http://www.reuters.com/article/2012/12/05/us-productivity-fastest-idUSBRE8B40LY20121205 (Reuters) - Nonfarm productivity increased at a much faster clip than initially thought in the third quarter as businesses held the line on hiring even as output surged, with unit labor costs falling at their fastest pace in almost a year. Why hire when one person can do the job of 3 people a couple of years ago. And with march of technology continuing, 1 person will be able to do the job of 10 people. So Now what do we do with the surplus population that is unnecessary in this new 21st century economy? As more companies invest in productivity enhancing tech & strategies, expect this trend to continue.
as the government puts more regulatory burdens on employers, less workers will be hired, particularly the unskilled and the inexperienced.
1) Many salaried people may be working a lot of "unpaid overtime" which boosts productivity. :eek: 2) Governments can still hire "surplus population" where 10 people perform the job of one person. The ratio could increase to 12-to-1.
You still do not get it. What is the point of hiring 3 people if one person can do the job of 3. No company is going to hire people so they can just sit around twiddling their thumbs.