Why So Many Americans Feel So Powerless
By Robert ReichA security guard recently told me
he didn’t know how much he’d be earning from week to week because his firm kept
changing his schedule and his pay. “They just don’t care,” he said.
A traveler I met in the Dallas Fort-Worth Airport last week
said she’d been there eight hours but the airline responsible for her trip
wouldn’t help her find another flight leaving that evening. “They don’t give a
hoot,” she said.
Someone I met in North Carolina a few weeks ago told me he had
stopped voting because elected officials don’t respond to what average people
like him think or want. “They don’t listen,” he said.
What connects these dots? As I travel around America, I’m
struck by how utterly powerless most people feel.
The companies we work for, the businesses we buy from, and the
political system we participate in all seem to have grown less accountable. I
hear it over and over: They don’t care; our voices don’t count.
A large part of the reason is we have fewer choices than we
used to have. In almost every area of our lives, it’s now take it or leave it.
Companies are treating workers as disposable cogs because most
working people have no choice. They need work and must take what they can get.
Although jobs are coming back from the depths of the Great
Recession, the
portion of the labor force actually working remains lower than it’s been in
over thirty years – before vast numbers of middle-class wives and mothers
entered paid work.
Which is why corporations can get away with firing workers
without warning, replacing full-time jobs with part-time and contract work, and
cutting wages. Most working people have no alternative.
Consumers, meanwhile, are feeling mistreated and taken for
granted because they, too, have less choice.
U.S. airlines, for example, have consolidated into a handful
of giant carriers that divide up routes and collude on fares. In 2005 the U.S.
had nine major airlines. Now we have just
four.
It’s much the same across the economy.
Eighty percent of Americans are served by just one Internet Service Provider
– usually Comcast, AT&T, or Time-Warner.
The biggest banks have become far bigger. In 1990, the five
biggest held just 10 percent of all banking assets. Now they hold almost
45 percent.
Giant health insurers are larger; the giant hospital chains,
far bigger; the most powerful digital platforms (Amazon, Facebook, Google),
gigantic.
All this means less consumer choice, which translates into
less power.
Our complaints go nowhere. Often we can’t even find a real
person to complain to. Automated telephone menus go on interminably.
Finally, as voters we feel no one is listening because
politicians, too, face less and less competition. Over
85 percent of congressional districts are considered “safe” for their
incumbents in the upcoming 2016 election; only 3 percent are toss-ups.
In presidential elections, only a handful of states are now
considered “battlegrounds” that could go either Democratic or Republican.
So, naturally, that’s where the candidates campaign. Voters in
most states won’t see much of them. These voters’ votes are literally taken for
granted.
Even in toss-up districts and battle-ground states, so much
big money is flowing in that average voters feel disenfranchised.
In all these respects, powerlessness comes from a lack of
meaningful choice. Big institutions don’t have to be responsive to us because we
can’t penalize them by going to a competitor.
And we have no loud countervailing voice forcing them to
listen.
Fifty years ago, a third of private-sector workers belonged to
labor unions. This gave workers bargaining power to get a significant share of
the economy’s gains along with better working conditions – and a voice. Now,
fewer than 7 percent of private sector workers are unionized.
In the 1960s, a vocal consumer movement demanded safe
products, low prices, and antitrust actions against monopolies and business
collusion. Now, the consumer movement has become muted.
Decades ago, political parties had strong local and state
roots that gave politically-active citizens a voice in party platforms and
nominees. Now, the two major political parties have morphed into giant national
fund-raising machines.
Our economy and society depend on most people feeling the
system is working for them.
But a growing sense of powerlessness in all aspects of our
lives – as workers, consumers, and voters – is convincing most people the system
is working only for those at the top.
ROBERT B. REICH, Chancellor’s Professor of Public Policy
at the University of California at Berkeley and Senior Fellow at the Blum
Center for Developing Economies, was Secretary of Labor in the Clinton
administration. Time Magazine named him one of the ten most effective
cabinet secretaries of the twentieth century.