Analyst: Obama economy relies on 'temporary, flexible, and low-cost labor'
By Paul Bedard | September 5, 2014 | 10:32 am
The latest disappointing jobs report, which showed unemployment creeping up, shows that the economy continues to rely on cheap and temporary labor, according to a key financial analyst.
“Even with growing optimism of a near-term boom, it is clear the economy still has lingering barriers to overcome, particularly when it comes to still-lackluster wage growth,” said Lindsey M. Piegza, chief economist for Sterne Agee. “Despite strong headline job creation, it has not been enough to translate into upward momentum in wages as employers continue to rely on temporary, flexible, and low-cost labor,” Piegza added.
The analysis said that the economy added 142,000 jobs last month, 88,000 less than expected, and July employment was revised up slightly from 209,000 to 212,000.
Paul Bedard, the Washington Examiner's "Washington Secrets" columnist, can be contacted at pbedard@washingtonexaminer.com.
http://washingtonexaminer.com/analyst-obama-economy-relies-on-temporary-flexible-and-low-cost-labor/article/2552900
