TheUnemploymentDojo's Blog

Is America Becoming A Low Wage Nation?

Posted on: May 23, 2013

Quite the loaded question! Most reports by the Bureau Of Labor Statistics show that the majority of the jobs created are not really of equal monetary value and compensation, as the ones lost. Several factors are responsible for this.

  1. Leaps in Technology that bypass distance barriers! You can now hire from anywhere in the world.
  2. Price Inequality- The top guns get paid an arm and a leg compared to the foot soldiers!
  3. Politics-Government intervention/regulation is causing elite job migration!
  4. International tax havens/competitive rates. 12.5% corporate tax versus 25%
  5. Brain Drain- The brightest are migrating back to their motherland for greener pastures!
  6. BRICS economy-Brazil,Russia,China,India and South Africa. Also know as emerging markets.
  7. Low ROI of 0.5-3% versus emerging/developing markets where average ROI could go up to 25%
  8. Change in economic currency from industrial age to information age to relationship age.

So all these are just some of the causes of the low wage economy.  Truth be told, unions were the solution to a lot of the above problems as they leveraged income inequality back in the 60’s and part 70’s until the credibility of the leaders deteriorated . Now not all union leaders are/were corrupt but the few that were, left such a bad memory in most people’s minds that to this date, union enrollment  is still being heavily affected.

So what is the solution?

This is not a walk in the park kind of problem, and everyone knows that it exists, but no one really wants to address it.

Some of the proposed solutions include

  1. Innovation
  2. Government Intervention
  3. Union accountability and direction

and these are all nice and dandy but none of them really address the greatest impact on improvement that can move the community at large! The Individual! The Citizen of the nation.


See the strength of a nation/economy is not determined by it’s military prowess, but by the attitude of the individual soldier who affects the army at large.When you look at the intra-cellular activity in your body, there lies the blueprint of how a nation can become competitive once again. The attitude of the individual has to change first and foremost before any improvement can take place. Most people right now if they were to get a windfall of money would use it to either pay of debt or save up! That speaks volumes about the attitude of the consumer! For the economics to spiral, the consumer needs to be in the stores spending! There will never be an opportune time to spend as this one. Low interest rates, fear of the unknown and the hoarding of cash! As far as injustices being the cause, they will never cease from the time Adam was created! Stomp one out and another one buds!Your work as a citizen of this nation and any nation at large is to focus on how you can leave an impact that is beneficial to you, your community and your generation at large. You owe us that!

Innovation which is probably the most accessible and easiest to implement can only be initiated through the right mindsets, the right environments and the right support. Greatness is never achieved by receiving, but quite on the contrary it is honored by giving. If we do more accommodating and less judging, more assisting than demanding then the flow of abundance will naturally resonate with not only the individual, but the community at large. The soft skills as per Daniel Pink’s book “A Whole New Mind” are suddenly more dominant than  the hard core left brained skills that were previously valuable ! The beauty here being, you don’t need a college education for that! Though you will need the greatest tool for innovation to take place, insight! We live in an economy now where the greatest compensation is awarded to the individual with the greatest empathy and insight to his surroundings!  It is this same empathy that triggers innovation. Empathy for what is versus what can be and you too can join in this abundance but you have to be fed up with the status quo otherwise you are the status quo!


If you have any comments and ideas, please share them with community below as the thought you hide, is not the one that makes a difference in someone else’s life!

I will be attending a town hall meeting this evening about this exact same topic and will report the conversation on a blog post next week!


Lee Kariuki

PS: Tell me what you think below!


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Lee Kariuki
1-888-MY-ETHER ext. 04466282

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