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from Anatole Kaletsky:

It ain’t over yet: Last-minute promises to Scotland will scar the UK

Britain's Prime Minister David Cameron delivers a speech at the Aberdeen Exhibition and Conference Centre in Aberdeen, Scotland

Astonishing as it was to contemplate the breakup of Europe’s most stable nation-state threatened by last week’s Scottish referendum, we now have an even more extraordinary possibility. In the days since the Scottish voters rejected secession 55 percent to 45 percent, a new threat has suddenly appeared to blight Britain’s political and economic prospects for years ahead. It now looks like Britain may be dissolved by one rogue opinion poll.

The YouGov survey, released shortly before the referendum, found nationalists overtaking the unionists for the first time. (And, as it turned out, the last time.) This triggered total panic among Britain’s establishment politicians.

The outcome was a signed statement on the front page of the Scottish Daily Record by Prime Minister David Cameron, along with the leaders of Britain’s Labour and Liberal Democrat parties, promising immediate legislation to give the Scottish Parliament almost complete control over income tax, health and welfare policies -- on top of the autonomy it already enjoys. They also issued a permanent commitment to channel £1,700 more per head in government spending to Scotland than to England, despite per-capita incomes that are approximately the same.

Deflated "Yes" campaign balloons lie on the grass in George Square after Scotland voted against becoming an independent country, in GlasgowBy signing the statement, Cameron and the other party leaders opened a Pandora’s Box of political and economic controversies that are certain to destabilize British politics. Businesses and investors who have viewed Britain as the most politically predictable and stable nation in Europe are in for a shock.

from The Great Debate:

It ain’t over yet: Last-minute promises to Scotland will scar the UK

[CROSSPOST blog: 2545 post: 1414]

Original Post Text:

Britain's Prime Minister David Cameron delivers a speech at the Aberdeen Exhibition and Conference Centre in Aberdeen, Scotland

Astonishing as it was to contemplate the breakup of Europe’s most stable nation-state threatened by last week’s Scottish referendum, we now have an even more extraordinary possibility. In the days since the Scottish voters rejected secession 55 percent to 45 percent, a new threat has suddenly appeared to blight Britain’s political and economic prospects for years ahead. It now looks like Britain may be dissolved by one rogue opinion poll.

The YouGov survey, released shortly before the referendum, found nationalists overtaking the unionists for the first time. (And, as it turned out, the last time.) This triggered total panic among Britain’s establishment politicians.

from The Great Debate:

It’s harder to reach the American dream if you’re reaching all alone

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“Hours of chaos” is how the New York Times described the work reality of more and more Americans. It highlighted Jannette Navarra, a Starbucks barrista, who is regularly forced to work part-time with fluctuating hours. She usually gets her work schedule three days ahead of the workweek, so she is always scrambling to arrange childcare for her son. Any hope Navarra has of advancing by pursuing a degree is shattered by her inability to schedule classes.

These sorts of lousy jobs are the increasing reality for many American workers. They are labeled “contingent” workers -- part-time, temporary, on contract, on call. They generally earn lower wages than fulltime employees, with little or no benefits, and constant insecurity. They now represent one-third, perhaps as much as 40 percent of the workforce.

from Counterparties:

Reprogramming the robo-schedulers

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Flexible work hours aren’t always a good thing. Jodi Kantor made a splash with her New York Times story about Jannette Navaro, a Starbucks employee (er, “partner”) who has constant upheaval in her life thanks to her erratic work schedule. Starbucks is one of many companies that uses software to efficiently allocate employees around its stores. “This kind of work is ‘flexible’ only for the company. It means schedules and salaries vary to the point where it’s difficult for workers to make long-term plans,” writes Max Nisen. It can mean things like the “clopen,” when employees are scheduled to close the store late at night and open it again early the next morning.

Starbucks reacted quickly. Just hours after the story went live, the company announced it would be revising its policies. According to the Times, Starbucks executive Cliff Burrows emailed baristas across the country to tell them the company will curb “clopening,” allow employees who live more than an hour from their store to have the option to switch locations, and “scheduling software will be revised to allow more input from managers.” He also reiterated that schedules should be posted at least a week in advance.

from Breakingviews:

Wal-Mart can win leading the way on minimum wage

By Daniel Indiviglio
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Wal-Mart Stores can win by leading the way on the minimum wage. The mega-retailer’s labor costs would rise significantly if the U.S. government were to increase the national pay floor. But the company also has far more low-wage customers than it does employees. That would translate into a net gain in earnings, according to a Breakingviews analysis.

from Photographers' Blog:

Pakistan’s beasts of burden

Choa Saidan Shah, Pakistan
By Sara Farid

A donkey carrying sacks of coal walks through the narrow tunnels of a coal mine, in Choa Saidan Shah in Punjab province April 29, 2014. REUTERS/Sara Farid

The miners call their donkeys their “biggest treasure”, an animal whose strength and patience lets them work in some of the world’s most dangerous mines. But life in Pakistan’s mines is dangerous for everyone – there’s a constant risk of cave-ins, and the black dust floating in the air slowly fills up the lungs of both man and beast.

A young miner leads his team of donkeys back to the coal face to collect more coal underground in Choa Saidan Shah in Punjab province April 29, 2014. REUTERS/Sara Farid

The donkeys make twenty trips a day from the depths of the mine to the storage site where they dump the coal. For each trip, they are loaded up with coal sacks weighing 20 kg (44 lbs) each. The teams of four to six animals are guided to the surface, unloaded, then obediently turn and walk again towards the black hole.

from Breakingviews:

U.S. is minimum-wage laggard given its prosperity

By Martin Hutchinson
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

America is a minimum-wage laggard – at least relative to its economic prosperity. With Washington considering a higher pay floor and Peru’s prime minister losing his job over the issue, a Breakingviews analysis shows that minimum wages as a percentage of local income levels are still low in the United States and, for instance, in neighboring Mexico.

from Edward Hadas:

AOL, solidarity and health insurance

The head of the American internet company AOL managed to say something really stupid a few weeks ago, and to sound callous at the same time. It’s a shame Tim Armstrong came off so badly, because he was trying to deal with a serious topic.

Armstrong was trying to justify the company’s decision, since reversed, to trim its employees’ retirement benefits. He started out at a disadvantage, because the chosen cutback was sneaky. A change that sounds innocuous, moving from monthly to annual employer payments into employee pension savings accounts, is actually a way to eliminate payments to employees who leave before the end of the year. It’s hard to look honest and upfront when explaining that.

from Breakingviews:

Return to U.S. workforce of old a mixed blessing

By Daniel Indiviglio
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

The recent decline in the U.S. jobless rate to 6.7 percent is flattered by low labor participation. A return to the 2006 level of workforce involvement would mean 8 million more job-seekers and unemployment running over 11 percent. But as a Breakingviews calculator shows, that dramatically overstates the scale of the problem.

from The Great Debate:

Pennsylvania as the new Wisconsin in union fights

The Wisconsin state capitol was the site of massive protests in 2011 during the fight to pass Republican Governor Scott Walker’s labor reforms. The following year Big Labor staged demonstrations in Michigan against Republican Governor Rick Snyder’s right-to-work bill, which ultimately passed. Now Pennsylvania’s state capitol is set to reach fever pitch, as unions plan to bus in hundreds of protestors this week to fight legislation that, if bad for union bosses, could be a boon to rank-and-file workers.

Pennsylvania is a longtime labor stronghold. Consider that a plaque directly across from the state capitol commemorates the unionization of government workers. But Pennsylvania lawmakers are now poised to pass a law to end automatic deduction of union dues from government employee paychecks.

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