Posts tagged Labor Market
Op-ed: AI isn’t replacing workers. It’s creating bosses.
August 4, 2026 // Palagashvili posits that solo self-employment could be growing due to AI. The paper considers the industries with the highest AI adoption rates and likelihood of AI exposure: professional services, information, education, finance and insurance. It uses construction and wholesale trade as control groups, since those industries have low AI adoption and exposure.
Don’t Panic: A Skeptic’s Guide to the AI Jobs Doomsday
July 16, 2026 // Overall, US unemployment was 5.9 percent in mid-1979 and 5.3 percent by mid-1989.[25] During this same period the working-age population swelled by 21.5 million, or about 13 percent.[26] So, while some manufacturing jobs were lost, overall unemployment actually declined slightly over that period despite an increase in job seekers. New jobs in new fields were created by automation. Somebody had to operate the machines, build and maintain them, and transport them to foreign countries. This is the nature of automation: It focuses on eliminating the more tedious tasks, freeing up time, labor, and resources for other pursuits.
Economically Devastating Rent-Seeking in America’s Labor Markets
June 9, 2026 // Nowhere is rent-seeking more pervasive—or more costly—than in America’s labor markets. From compulsory unionism to occupational licensing, prevailing-wage laws, gig-worker reclassification rules, and strategic minimum-wage campaigns, concentrated interest groups (often unions and incumbent professionals) routinely use state power to extract “rents” from workers, employers, taxpayers, and consumers. These are not abstract economic theories. Rent-seeking is an everyday mechanism that distorts wages, limits opportunities, and transfers trillions of dollars every year, creating harmful economic inefficiencies penalizing employees, employers, taxpayers, and consumers. Compulsory Unionism: The Textbook Case of Labor-Market Rent-Seeking Compulsory unionism
Why “Pro-Worker” Policies Don’t Work
June 2, 2026 // As I explained at the Post, the policy implications of Engbom’s research and related analyses are clear: by making workers more costly to employers or less willing and able to switch jobs, government policies ostensibly intended to “protect workers” are actively harming them and the economy overall. Policymakers legitimately concerned with American workers’ earnings and well-being should therefore focus on fixing these policies and enacting new ones that enhance workers’ autonomy and mobility. Too often these days, “pro-worker” policies are anything but.
After AI layoffs, Newsom orders state government to find ways to ease the pain
May 23, 2026 // In February, AFL-CIO president Liz Shuler, members of the California Labor Federation and labor leaders in Democratic primary states pledged to pull support for a Newsom 2028 presidential campaign if he didn’t take steps to protect workers from artificial intelligence. Newsom’s veto of the predecessor of the No Robo Bosses Act was named as a reason for that pledge. In a statement shared with CalMatters, California Labor Federation president Lorena Gonzalez said the executive order is welcome but not enough
California’s War on Autonomous Trucking
May 14, 2026 // As structural economic factors push costs for the freight industry and consumers higher, the American public has three options. It can accept higher prices for all transportation services; it can enlarge the labor pool through immigration; or it can embrace new technology that improves transportation productivity and resolves the Baumol dilemma. Becerra, Steyer, and Khanna have followed the path prescribed by FreightWaves’ Fuller, promising to force higher freight costs onto the public. While the Golden State’s coalition politics might require genuflecting to the Teamsters, Californians are bound to notice before long that they’re paying higher prices than people in other states while also lagging behind them technologically.
Commentary: California’s Fast-Food Minimum Wage Hike Is Killing Jobs
November 13, 2025 // "On April 1, 2024, California raised its minimum wage from $16 to $20 per hour for fast-food workers employed at chains with more than 60 locations nationwide," Jeffrey Clemens, Olivia Edwards, and Jonathan Meer write in a National Bureau of Economic Research working paper that was first addressed by Reason's Peter Suderman in the November print issue. "Our median estimate suggests that California lost about 18,000 jobs that could have been retained if AB 1228 had not been passed."
Where the Jobs Are (and Aren’t): Sectoral Shifts and the Federal Workforce Pullback
November 5, 2025 // Healthcare’s steady expansion and manufacturing’s contraction capture the reallocation story at the heart of today’s labor market. Where jobs grow—and where they disappear—helps explain why some young workers thrive while others stall. Meanwhile, the federal workforce reductions mark one of the most significant government pullbacks in decades, echoing the reform-minded cuts of the 1990s.
California’s Fast Food Minimum Wage Hike Cost the State 18,000 Jobs. That Shouldn’t Surprise Anyone.
October 23, 2025 // The trio looked at fast-food employment in California and found a decline of 2.64 percent between September 2023 and September 2024—six months before and after the law went into effect. During that same time period, fast-food employment in the rest of the United States slightly increased. Those different outcomes make it likely that the law caused fast-food businesses to hire fewer people, with a probable effect of lowering such employment 2.3 percent to 3.9 percent. At the middle of the range, that means about 18,000 fewer jobs in California.
Why a big bank and a big tech company are raising wages
September 18, 2025 // Everyone who works at Bank of America will soon make at least $25 an hour, the company announced Wednesday. Amazon is also raising pay for people who work in its fulfillment centers and in transportation to more than $23 an hour, on average, and paying for more of their health care costs. That adds up to around $50,000 a year for full-time employees.