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View Diary: The manufacturing 'skills gap' is really a good employer gap (16 comments)

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  •  Well, maybe, I think outsourcing really got (4+ / 0-)
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    RichM, kurt, Dirtandiron, Words In Action

    going in the 90s, as a cost-cutting strategy.  

    You are right that in the late 90s start-up capital was plentiful and spread across many industries.  But it was in the 90s when executives started to be rewarded with bonuses and stocks, and golden parachutes if they failed to improve earnings and the stock price.

    Those compensation schemes were consolidated in the past decade, as bankruptcy became an acceptable strategy to extract value.  It was the availability of cheap debt and acceptance of that "harvesting" strategy that labor started getting squeezed hard.  

    It was stunning in the 2008 crisis that so few heads rolled when big companies and banks accepted government bail-outs.

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