Remote work has been a common topic in the workplace for well over the past year and a half. With remote work comes the topic of where these workers will work when not physically present in the office. A recent article from Vox takes a look at the topic and where (or rather where not) many of these workers have chosen to live in the age of the remote workplace.
As always, below are a couple articles that caught my eye this week.
Southwest Airlines Raises Hourly Pay Rate to $15/Hour for 7,000 Workers
Effective August 1, Southwest Airlines is expected to raise the hourly pay rate for nearly 7,000 workers to $15/hour. The move, intended to attract and retain workers, comes as the company sees a ramp up in travel following well over a year of slowdowns as a result of the coronavirus pandemic. Will other airlines follow suit? Perhaps, but with Southwest being one of the few airlines to post a profit in Q1, others such as Delta, American, and United might not have the funds to do so.
Survey: Support For Passage of PRO Act Wanes
A recent study of 1,000 voters took stock of how they view the Protecting the Right to Organize Act (“PRO Act”) (a friendly, and I do mean friendly, labor law bill pending in Congress). For those unfamiliar with the PRO Act, it would do away with right to work laws in the 27 states that have enacted such legislation, it would prohibit employers from holding mandatory meetings to counter unionization efforts, and would strengthen the ability of workers to join unions, among other measures. However, according to this recently released survey, 70% of respondents said they are concerned that the PRO Act would abolish the right to work laws. As well, 68% of respondents answered that they were concerned the PRO Act would hamper the ability of small businesses to obtain legal advice on labor law matters. While the PRO Act has cleared the House, it is pending in the Senate with a continually diminishing chance of being approved.
Workers Leaving Big Cities Are Not Necessarily Destined For the Midwest
The flow of workers out of big cities such as New York City and San Francisco became a common topic following the increase in remote work during the coronavirus pandemic. While some workers relocated to more remote (and significantly cheaper parts of the country) given their flexible work arrangements, this recent article from Vox suggests that many workers did not move too far from their major cities of employment. For instance, many workers in the Bay Area relocated to the suburbs rather than somewhere in the Midwest. The reason? While many employers did/continue to offer remote work options, more and more employers are switching to a hybrid model: a few days working in the office and a few days working remotely. It goes without saying that having to commute from Topeka, KS to San Francisco or Gloucester, MA to New York City a few days a week is not feasible. Sorry to those in the Midwest expecting to see an influx of workers from the coasts...that does not appear to be happening in any large scale.
Hiring Bonuses: Not All They Are Cracked Up To Be?
NPR published a recent article in which it recognized the growing trend among employers, large and small, that are using hiring bonuses to lure workers. Readers might have heard that many jobs, predominately hourly positions, struggling to find workers as many choose to instead receive unemployment or COVID related benefits instead. However, while many employers are utilizing hiring bonuses, the article notes this one time pay boost does little to actually lift the long term wages of workers. A one time cash influx upon hiring is often not as beneficial in the long run compared to higher wages. Granted, I do not think anyone would turn down a hiring bonus...but maybe this is not the solution to the labor shortage in many industries.
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