Business

Opinion: Recent strikes show the crisis in Americans' working lives

Published

12 months ago

January 3, 2025

Opinion: Recent strikes show the crisis in Americans' working lives

Chances are slim that the dual strikes at Starbucks stores and Amazon warehouses around the country disrupted your holiday season. By most accounts, packages arrived on schedule, while consumers jonesing for Iced Brown Sugar Oat Milk Shaken Espressos almost certainly managed to find sugar and succor elsewhere. Still, the issues at the heart of the strikes offer a way into understanding how fundamentally broken the terms of work are in the United States.

Whether you log shifts behind a counter, work a classroom or factory floor or sit at a desk, the current battles over opportunity have not only ensnared more Americans than ever, but have undercut the social mobility that was once essential to America’s concept of itself.

In 2023, an economic opportunity poll by Gallup found that 39% of Americans believed that they were failing to get ahead despite working hard. That figure in 2002: 23%. The failure of hard work to pay off in America makes our communities wobbly, our faith weak, our lives lonely, our politics toxic and our relationship with work masochistic and unsustainable.

In lobbying for a higher quality of life, for example, one of the top grievances raised by striking Starbucks workers was unpredictable scheduling, a popular practice in which employers don’t set worker schedules more than a few days (or even hours) in advance. “Employees in lower-wage industries are increasingly at the mercy of scheduling algorithms designed to maximize efficiency and minimize labor costs,” Rebecca Plevin noted last year. “When staffing doesn’t match expected customer demand, workers might be called in at the last minute or sent home early.” Anyone with email on their phone knows how work can bleed into off-hours, but for those working second or third jobs, enrolled in training, college or certification courses, providing steady childcare or simply hoping to spend time with family or friends, a lack of predictable hours makes the basic patterns of life erratic.

Problems like these tend to compound quickly. Although some cities, like Los Angeles, have passed predictive scheduling ordinances, that hasn’t solved the problem of workers not knowing how much income they’ll bring in each month. Known as income volatility, the phenomenon of fluctuating paychecks and family incomes has become at least twice as common since 1970 and now affects roughly a third of U.S. households.

Set off in part by the rise of gig work, “perma-lancing” and jobs without a set number of hours, the unreliable nature of wages has all kinds of consequences beyond sending families scrambling to adjust when the bottom of their budget falls out. “I have to beg my manager to ensure I’m scheduled for at least 20 hours of work a week,” Arloa Fluhr, a Starbucks barista in Illinois, wrote of her decision to strike last month. “If I don’t meet those 20 hours every week, I could lose my benefits and the health insurance I rely on to care for my three children, including my 10-year-old daughter, who has type 1 diabetes.”

Beyond the financial stress, unstable wages can make it impossible to save money, make long-term plans and get access to credit. A family with unpredictable earnings might qualify for public assistance one month and then breach the income threshold and be disqualified another. “Families close to the eligibility threshold for food stamps who had more volatile incomes were less likely to utilize this benefit in the years that they qualified for it,” a 2022 report from the Federal Reserve Bank of St. Louis found, adding that nearly 1 in 5 eligible families don’t sign up for food stamps (formally known as the Supplemental Nutrition Assistance Program).

And while many of the quality-of-life issues may sound academic or abstract, they manifest in fundamental problems of the everyday and in a degradation of experience for everyone, everywhere. Complaints of chronic employee overwork and understaffing aren’t limited to fulfillment centers, chain coffee shops or fast-food restaurants, but also are pervasive at hospitals, schools and air traffic control facilities. For obvious reasons, a staff retention problem at the Secret Service captured headlines last year. One recent workforce survey found that roughly half of all U.S. workers said their workplaces are understaffed, with 43% of workers considering leaving their jobs.

Ultimately, the shortcomings of our work standards hurt everyone, including executives focused on the bottom line. Using data from the Bureau of Labor Statistics, Gallup put a conservative price tag of a staggering $1 trillion on the replacement cost of employees who voluntarily leave their jobs in the United States each year. Including factors such as low morale and lost worker knowledge, lower productivity and recruitment and training expenses, it estimated that the “cost of replacing an individual employee can range from one-half to two times the employee’s annual salary.”

The context for the Amazon warehouse strikes highlights the absurdity of this dynamic. According to internal company documents made public in 2022, Amazon suffers from a 150% worker-attrition rate annually, roughly double the industry average. In simpler terms, only one out of every three workers hired by Amazon in 2021 managed to stay with the company for more than three months. This level of workforce bleed cost the e-commerce giant a mind-boggling $8 billion in profits. In addition to showing that twice as many workers were leaving voluntarily as would be expected, the documents also highlighted worries that the company might run out of potential hires in certain markets because it had cycled through so much of the workforce.

This brings us back to the strikes. Depending on where you live, the appearance of worker-led protests and work stoppages may seem like constant fixtures of the landscape. They’re not. Despite union visibility and record-high popularity in the U.S., membership in unions currently hovers at an all-time low. With more meaningful protections against wage theft or basic benefits like paid sick leave, guaranteed time off and affordable healthcare elusive, businesses largely maintain the power to dictate the terms of work culture in the United States. And as we’re all seeing, they’re doing a terrible job.

Adam Chandler is the author of “Drive-Thru Dreams” and the forthcoming “99% Perspiration: A New Working History of the American Way of Life,” from which this article is adapted.

Business

U.S. Space Force awards $1.6 billion in contracts to South Bay satellite builders

Published

6 hours ago

December 20, 2025

Press Room

U.S. Space Force awards .6 billion in contracts to South Bay satellite builders

The U.S. Space Force announced Friday it has awarded satellite contracts with a combined value of about $1.6 billion to Rocket Lab in Long Beach and to the Redondo Beach Space Park campus of Northrop Grumman.

The contracts by the Space Development Agency will fund the construction by each company of 18 satellites for a network in development that will provide warning of advanced threats such as hypersonic missiles.

Northrop Grumman has been awarded contracts for prior phases of the Proliferated Warfighter Space Architecture, a planned network of missile defense and communications satellites in low Earth orbit.

The contract announced Friday is valued at $764 million, and the company is now set to deliver a total of 150 satellites for the network.

The $805-million contract awarded to Rocket Lab is its largest to date. It had previously been awarded a $515 million contract to deliver 18 communications satellites for the network.

Founded in 2006 in New Zealand, the company builds satellites and provides small-satellite launch services for commercial and government customers with its Electron rocket. It moved to Long Beach in 2020 from Huntington Beach and is developing a larger rocket.

“This is more than just a contract. It’s a resounding affirmation of our evolution from simply a trusted launch provider to a leading vertically integrated space prime contractor,” said Rocket Labs founder and chief executive Peter Beck in online remarks.

The company said it could eventually earn up to $1 billion due to the contract by supplying components to other builders of the satellite network.

Also awarded contracts announced Friday were a Lockheed Martin group in Sunnyvalle, Calif., and L3Harris Technologies of Fort Wayne, Ind. Those contracts for 36 satellites were valued at nearly $2 billion.

Gurpartap “GP” Sandhoo, acting director of the Space Development Agency, said the contracts awarded “will achieve near-continuous global coverage for missile warning and tracking” in addition to other capabilities.

Northrop Grumman said the missiles are being built to respond to the rise of hypersonic missiles, which maneuver in flight and require infrared tracking and speedy data transmission to protect U.S. troops.

Beck said that the contracts reflects Rocket Labs growth into an “industry disruptor” and growing space prime contractor.

Business

California-based company recalls thousands of cases of salad dressing over ‘foreign objects’

Published

18 hours ago

December 19, 2025

Press Room

California-based company recalls thousands of cases of salad dressing over ‘foreign objects’

A California food manufacturer is recalling thousands of cases of salad dressing distributed to major retailers over potential contamination from “foreign objects.”

The company, Irvine-based Ventura Foods, recalled 3,556 cases of the dressing that could be contaminated by “black plastic planting material” in the granulated onion used, according to an alert issued by the U.S. Food and Drug Administration.

Ventura Foods voluntarily initiated the recall of the product, which was sold at Costco, Publix and several other retailers across 27 states, according to the FDA.

None of the 42 locations where the product was sold were in California.

Ventura Foods said it issued the recall after one of its ingredient suppliers recalled a batch of onion granules that the company had used n some of its dressings.

“Upon receiving notice of the supplier’s recall, we acted with urgency to remove all potentially impacted product from the marketplace. This includes urging our customers, their distributors and retailers to review their inventory, segregate and stop the further sale and distribution of any products subject to the recall,” said company spokesperson Eniko Bolivar-Murphy in an emailed statement. “The safety of our products is and will always be our top priority.”

The FDA issued its initial recall alert in early November. Costco also alerted customers at that time, noting that customers could return the products to stores for a full refund. The affected products had sell-by dates between Oct. 17 and Nov. 9.

The company recalled the following types of salad dressing:

Creamy Poblano Avocado Ranch Dressing and Dip
Ventura Caesar Dressing
Pepper Mill Regal Caesar Dressing
Pepper Mill Creamy Caesar Dressing
Caesar Dressing served at Costco Service Deli
Caesar Dressing served at Costco Food Court
Hidden Valley, Buttermilk Ranch

Business

They graduated from Stanford. Due to AI, they can’t find a job

Published

1 day ago

December 19, 2025

Press Room

They graduated from Stanford. Due to AI, they can’t find a job

A Stanford software engineering degree used to be a golden ticket. Artificial intelligence has devalued it to bronze, recent graduates say.

The elite students are shocked by the lack of job offers as they finish studies at what is often ranked as the top university in America.

When they were freshmen, ChatGPT hadn’t yet been released upon the world. Today, AI can code better than most humans.

Top tech companies just don’t need as many fresh graduates.

“Stanford computer science graduates are struggling to find entry-level jobs” with the most prominent tech brands, said Jan Liphardt, associate professor of bioengineering at Stanford University. “I think that’s crazy.”

While the rapidly advancing coding capabilities of generative AI have made experienced engineers more productive, they have also hobbled the job prospects of early-career software engineers.

Stanford students describe a suddenly skewed job market, where just a small slice of graduates — those considered “cracked engineers” who already have thick resumes building products and doing research — are getting the few good jobs, leaving everyone else to fight for scraps.

“There’s definitely a very dreary mood on campus,” said a recent computer science graduate who asked not to be named so they could speak freely. “People [who are] job hunting are very stressed out, and it’s very hard for them to actually secure jobs.”

The shake-up is being felt across California colleges, including UC Berkeley, USC and others. The job search has been even tougher for those with less prestigious degrees.

Eylul Akgul graduated last year with a degree in computer science from Loyola Marymount University. She wasn’t getting offers, so she went home to Turkey and got some experience at a startup. In May, she returned to the U.S., and still, she was “ghosted” by hundreds of employers.

“The industry for programmers is getting very oversaturated,” Akgul said.

The engineers’ most significant competitor is getting stronger by the day. When ChatGPT launched in 2022, it could only code for 30 seconds at a time. Today’s AI agents can code for hours, and do basic programming faster with fewer mistakes.

Data suggests that even though AI startups like OpenAI and Anthropic are hiring many people, it is not offsetting the decline in hiring elsewhere. Employment for specific groups, such as early-career software developers between the ages of 22 and 25 has declined by nearly 20% from its peak in late 2022, according to a Stanford study.

It wasn’t just software engineers, but also customer service and accounting jobs that were highly exposed to competition from AI. The Stanford study estimated that entry-level hiring for AI-exposed jobs declined 13% relative to less-exposed jobs such as nursing.

In the Los Angeles region, another study estimated that close to 200,000 jobs are exposed. Around 40% of tasks done by call center workers, editors and personal finance experts could be automated and done by AI, according to an AI Exposure Index curated by resume builder MyPerfectResume.

Many tech startups and titans have not been shy about broadcasting that they are cutting back on hiring plans as AI allows them to do more programming with fewer people.

Anthropic Chief Executive Dario Amodei said that 70% to 90% of the code for some products at his company is written by his company’s AI, called Claude. In May, he predicted that AI’s capabilities will increase until close to 50% of all entry-level white-collar jobs might be wiped out in five years.

A common sentiment from hiring managers is that where they previously needed ten engineers, they now only need “two skilled engineers and one of these LLM-based agents,” which can be just as productive, said Nenad Medvidović, a computer science professor at the University of Southern California.

“We don’t need the junior developers anymore,” said Amr Awadallah, CEO of Vectara, a Palo Alto-based AI startup. “The AI now can code better than the average junior developer that comes out of the best schools out there.”

To be sure, AI is still a long way from causing the extinction of software engineers. As AI handles structured, repetitive tasks, human engineers’ jobs are shifting toward oversight.

Today’s AIs are powerful but “jagged,” meaning they can excel at certain math problems yet still fail basic logic tests and aren’t consistent. One study found that AI tools made experienced developers 19% slower at work, as they spent more time reviewing code and fixing errors.

Students should focus on learning how to manage and check the work of AI as well as getting experience working with it, said John David N. Dionisio, a computer science professor at LMU.

Stanford students say they are arriving at the job market and finding a split in the road; capable AI engineers can find jobs, but basic, old-school computer science jobs are disappearing.

As they hit this surprise speed bump, some students are lowering their standards and joining companies they wouldn’t have considered before. Some are creating their own startups. A large group of frustrated grads are deciding to continue their studies to beef up their resumes and add more skills needed to compete with AI.

“If you look at the enrollment numbers in the past two years, they’ve skyrocketed for people wanting to do a fifth-year master’s,” the Stanford graduate said. “It’s a whole other year, a whole other cycle to do recruiting. I would say, half of my friends are still on campus doing their fifth-year master’s.”

After four months of searching, LMU graduate Akgul finally landed a technical lead job at a software consultancy in Los Angeles. At her new job, she uses AI coding tools, but she feels like she has to do the work of three developers.

Universities and students will have to rethink their curricula and majors to ensure that their four years of study prepare them for a world with AI.

“That’s been a dramatic reversal from three years ago, when all of my undergraduate mentees found great jobs at the companies around us,” Stanford’s Liphardt said. “That has changed.”