Monopolies Take a Fifth of Your Wages
https://home.treasury.gov/system/files/136/State-of-Labor-Market-Competition-2022.pdf
The data in the report is quite useful, even if the writing is that of a book report recitation of what some economists have written over the last few years. Here are five different facts from the report on employer restrictions of wages.
https://home.treasury.gov/system/files/136/State-of-Labor-Market-Competition-2022.pdf
The data in the report is quite useful, even if the writing is that of a book report recitation of what some economists have written over the last few years. Here are five different facts from the report on employer restrictions of wages.
- 56.2% of non-union employees, or about 60 million workers, are subject to mandatory arbitration agreements.
- Nearly two-thirds of workers at firms with at least 1,000 employees are subject to mandatory arbitration clauses.
- Academic studies place the decrease in wages due to monopoly power at roughly 20% relative to the level in a fully competitive market. In some industries and occupations, like manufacturing, estimates of wage losses are even higher.
- A recent paper estimates that one-in-five workers is currently subject to non-compete agreements and double that number report having been bound by a non-compete agreement in the past.
- The labor market has become “fissured,” a wide variety of roles ranging from cafeteria workers and janitors to lawyers that were once “in-house” are now contracted out. This domestic outsourcing is estimated to reduce wages from 4 percent to 24 percent in some industries and occupations.
