The private sector, business, is disinclined to hire people, that is. in creating jobs because each job is a cost.
Unless a person hired by a corporation for example can bring much more money to that firm than the operation without that specific job can do, then there's no real need to create that job.
There was a time when the manufacture of an automobile called for many more workers than is needed for that purpose today. When railroads were essential to our economy, the operating companies even went abroad to bring people here to fill the jobs required to build and operate railroads.
Within the past few years a number of corporations have shown that they could make more money by eliminating jobs. The stock market has been doing quite well even while unemployment may be rising.
The creation of jobs is not a firm's main goal. The bottom line, profit, is what corporations are in business for. The only reason that the stock market is interested in the number or the rate of employed or unemployed is that employment is a relatively good indicator of “future market demand.”
The Democratic Party, because it is social-program oriented, wants to improve the working situation and create jobs. The private sector of course, remains the largest creator of jobs.
Unions are supported by the Democratic Party because they tend to improve “working conditions.” Unions increase the cost of operations for corporations and tend to decrease management authority over workers and therefore are viewed as a negative factor, to say the least.
People elected to office who are more likely to represent business interests are just as disinclined to deal with unions and create jobs, especially within government because in the end government jobs and unions are costly and paid for by taxes.
The Republican Party wants to cut taxes and public employment and eliminate unions.
The governor of Wisconsin has proved his strong desire to do this. It would appear that this may be one of his strongest interests.
As Republicans are dominating the State government in Wisconsin, we can expect a strong movement against public employee unions and public jobs. Belated public recognition of this fact has brought reaction to the State's approach to this subject and it has brought on national attention.
The movement toward job creation by the Democratic Party is up against the movement against jobs represented by corporations and the Republican Party.
Therefore jobs in the private sector can only be created by businesses which unfortunately are disinclined to do so. And with the inability to bring in revenue within the present economy, we could ordinarily expect fewer public employees.
Subsequently where government is dominated by the party with the greatest business interest, the laying off of workers can be expected to be one of its leading and motivating activity.
Governor Walker of Wisconsin had proved his conservative credentials even before he became governor and whether knowingly or unknowingly, those people who voted for him also voted for job restriction rather job creation, or JOBS, JOBS, JOBS.
Governors like Walker will be setting the conditions for job creation in the future and these developing conditions are not looking too good.