passed by Parliament and is in the Senate, although it may have only a modest impact on share buybacks. Companies shouldn’t be spending billions on share buybacks while laying off workers.

Companies must present options for using buyback funds to the general meetings. Options may include paying front-line workers bonuses with buyback funds. Shareholders should also hear about possible strategic investments. Another option is to stop buybacks for five years after layoffs. Also, managers should not receive bonuses within five years of layoffs. We need to get rid of the exploitation of workers that increases CEO compensation.

The capitalism of business round table stakeholders disappeared

The Business Round Table (BRT) had a revelation in 2019 and decided that maximizing shareholder value is not the only purpose of the company. It said the 1980s metrics are wrong. I wrote then that BRT “… came up with lovely platitudes about managing stakeholders and quickly abandoned it and went back to their greedy practices…” They continued to move away from those bromides during the pandemic.

May the labor shortage continue! It might be the force to liberate companies from myopic, greedy incompetent CEOs. While scarcity creates disruptions in supply chains and elsewhere, the creativity of workers, if allowed, solves these challenges. Here’s the million dollar question: Are enough companies deciding to ditch the quarterly rat race and focus on building a strong business for the long term?

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