Category: Labor Economics

Kid Paid $100,000 to Skip College and Mine Asteroids

(p. 18) As I sat down for lunch at a restaurant in Los Angeles, I placed a copy of “Valley of the Gods,” by Alexandra Wolfe, on the table, and a waitress walking by stopped to peer at the cover. . . .
“It’s about Silicon Valley,” I began. “It follows this young kid, John Burnham, who gets paid $100,000 by this weird billionaire guy, Peter Thiel, whom you’ve probably heard of; he’s a big Trump supporter and spoke at the Republican National Convention?” — a blank stare from the waitress. “Anyway, Thiel pays him (and a bunch of other kids) to forgo college so Burnham can mine asteroids, but he doesn’t actually end up mining the asteroids and. . . .”
. . .
The book begins with the protagonist, Burnham (or antagonist, depending whose side you’re on), who isn’t old enough to drink yet but is debating dropping out of college to follow the Pied Piper of libertarian and contrarian thinking, Peter Thiel, to Silicon Valley. As Wolfe chronicles, Thiel, who has a degree from Stanford University and largely credits where he is today (a billionaire) to his time at that school, started the Thiel Fellowship, in 2011, which awards $100,000 to 20 people under 20 years old to say no to M.I.T., Stanford or, in Burnham’s case, the University of Massachusetts, to pursue an Ayn Randian dream of disrupting archetypal norms.
It won’t be giving away the ending by pointing out that it doesn’t end well for Burnham.

For the full review, see:
NICK BILTON. “Denting the Universe.” The New York Times Book Review (Sunday, FEB. 19, 2017): 18.
(Note: ellipsis at end of second paragraph, in original; other two, added.)
(Note: the online version of the review has the date FEB. 14, 2017, and has the title “Pet Projects of the New Billionaires.”)

The book under review, is:
Wolfe, Alexandria. Valley of the Gods: A Silicon Valley Story. New York: Simon & Schuster, 2017.

Hundreds of Thousands of Californians Moving to Texas, Arizona and Nevada

(p. A18) For more than three decades, California has seen a net outflow of residents to other states, as less expensive southern cities like Phoenix, Houston and Raleigh supplant those of the Golden State as beacons of opportunity.
. . .
. . . , for many Californians, the question is always sitting there: Is this worth it? Natural disasters are a moment to take stock and rethink the dream. But in the end, the calculation almost always comes down to cost.
. . .
California was once a migration magnet, but since 2010 the state has lost more than two million residents 25 and older, including 220,000 who moved to Texas, according to census data. Arizona and Nevada have each welcomed about 180,000 California expatriates since the start of the decade.

For the full story, see:
CONOR DOUGHERTY. “Californians Brave Fires, but Flee Cost of Living.” The New York Times (Weds., DEC. 13, 2017): A1 & A18.
(Note: ellipses added.)
(Note: the online version of the story has the date DEC. 12, 2017, and has the title “Quakes and Fires? It’s the Cost of Living That Californians Can’t Stomach.”)

Robots May Be a Threat After They Learn How to Open a Door

(p. A1) Robots may enslave us all someday. In the meantime, if one of them goes berserk, here’s a useful tactic: Shut the door behind you.
One after another, robots in a government-sponsored contest were stumped by an unlocked door that blocked their path at an outdoor obstacle course. One bipedal machine managed to wrap a claw around the door handle and open it but was flummoxed by a breeze that kept blowing the door shut before it could pass through.
Robots excel at many tasks, as long as they don’t involve too much hand-eye coordination or common sense. Like some gifted children, they can perform impressive feats of mental arithmetic but are profoundly klutzy on the playground.
The machines stumble over tasks requiring even toddler-level balance, like kicking a ball, getting out of a car or (p. A9) climbing stairs. Grasping objects of varying size and weight is also perplexing.

For the full story, see:
Daniela Hernandez. “If the Robot Apocalypse Comes, Try Closing the Door.” The Wall Street Journal (Sat., Nov. 11, 2017): A1 & A9.
(Note: ellipses, and bracketed date, added.)
(Note: the online version of the story has the date Nov. 10, 2017, and has the title “How to Survive a Robot Apocalypse: Just Close the Door.”)

Union Blocks Firing of Teachers Who Do Not Teach

(p. A1) Francis Blake has not held a permanent position in a New York City public school in at least five years. At his last job, in a Bronx elementary school, records show he was disciplined for incompetence, insubordination and neglect of duties — he had been caught sleeping in a classroom when he was supposed to be helping with dismissal.
Felicia Alterescu, a special-education teacher, has been without a permanent post since 2010, despite high demand for special education teachers. According to records, in addition to getting a string of unsatisfactory ratings, she was disciplined for calling in sick when she actually went to a family reunion. She also did not tell the Education Department that she had been arrested on harassment charges.
This month, Mr. Blake, Ms. Alterescu and hundreds of other teachers who are part of a pool known as the Absent Teacher Reserve could be permanently back in classrooms, as the city’s Education Department places them in jobs at city schools.
The reserve is essentially a parking lot for staff members who have lost their positions, some because of school closings and budget cuts, others because of disciplinary problems, but cannot be fired. It grew significantly as a result of a 2005 deal between the Bloomberg administration, which wanted to give principals control over hiring, and the teachers’ un-(p. A17)ion. Since then, the union has fiercely protected the jobs of teachers in the reserve, resisting attempts to put a time limit on how long a teacher can remain there.

For the full story, see:
KATE TAYLOR. “Caught Sleeping or Worse, Idled Teachers Head Back to Class.” The New York Times (Sat., OCT. 23, 2017): A1 & A17.
(Note: the online version of the story has the date OCT. 22, 2017, and has the title “Caught Sleeping or Worse, Troubled Teachers Will Return to New York Classrooms.”)

High Demand for STEM Workers Is Mainly High for Workers in Info Tech

(p. 10) A working grasp of the principles of science and math should be essential knowledge for all Americans, said Michael S. Teitelbaum, an expert on science education and policy. But he believes that STEM advocates, often executives and lobbyists for technology companies, do a disservice when they raise the alarm that America is facing a worrying shortfall of STEM workers, based on shortages in a relative handful of fast-growing fields like data analytics, artificial intelligence, cloud computing and computer security.
“When it gets generalized to all of STEM, it’s misleading,” said Mr. Teitelbaum, a senior research associate in the Labor and Worklife Program at Harvard Law School. “We’re misleading a lot of young people.”
Unemployment rates for STEM majors may be low, but not all of those with undergraduate degrees end up in their field of study — only 13 percent in life sciences and 17 percent in physical sciences, according to a 2013 National Science Foundation survey. Computer science is the only STEM field where more than half of graduates are employed in their field.

For the full story, see:
STEVE LOHR. “Where the STEM Jobs Are/Aren’t.” The New York Times, Education Life Section (Sun., NOV. 5, 2017): 10.
(Note: the online version of the story has the date NOV. 1, 2017, and has the title “Where the STEM Jobs Are (and Where They Aren’t).”)

Steel Mills Repurposed as Online Warehouses

(p. A1) BETHLEHEM, Pa. — Ellen Gaugler remembers driving her father to the Bethlehem Steel mill, where he spent his working years hauling beams off the assembly line and onto rail cars.
When the Pennsylvania plant shut down about two decades ago, Ms. Gaugler thought it was the last time she or anyone in Bethlehem would come to its gates to find a job that paid a decent wage for a physical day of work.
But she saw an ad in the paper last year for a position at a local warehouse that changed her mind. She’d never heard of Zulily, the online retailer doing the hiring, but she knew the address: It was on the old mill site, steps from where her father worked.
“When I came for the interviews I looked up and said, ‘Oh, my God, I feel like I am at home,'” Ms. Gaugler said. She got the job.
As shopping has shifted from conventional stores to online marketplaces, many retail workers have been left in the cold, but Ms. Gaugler is coming out ahead. Sellers like Zulily, Amazon and Walmart are competing to get goods to the buyer’s doorstep as quickly as possible, giving rise to a constellation of vast warehouses that have fueled a boom for workers without college degrees and breathed new life into pockets of the country that had fallen economically behind.

For the full story, see:
NATALIE KITROEFF. ” Idle Steel Mills Rumble to Life As Online Sellers’ Warehouses.” The New York Times (Mon., OCT. 23, 2017): A1 & A13.
(Note: the online version of the story has the date OCT. 22, 2017, and has the title “Where Internet Orders Mean Real Jobs, and New Life for Communities.”)

Lobstermen Retooling as Oyster Farmers

(p. A10) COREA, Me. — The boats start up around 3:30 in the morning, stirring the village with the babble of engines before they motor out to sea. They will return hours later, loaded with lobster.
Joe Young’s boat has not gone out lately. Instead, he puts on waders and sloshes into the salt pond behind his house, an inlet where water rushes in and out with the tides. After a lifetime with most of his income tied to what he finds in the sea, this lobsterman — and sixth-generation fisherman — is trying his hand at something new. He is farming oysters.
“Said I would never have a garden,” Mr. Young, 64, says, as he tends to his briny nursery. Tens of thousands of oysters the size of peanuts are growing inside porous boxes, stacked up like underwater file drawers, in a contraption called an “oyster condo.” He gives one of the boxes a shake, hoping to dislodge a slimy orange growth that has taken up residence, and flings away a green crab. Nearby, kelp he is growing sways lazily from a long underwater rope.
Reaching into the glassy water, Mr. Young plucks larger oysters from among the smooth stones, popping the mottled mollusks into a big white bucket.
“It’s different from lobstering,” Mr. Young said, “because I’m in the whole process.”
. . .
“Lobstermen are saying, ‘Boy, not (p. A11) only personally, but community level, we’re all invested in lobsters,’ ” Jon Lewis, the director of the state’s aquaculture division, said. ” ‘Natural resources tend to come and go. If this happens, what do I do?’ ”
. . .
To Mr. Young, aquaculture does not look so different from catching lobsters. “Fishermen are farmers,” he said. “There’s one crop, and it’s lobster.”

For the full story, see:
JESS BIDGOOD. “A Lobsterman Tries a New Line: Oyster Farmer.” The New York Times (Mon., OCT. 23, 2017): A10-A11.
(Note: ellipses added.)
(Note: the online version of the story has the date OCT. 10, 2017, and has the title “A FISHERMAN TRIES FARMING.”)

Google Did Evil in Firing Damore

(p. C2) I was fired by Google this past Monday [Aug. 7, 2017] for a document that I wrote and circulated internally raising questions about cultural taboos and how they cloud our thinking about gender diversity at the company and in the wider tech sector. I suggested that at least some of the male-female disparity in tech could be attributed to biological differences (and, yes, I said that bias against women was a factor too). Google Chief Executive Sundar Pichai declared that portions of my statement violated the company’s code of conduct and “cross the line by advancing harmful gender stereotypes in our workplace.”
My 10-page document set out what I considered a reasoned, well-researched, good-faith argument, but as I wrote, the viewpoint I was putting forward is generally suppressed at Google because of the company’s “ideological echo chamber.” My firing neatly confirms that point. How did Google, the company that hires the smartest people in the world, become so ideologically driven and intolerant of scientific debate and reasoned argument?
. . .
For many, including myself, working at Google is a major part of their identity, almost like a cult with its own leaders and saints, all believed to righteously uphold the sacred motto of “Don’t be evil.”

For the full story, see:

James Damore. “Why I Was Fired by Google.” The Wall Street Journal (Sat., Aug. 12, 2017): C2.
(Note: ellipsis, and bracketed date, added.)
(Note: the online version of the story has the date Aug. 11, 2017.)

Musk Fires Under-Performing Workers to Speed Output of Mass-Market Electric Sedans

(p. B4) DETROIT — The electric-car maker Tesla fired hundreds of workers this week after a series of performance reviews conducted during the biggest expansion in the company’s history.
Tesla said Friday [Oct. 13, 2017] that the dismissals were not out of the ordinary, even though they came as the automaker tries to increase the production of its first mass-market vehicle, the Model 3 sedan.
The company has been criticized for the slow pace of its early production of the new model, which has generated hundreds of thousands of deposits from prospective buyers.
Tesla built about 25,000 vehicles in the three months that ended Sept. 30, but only 260 of those were Model 3s — considerably fewer than the 1,500 it had projected. The automaker has attributed the low production rate of the new car to unexpected bottlenecks in its manufacturing system.

For the full story, see:
BILL VLASIC. “Tesla Fires Hundreds of Workers.” The New York Times (Sat., OCT. 14, 2017): B4.
(Note: bracketed date added.)
(Note: the online version of the story has the date OCT. 13, 2017, and has the title “Tesla Fires Hundreds as It Tries to Speed Production of an Electric Sedan.”)

“The Tabula Rasa of the American Dream”

(p. 22) The four Keats siblings, John and George, sister Fanny, and a third brother, “star crossed” Tom, dead of tuberculosis at 19, were all well schooled in the World of Pains. The orphaned children of a shiftless stable hand, they survived on the miserly dole of a tea merchant appointed their guardian. “The lives of these orphans,” Gigante remarks, “do have the makings of fairy tale.” John trained in medicine before taking up the far riskier profession of poetry; reviews of his ambitious long poem “Endymion” were so harsh that Byron cruelly joked he was “snuffed out by an article.” George limped along as a clerk in various mercantile firms, dreaming of something more ­adventurous.
Gigante has had the clever idea of telling the stories of John and George as parallel lives, a dual biography of brothers.
. . .
In her view, George’s departure to America with his young wife, Georgiana, was “an imaginative leap across 4,000 miles onto the tabula rasa of the American dream.” And yet, nothing — nothing, that is, beyond his famous brother — distinguishes George from thousands of other immigrants who joined in the Western migration during the tough years following the French Revolution, when it became painfully clear that possibilities for advancement in class-stratified Great Britain were severely curtailed.
. . .
The land of opportunity was also the land of crushing disappointment. On his second trip to America, after blowing his inheritance on a dubious investment with his elegant friend and neighbor Audubon, and retreating from the bleak prairies to more civilized Louisville, George finally completed his sawmill. (He would have been wiser to invest in Audubon’s pictures of otters and buzzards than a crackpot steamboat scheme.) After a few years of profit, when he built a columned mansion equipped with slaves near the center of town, George lost it all again in the Panic of 1837.

For the full review, see:
CHRISTOPHER BENFEY. “Ode to Siblings.” The New York Times Book Review (Sunday, October 16, 2011): 22.
(Note: ellipses added.)
(Note: the online version of the review has the date OCT. 14, 2011, and has the title “A Keats Brother on the American Frontier.”)

The book under review, is:
Gigante, Denise. The Keats Brothers: The Life of John and George. Cambridge, MA: The Belknap Press of Harvard University Press, 2011.