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U.S. NEWS Saturday 24 december 2016
American Living:
Holiday splurging not an option for many workers scraping by
A. D’INNOCENZIO Inc., the nation’s largest
AP Retail Writer private employer, now
ELIZABETH, N.J. (AP) — At earn an average of $13.38
the brightly lit mall, cloth- an hour, while the average
ing stores highlight holiday hourly pay for cashiers and
sweaters and big signs tout low-level retail sales staff
the sales, while Duquan Al- across the industry is $9.26,
len keeps his expectations according to a Hay Group
in check. survey. But some groups
Allen, who works full-time say hourly employees
cleaning planes at New- across the board still don’t
ark Airport, says his mother make enough to live on.
doesn’t expect anything Their fight will face hurdles
big, and he usually gets with President-elect Don-
a hooded sweatshirt. He ald Trump’s pick for labor
plans to spend about secretary: fast-food CEO
$150 on presents for his Andrew Puzder, who has
grandmother, mother and been critical of minimum
21-year-old sister. wage increases.
“I’m good at budgeting,” “It’s a scary-looking ad-
says Allen, who makes ministration,” said Scott
$10.10 an hour. Courtney, executive vice
Heading into this holiday president of the Service
season, with gas and food Employees International
costs down, unemploy- Union.
ment at its lowest point A shopper at the Brea Mall in Brea, Calif., carries bags full of packages. Amid the holiday decora- But he said the “Fight for
since 2007 and clothing tions and cheerful ads, splurging is not an option for many Americans struggling to get by. $15” campaign that be-
prices on the decline, (Michael Goulding/The Orange County Register/AP) gan with retail and restau-
economists and retail ex- rant workers is not giving
ecutives declared it a has increased. seem very able to buy. “The U.S. economy is not up. “You are going to see
great time to be a con- Thanksgiving weekend Overall, people plan to creating high-wage jobs for a lot more opposition and
sumer. But seven years featured crowds of shop- spend about $935 per per- lower- and middle-income a lot more people taking
into the recovery, there’s pers at stores and malls, son this holiday season, ac- consumers,” said Ken Per- part.”
a stubborn divide that snapping up new TVs and cording to an NRF survey. kins, president of research Besides the hourly wage,
hourly workers see more clothing. Luxury stores have Behind that figure, though, firm Retail Metrics LLC. some workers say an issue
starkly during the holidays, promoted “feel-good” gifts there’s a split. About half of American is they can’t get enough
between themselves and like $1,000 silk pajamas. Consumers with income un- workers have seen their hours. The share of people
better-off consumers who Americans spent $3.45 bil- der $50,000 plan to spend share of overall income working part-time because
have benefited more as lion online on Cyber Mon- a little over $362 on gifts growth shrink since 1980, that’s all they can get re-
the economy improved. day, according to Adobe for their family and friends, according to a recent mains at recessionary low
“I see people traveling. I Digital Insights, and nearly while for those with income study by economists Thom- levels, according to re-
wish I could afford it,” said that much on Black Friday, of $50,000 and higher, that as Piketty, Emmanuel Saez search by Penn State pro-
Allen. the day after Thanksgiving. number is about $768. and Gabriel Zucman. In fessor and the University
Many workers are indeed The National Retail Federa- Throwing in decorations, 1980, the top 1 percent of of Illinois’ Project for Mid-
earning more. Average tion trade group expects greeting cards, flowers and adults earned on average dle Class Renewal senior
hourly earnings have holiday sales for the No- food, the difference is even 27 times more than the research analyst Lonnie
picked up 2.5 percent over vember and December larger — around $512, com- bottom 50 percent adults; Golden, published by the
the past year, and major period to rise 3.6 percent to pared to about $1,020. That now, they earn 81 times Economic Policy Institute.
retailers have raised wages $655.8 billion. divide also hasn’t budged more.
as competition for workers From the data, people since the recession. Workers at Wal-Mart Stores Continued on page 27