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Silicon Valley wages have dropped for non-tech jobs

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Re: Silicon Valley wages have dropped for non-tech jobs

#41

Post by x3n0ph3n3 »

empath75 wrote: post #36
Barrin92 wrote: post #21

Earlier quoted context omitted.

the jobs that are mentioned in the article that are being hit the hardest are teachers, firefighters, caretakers and so forth. How many of those have been automated away? It seems that tech workers in the valley have found their own analog to blaming immigrants for downward wage pressure, their particular boogeyman seems to be the robots. No, the answer is much more trivial. As the article points out, the huge influx…

I think there’s a step missing in the analysis there. If tech workers are spending all this money — what are they spending it _on_? If they’re spending it locally shouldn’t that increase wages locally?

We're spending it on housing, mostly.

Re: Silicon Valley wages have dropped for non-tech jobs

#42

Post by jchrisa »

empath75 wrote: post #36
Barrin92 wrote: post #21

Earlier quoted context omitted.

the jobs that are mentioned in the article that are being hit the hardest are teachers, firefighters, caretakers and so forth. How many of those have been automated away? It seems that tech workers in the valley have found their own analog to blaming immigrants for downward wage pressure, their particular boogeyman seems to be the robots. No, the answer is much more trivial. As the article points out, the huge influx…

I think there’s a step missing in the analysis there. If tech workers are spending all this money — what are they spending it _on_? If they’re spending it locally shouldn’t that increase wages locally?

Rent. Are the landlords local?

Re: Silicon Valley wages have dropped for non-tech jobs

#43

Post by hiram112 »

Barrin92 wrote: post #21
lupire wrote: post #6

The author almost noticed Simpson's paradox: > Surprisingly, the UC Santa Cruz study suggests that employment in low wage industries is growing. The share of worker in jobs considered low-wage in 1997 grew 25 percent over the next 20 years, while the percent working in middle- and high-wage jobs declined. The problem isn't that wages are dropping for certain work; the problem is that middle-wage jobs are being automa…

the jobs that are mentioned in the article that are being hit the hardest are teachers, firefighters, caretakers and so forth. How many of those have been automated away? It seems that tech workers in the valley have found their own analog to blaming immigrants for downward wage pressure, their particular boogeyman seems to be the robots. No, the answer is much more trivial. As the article points out, the huge influx…

> It seems that tech workers in the valley have found their own analog to blaming immigrants for downward wage pressure, their particular boogeyman seems to be the robots.

While you'll no doubt continue telling the deplorables that they're racist and xenophobic for failing to welcome their currency and cost-of-living arbitraging foreign-replacements with open arms, could you at least refrain from pretending that the basic laws of economics (i.e supply and demand) no longer exist?

Immigrants increase the supply of labor, and thus lower wages. That's not a boogieman. It's a fact.

Re: Silicon Valley wages have dropped for non-tech jobs

#44

Post by gr33nman »

claydavisss wrote: post #9
kuyaab wrote: post #3

It’s incredible how hard it’s been for retail and service companies to recruit lower-wage workers her in the South Bay. Mike Rowe and tech execs love to talk about skills gaps, but the fact is most jobs aren’t filled because the compensation these positions offer is garbage.

They're trapped - probably unable to even scrape together the money to move. Moving is expensive! You need the money not only to relocate, but also to tide you over until you find work. Casual mobility is for the wealthy.

Not to mention that less wealthy people often rely on extended family for support such as childcare. For many people, leaving family behind is a risk not worth taking.

Re: Silicon Valley wages have dropped for non-tech jobs

#45

Post by grandmczeb »

Barrin92 wrote: post #21
lupire wrote: post #6

The author almost noticed Simpson's paradox: > Surprisingly, the UC Santa Cruz study suggests that employment in low wage industries is growing. The share of worker in jobs considered low-wage in 1997 grew 25 percent over the next 20 years, while the percent working in middle- and high-wage jobs declined. The problem isn't that wages are dropping for certain work; the problem is that middle-wage jobs are being automa…

the jobs that are mentioned in the article that are being hit the hardest are teachers, firefighters, caretakers and so forth. How many of those have been automated away? It seems that tech workers in the valley have found their own analog to blaming immigrants for downward wage pressure, their particular boogeyman seems to be the robots. No, the answer is much more trivial. As the article points out, the huge influx…

> As the article points out, the huge influx of capital in the area is being returned only to the tech sector, who merrily spend it and drive up the cost of living.

Most of the cost of living increase is due to bone-headed housing polices happily voted in by existing residents, the vast majority of which do not work in tech. I personally find it very sad that we've prioritized rewarding a tiny, vocal minority at the expense of literally everyone else, but it seems a large number of people would rather point fingers at the villian-of-the-day than change anything.

Re: Silicon Valley wages have dropped for non-tech jobs

#46

Post by CydeWeys »

I have when the news writes an entire article around a single report, but then fails to link to that report. You had one job ...

Anyway, here's the report in question: http://www.everettprogram.org/main/wp-content/uploads/TIGHTR...

Reading the fine details of the report, you see that the top-line metric is real income, adjusted for inflation and local cost of living. And the #1 factor that's proved ruinous to local cost of living in the Bay Area these past two decades is of course housing prices. If zoning restrictions were relaxed and more housing was allowed to be built, costs would be reduced and a lot of these problems would be solved. The Bay Area has a critical lack of housing, which is driving all these prices up and causing most of the decline in CoL-adjusted non-tech wages.

Re: Silicon Valley wages have dropped for non-tech jobs

#47

Post by dmode »

claydavisss wrote: post #10
jjtheblunt wrote: post #8

Meanwhile Nancy Pelosi and company keep on taxing to support inefficient bureaucracy

A little trollish, but now that Democrats have a veto-proof majority (meaning Gavin Newsom is really just a spokesperson, his opinion is irrelevant, he cannot veto legislation), Californians only have one party to ask why the State is the way it is....the #1 poverty State. Not only can Californians no longer blame Republicans (there basically aren't any left in the State), they can't even blame the Governor...he is t…

California is NOT the "#1 poverty state".

- California is #10 when it comes median income (which is really remarkable as the 9 other states are tiny and CA has 40mn people) [https://en.wikipedia.org/wiki/List_of_U.S._states_and_territ...] - California is #16 by per capita income - California is #1 by total GDP - California is #8 by per capita GDP [https://en.wikipedia.org/wiki/List_of_U.S._states_by_GDP_per...] - California is #35 in poverty rate by household income [https://en.wikipedia.org/wiki/List_of_U.S._states_and_territ...]

The only measure where California is "#1 poverty state" is by supplemental income measure. And the reason is due to high housing costs in coastal California. And this also is an incorrect measure, as poverty in CA is not entrenched in coastal areas.

So, I guess, the Democrats can gloat for stupendously high GDP, median income, per capita income. And blame themselves for high housing costs.

Reasons for high housing costs have been well documented and researched and it includes a combination of factors such as income, demand, NIMBY, regulations, traffic, crowding etc. There is definite movement towards building more housing now and I think the next decade will definitely see more housing being built.

Re: Silicon Valley wages have dropped for non-tech jobs

#48

Post by theDoug »

empath75 wrote: post #36
Barrin92 wrote: post #21

Earlier quoted context omitted.

the jobs that are mentioned in the article that are being hit the hardest are teachers, firefighters, caretakers and so forth. How many of those have been automated away? It seems that tech workers in the valley have found their own analog to blaming immigrants for downward wage pressure, their particular boogeyman seems to be the robots. No, the answer is much more trivial. As the article points out, the huge influx…

I think there’s a step missing in the analysis there. If tech workers are spending all this money — what are they spending it _on_? If they’re spending it locally shouldn’t that increase wages locally?

An area it's being spent on is rent at properties largely owned by property firms.

In the case of the building I live in (in "downtown" Sunnyvale), the three front office workers and two maintenance persons come nowhere near making a dent in the $4.5 million in income this one property earns yearly. Can't speak to the wages of the staff in the other >12 buildings in the portfolio, but the folks keeping this place running aren't driving Teslas.

Re: Silicon Valley wages have dropped for non-tech jobs

#49

Post by StudentStuff »

yjhoney wrote: post #34

I started a nonprofit 2 years ago (garagescript.org) that hires low income people in San Jose and their full time job is to learn how to code and teach new students. Our nonprofit started off with 20 students, most were making about 25k/year and had no coding experience. I paid each of them 2k / month to quit their jobs and focus on coding full time. From the original 20 students, 6 are left. The other 14 are all ful…

This seems like a great model, and your a kind person to burn through all your savings and 401k to build a nonprofit that helps some of the most disadvantaged among us. Hopefully more than a few of us will support your efforts!

Re: Silicon Valley wages have dropped for non-tech jobs

#50

Post by snazz »

yjhoney wrote: post #34

I started a nonprofit 2 years ago (garagescript.org) that hires low income people in San Jose and their full time job is to learn how to code and teach new students. Our nonprofit started off with 20 students, most were making about 25k/year and had no coding experience. I paid each of them 2k / month to quit their jobs and focus on coding full time. From the original 20 students, 6 are left. The other 14 are all ful…

You should post this as a Show HN. That’s a wonderful idea. I’m sure many people would gladly donate.
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