JANET'S WORLD: HER THOUGHTS FOR TODAY,09/01/18 - THE UNFINISHED HOLIDAY

Janet Varney

 JANETS WORLD:

THE UNFINISHED HOLIDAY

Labor Day in the United States is a public holiday celebrated on the first Monday in September. It honors the American labor movement and the contributions that workers have made to the strength, prosperity, laws, and well-being of the country. It is the Monday of the long weekend known as Labor Day Weekend and it is considered the unofficial end of summer in the United States. It is recognized as a federal holiday.

Among American holidays, Labor Day is probably the one in most need of an update. The idea of a “labor day holiday” was conceived in the 1880s by union labor leaders who sought recognition for the social and economic achievements of American workers.

Finally, in 1894, U.S. Congress voted to establish Labor Day as a national holiday to celebrate workers and their contributions to the strength, prosperity, and well-being of the country.

The form that the observance and celebration of Labor Day should take was outlined in the first proposal of the holiday — a street parade to exhibit to the public "the strength and esprit de corps of the trade and labor organizations" of the community, followed by a festival for the recreation and amusement of the workers and their families. This became the pattern for the celebrations of Labor Day.

Speeches by prominent men and women were introduced later, as more emphasis was placed upon the economic and civic significance of the holiday.

Still later, by a resolution of the American Federation of Labor convention of 1909, the Sunday preceding Labor Day was adopted as Labor Sunday and dedicated to the spiritual and educational aspects of the labor movement.

Most don’t realize it, but attitudes toward labor are more progressive and respectful among Americans than they are in much of the rest of the world.

European societies, for instance, generally view leisure as being more honorable than work.  In the classic, The Arab Mind, the Fahlawi Personality, which deemphasizes the importance of personal responsibility and physical labor, contributes to fairly widespread attitudes of indolence among Middle Eastern men.  Throughout Latin America, people who are educated generally look down on those in the laboring class.

It was Alexis de Tocqueville, whose ever-relevant classic Democracy in America pointed out that Americans regard work “as positively honorable.”  The suggestion that work is good for the soul and necessary to a fulfilling life is also found in the Bible, which makes over 450 specific references to the value and importance of work—considerably more than its references to love, hope, joy, grace or peace.

Labor union membership peaked as a percentage of the entire American labor force at 26% in 1953.  Today only about 11.2% of the total labor force belongs to a labor union. But what is most striking in the face of general decline in private sector union membership has been the growth of union membership among government employees.  Some 36% of the public sector is unionized, while approximately 6.6% of business employees now belong to unions.

Labor Day is perhaps what might be called an unfinished holiday in need of broader perspective. What is distinct about the U.S. economy is the strong and widespread entrepreneurial tradition, wherein there is frequent crossover from being a laborer to becoming a business owner—who seeks upward mobility for himself, but who also creates new jobs for others.  

It’s certainly important to commemorate those who labor.  But the people who create new jobs by taking the risk of developing new products, services, and market opportunities should also be recognized.  It is these visionary entrepreneurs who have been the primary drivers of progress and wealth creation that took the country from colonial poverty to world economic superpower in a little more than 200 years—making the United States the envy of the world.

U.S. economy has evolved from a manufacturing to a service and information economy.

Four of the five largest employers in the United States—Walmart, Amazon, Yum Brands, and Home Depot—were founded within the last 50 years while unionized labor was declining. Each of these companies was founded by visionary entrepreneurs who transformed different sectors of the consumer products retailing industry—to deliver a wider variety of products with greater efficiency and at lower prices.
As the U.S. economy has evolved from a manufacturing to a service and information economy it should come as no surprise that the four largest companies in terms of market capitalization—Apple, Amazon, Google, Microsoft—are all in the business of information technology. Each has greatly increased efficiencies for individuals and businesses, while also catalyzing a multiplier effect spawning the formation of a vast number of new companies and new jobs.

If the patterns of past economic history prevail, the development and application of automation and artificial intelligence should not be feared as they are likely to create as many new jobs as those made obsolete. For all of us, the challenge is to embrace change, recognize opportunity, and stay on game with training and incorporating technologies of a continuously changing economy.

So as we celebrate on the first Monday in September that last beach party or barbecue to commemorate those who labor, let us also remember and celebrate the entrepreneurs who drive renewal and progress—creating the new labor and employment opportunities of tomorrow.

By Janet Varney

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