It’s unlikely that the recent strikes at Starbucks and Amazon disrupted your holiday season. You probably received your packages on time, and fans of Iced Brown Sugar Oat Milk Shaken Espressos likely found their caffeine fix elsewhere. However, these strikes highlight serious issues regarding employment in the United States.
Whether you find yourself working behind a retail counter, teaching in a classroom, or sitting at a desk in an office, disputes over job opportunities have affected more Americans than ever before, eroding the once-cherished social mobility in the country.
In 2023, Gallup conducted a poll revealing that 39% of Americans felt they couldn’t get ahead despite hard work, up from 23% in 2002. This widespread feeling that hard work doesn’t pay off is destabilizing communities, weakening trust, creating isolation, poisoning politics, and making the relationship with work both painful and unsustainable.
One major concern for striking Starbucks employees was the unpredictability of their schedules. Many employers give workers little notice of shifts, often only days or hours ahead, due to algorithms intended to boost efficiency while reducing labor costs. Rebecca Plevin noted last year that when actual demand mismatches forecasted demand, employees might be summoned at the last minute or sent home early. This lack of predictable hours disrupts those juggling multiple jobs, taking classes, or trying to spend time with loved ones.
These scheduling challenges are just one aspect of a larger problem: income volatility. Despite predictive scheduling laws in some cities like Los Angeles, workers still face uncertain monthly earnings. This phenomenon of fluctuating paychecks is now twice as common as it was in 1970, affecting about a third of U.S. households.
The increase in gig work and jobs without fixed hours has exacerbated the issue, leading to financial uncertainty beyond just tight budgets. For instance, Arloa Fluhr, a Starbucks barista in Illinois, shared her worry about hitting 20 hours a week to maintain benefits essential for her family, including her young daughter with type 1 diabetes.
Financial instability doesn’t just hinder savings or future planning; it also complicates access to credit. Families with unpredictable incomes might qualify for benefits one month only to lose them the next. A 2022 Federal Reserve Bank of St. Louis report found that families with erratic incomes were less likely to use food stamps, even when eligible.
These challenges are not just theoretical; they present real difficulties in daily life and degrade the quality of experience for many. Reports of overwork and understaffing extend beyond warehouses and cafes to critical sectors like healthcare, education, and public safety. Headlines even highlighted a staff retention crisis within the Secret Service. A workforce survey found that about half of U.S. workers feel their workplaces lack sufficient staffing, and 43% are contemplating leaving.
These inadequacies affect everyone, even the bottom line-driven executives. Gallup estimated that voluntary employee departures cost U.S. businesses over $1 trillion annually, accounting for expenses related to low morale, reduced productivity, and recruitment and training expenses.
Amazon’s workforce attrition issues exemplify the absurdity of current work norms. Internal documents revealed the company suffers from a 150% turnover rate annually, double the average for the industry. In 2021 alone, only one in three new hires remained with Amazon for more than three months. This high turnover has implications beyond costs, as the company fears running out of potential hires in certain areas.
Reflecting on the strikes, you may notice more worker protests and stoppages in your area. Despite high union visibility and popularity, membership is at an all-time low. Lacking protections against wage theft and benefits like paid sick leave and reasonable healthcare, businesses largely control work culture in the U.S., and they are failing.
Adam Chandler, author of “Drive-Thru Dreams,” shares insights from his upcoming book “99% Perspiration: A New Working History of the American Way of Life,” from which this article is adapted.
