Jan 022013
 
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This came my way a few minutes ago:

RT @_Lilykins The irony of Osborne claiming Labour is the party of borrowing, when he’s borrowing at record levels.

As a result, I tweeted the following:

Much better to be the party of borrowing than the party of daylight robbery. At least when you borrow, you aim to give s’thing back.

And then, quite felicitously and via Rick’s always perspicacious eye, came this story from Money Week titled portentously “The End of Britain”.  Apparently we’re stuffed – and not just Christmas-turkey stuffed either.  Roundly, totally and utterly stuffed. Stuffed till the end of time.

The end, in fact, of life as we know it.

Time to buy up supermarkets of tinned foods various?  Time to bunker down in outrageously expensive survivalist holes?

This is clearly Douglas Adams territory.

Clearly is, my friends.

For the solution that Money Week provides for its horrified readers to this veritable apocalypse of barely conceivable and almost indescribable proportions is none other than … wait for it … [innocent drum roll multiplied a thousandfold] … a magazine subscription to its content!

Yay!  Salvation was never so cheap!

A perfect end to a perfectly constructed universe.

The consumer and welfare societies, brought down by their two-headed dependency mindsets.  And yet, now, so dramatically saved at one easy stroke by a simple subscription to a possessor of secret truths like these.

Now where have I heard that before?

<sighs>

Will we never learn?

*

As to whether the oracle, above-mentioned, is right or wrong, I have no professional framework which allows me to provide you with an answer either way.  But what does seem clear is that if what they say ends up taking place, a magazine subscription will be a woeful defence against the societal trauma the publication appears to be predicting.

And if, indeed, as some have suggested, the content is the wizard wheeze of some overblown marketing department, surely it’s time that Money Week did a little bit of fruitful navel-gazing – and analysed its behaviours in terms of the apocalypse it apparently expects.  Printing stuff like this with the mere intention and objective of increasing the take-up of membership subs is hardly the most gratifying spectacle we might witness.

And whether one would choose to be a harbinger of doom or not, there are better ways of making one’s way in the world than this.


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Sep 142012
 
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This news, clearly part of a broadening government attack on workforces’ rights, is just the start, isn’t it?  Beginning to move the goalposts, so that in law unfair dismissal is no longer unfair, is only part of a wider process designed to shift the blame for economic injustice and inefficient process from the so-called wealth creators to the workers themselves.

In truth, if these wealth creators were really so very good at their jobs, they wouldn’t resort to the simplistic notions of firing workers to get out of economic holes they’d gone and dug for themselves. After all, the easiest thing when parachuting into a company with problems is to order a three-month review and fire ten percent of the people.  Far more difficult, far more value-adding, far more deserving of the high salaries these supposedly clever people are able to command, is to analyse all the processes which operate in the company and rework them little by little so everyone employed has a value-adding role.

It’s much easier, however, to shift the blame for inefficient economies onto surplus workers who are surplus through no fault of their own.  And since it’s much easier, government and business lobbyists both look for intellectual cloaks to justify their poor and shabby instincts.

We, as workers, deserve far better strategies.  They, as supposed wealth creators, have none.

For in reality, in any case, these wealth creators seem of late mainly to be putting their wealth into non-manufacturing and low-employment sectors – where the financial returns for their own private money piles are going to be much higher.  As an example, I remember reading a short while ago about how major car companies now make more money out of financial services and investments than they do out of making cars.  I wonder how much employment such decisions now generate.  I wonder how many workers, as a result, aren’t even contracted in the first place.

The worst of it all, of course, is that in an economy where consumer confidence is low – and demand is just about as shaky as it could get – we’re getting business leaders looking to make their shrinking markets less unprofitable by cheapening the cost of hiring and firing labour.  So where is the entrepreneurial ambition in that?  What’s more, where is the economic common sense?  You’re hardly going to get demand up on its feet if you make workforces, consumers and families in general feel even less confident about their futures.  And yet cheapening the cost of hiring and firing labour is exactly what that will achieve.

One final thought.  The Labour Party is investing much of its energy in the idea of predistribution.  One element of this concept, if I have rightly understood it, is that we should believe in and aim for high-quality and high-skill economies.  My experience of working in a large banking corporation would, however, indicate this is not the way forwards that at the very least big business is looking for.  In giant organisations, they always look to dumb down competencies, for several reasons:

  1. Reduce the impact of staff turnover.
  2. Reduce the cost of retraining.
  3. Reduce the cost of salaries.
  4. Reduce the danger of intellectual property loss.

These are all key elements in the decision to choose the dumbing-down of processes over the training-up of staff.  In reality, high-quality and high-skill economies can only operate in those societies where there are extremely high levels of trust and stability between workers and management.  This is definitely not the case in Coalition Britain.

And if Ed Miliband’s right-wingers continue to encourage him to sit on his hands, as they probably will do, it’s hardly going to improve under any future Labour government.


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May 072012
 
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I just tweeted the following thought:

“Austerity” is a neat euphemism – just like “collateral damage”: those who use it refuse to take ownership for the pain they cause.

A definition of “collateral damage” then?  This is what Wikipedia currently says on the matter:

Collateral damage occurs when something incidental to the intended target is damaged during an attack. When used in conjunction with military operations it can refer to the incidental destruction of civilian property and non-combatant casualties.[1][2]

Whilst some time back we might have thought the intended target of austerity strategies everywhere was supposedly lazy and complacent economic processes – foolish lending by lenders on the one hand, excessive borrowing by borrowers on the other – it would now appear that the real object of austerity measures has become the people themselves.  Essentially because those in power now care to shift the blame for their manifest stupidities onto those who occupy the lower levels of societal hierarchy:

Philip Hammond, the Defence Secretary, said that banks were not solely responsible for the financial crisis as “they had to lend to someone”.

The minister, who played a key role in drawing up David Cameron’s economic strategy in opposition, also claimed that people who took out loans were “consenting adults” who, in some cases, were now be seeking to blame others for their actions.

And this:

“Households were spending more than they earned. That’s why household debt rose.”

It’s clear, then, that up there in the stratosphere of decision-makers, there must be a more widely shared perception that voters and their families and friends – not systemic failure of complex financial instruments – are now in the cross-hairs of those who make policy.

Mr Hammond is hardly going to have invented the idea in a vacuum, after all.

It is my thesis, therefore, that austerity measures as engineered and devised of late do not aim to sort out a dysfunctional economy first and foremost – only collaterally damaging and hurting the people who depend on its workings.  No.  In reality, these people in charge are looking precisely to damage and hurt the people first and foremost, for it is they who are to blame for not having operated as economies most need.

Whilst before we wondered if the people had become a necessary, even if sad, collateral damage to an attempt to rescue an economy, it seems clear to me now – and perhaps to you too – that the economy has become a necessary, even if sad, collateral damage to a pontificating and patronising attempt from top-flight politicos to allegedly rescue the people from themselves.

We the people are being punished because we do not act as these politicos and economists various believe economies need us to act: sensibly, rationally, intelligently and measuredly.

Because we cannot manage that, they – even they – are prepared to sacrifice their own love of that beast which is the economy (their whole reason for being, acting and researching) on the altar of societal suicide.

Rather than contemplate making economic theory in the image of the people’s needs, they prefer to prejudice the perishable goods that are people’s finite lives.

In this, both politicians and economists are the trench-warfare generals of our time.

Where, if not at the beginning of the 20th century, are we to find such an example of stubborn idiocy and casual cruelty as we now bear witness to in economic theory and practice – and throughout the world that serves to destroy us?

People in charge who refuse to take ownership for the pain and destruction they administer.

A passive-aggressive state if there ever was one.


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Apr 302012
 
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Two articles which tell the same story.  First, how the number of entrepreneurial, business and job-related suicides has reached alarming proportions in Italy:

According to the EURES social research institute, suicides have been on the rise in Italy since 2008, with at least two per day on average in 2010, when 362 unemployed people and 336 entrepreneurs killed themselves. In 2011, a record 11,615 Italian businesses closed their doors. In 2012, at least 25 and as many as 70 suicides have so far been linked to Italy’s economic troubles, especially prevalent in the industrial north and the construction industry.

The widows say there is too little dialogue and not enough state support for families that have fallen into despair over unemployment, bankruptcies and loan defaults.

Second, a story from Britain on how the very body politic that is responsible for administering our terrible response to the awful crises that assail us responds most despondently – and with equally dispiriting familial implications – to its ongoing consequences.

Essentially what we have is a situation where people must fit into systems.  No one believes, these days, that we should fashion our economies around the needs of the finite and perishable goods that are real people’s lives.  The reality is that whilst the systems seem to be working, most people are happy to muddle along – and even allow the powerful to encourage such muddling.

But since we are so locked into our systems, when the latter break down … well, so do we.

I am reminded of this by the story reported from Spain recently where the cost of Metro journeys was I believe hiked by 30 percent.  Just imagine the effect on an ordinary commuter.  In a sense, when they bought their flat on the outskirts of town, a social contract was being signed by the providers of such infrastructures and the purchasers: you settle down here, bring your income and your outgoings, and we’ll provide the reasonable means for you to get to work.

Now the message is: we’ve got you by the balls.  Stuff your standard of living.  Stump up the difference.

And it’d probably be morally justifiable if we were all equally affected, too.  But we’re not.

This is not just capitalism.

This is naked and unbridled theft.

And whilst the economic experts talk of the dangers of economic recession, the real danger out there is a marauding and eventually all-encompassing depression of an emotional nature.

An emotional depression in which the passive-aggressive economies that nudge us so very cleverly have, step by deadening step, ensnared us.  Just as that wife-beater makes his wife believe through very reasonable argument that she is the real problem at heart, so these economies – and their public sponsors and representatives – are designed and structured to make us all feel we are to blame for the disasters which are destroying so many existences.

Never was the invisible hand better named.  The invisible hand not that guides the markets but wife-beats the voters, their families, colleagues and friends into savage and terrible submission.


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Jan 312012
 
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Luke Bozier, the Tories’ most recent recruit from the Labour Twitterverse, has this to say this morning on the RBS row:

It’s counterintuitive to weaken the RBS leadership. It makes sense that they have the best possible people making it viable again.

It does make me wonder where Luke’s moral compass lies – if, indeed, it lies anywhere.  Requiring someone to tighten their multimillion-pound belt in hard times such as these, when others are losing their entire livelihoods as a result of the mess the previous regime and CEO left behind them, is surely not weakening the current leadership but, rather, giving it the opportunity to show how intellectually coherent it jolly well can be.

As well as socially sensitive – and relevant to boot. 

I am minded, as a reminder of exactly where we find ourselves, to dig up a tweet of my own from yesterday.  This was where I wondered the following:

Is there an #economicmodel which indicates exactly when you pass from needing less to work harder to needing more to work harder? #justaskin

Perhaps Luke can explain when this happens?  And precisely why we should be so unambitious as to go along with its consequences?
____________________

Further reading: according to Wikipedia, Hester joined RBS in 2008.  In 2009, under the aforementioned leadership (in this case, the RBS board), this happened:

In November 2008 he left British Land and on 21 November 2008 replaced Sir Fred Goodwin as Chief Executive of the RBS Group. Hester is paid an annual salary of £1.2 million by RBS.[1] Alongside this, he took home £7.7m in bonus and pension payments [6]

In December, 2009, the board of RBS, in which the United Kingdom government has an 84% stake, threatened to resign unless they were permitted to pay bonuses of £1.5bn to staff in its investment arm.[7] The matter received heavy criticism because it followed a £850bn taxpayer bailout of the banking sector.[citation needed] The Chancellor of the Exchequer, Alistair Darling, said he would not be “held to ransom”.[8]

Ring any bells Luke?  Weave any patterns?  Examples of what you might term the kind of behaviours we would wish strong leadership in Britain to acquire?

If you ask me, and you don’t have to, this company – as well as its wider sector – has a history of doing just what it wants.  But, in my opinion, that’s not a sign of strength.

Rather, it’s the sign of a bully.


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Jan 292012
 
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This, from the BBC last November, reminds us how chaos is in the eyes of the beholder:

Eviction notices have been attached to tents at a protest camp outside St Paul’s Cathedral.

The City of London Corporation notice tells Occupy London Stock Exchange (OLSX) activists to clear the “public highway” by 18:00 GMT on Thursday.

The “public highway” being the land occupied by the protest at the time which did not belong to the Cathedral.

Obviously, the kind of chaos this was leading to – on a shared “public highway” – was considered by those who we presume should know more about these things as completely unacceptable in a modern civilisation.  Two reactions then: first, this was chaos; second, we should not tolerate it.

And I can live with that conclusion – even where my instincts are not to approve.

This morning, meanwhile, we have another example of chaos – this time as defined by Iain Duncan Smith:

Iain Duncan Smith has said there would have been “chaos” if ministers had overruled the board of RBS and vetoed a £963,000 share bonus for its boss.

The government has come under pressure to act over Stephen Hester’s bonus as it owns 82% of the bank’s shares.

Cabinet Minister Mr Duncan Smith told the BBC “nobody would be happier” than ministers if Mr Hester declined it.

But it had been up to the RBS board – if they had gone, it would have had a huge impact, he said.

The kind of huge impact – on an 80 percent state shareholding, on tens of thousands of workers and on millions of customers – which no one in our society is willing to do anything about, at least in the sense of proactively preventing its occurrence.

Except, of course, by not only giving entirely in to but also sanctioning fully the rights of those making these implicit threats of executive blackmail.

Again, my reactions are twofold: first, as in the case of St Paul’s, this was chaos; second, we have no alternative but to tolerate it.

Oh, people! 

Really! 

How do you expect us to believe in a socioeconomic environment which behaves like this? 

I really find no other way of describing this second example than to call it economic blackmail by corporate hooligans of the very lowest order.  And these are the captains of industry whose behaviours we are being asked to support and even emulate?

How very very short the modern representatives of capitalism are happy to sell their baby these days.


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