Now that the awful public sector has rid itself of thousands of jobs, isn’t it great to see such a thriving private sector?
There are now more unemployed women, than in 1988. Overall unemployment is at its highest since 2009 – the middle of a recession. One in five people between 19 and 24 is unemployed. Average wages rose 2.8% since 2010, whilst RPI (inflation) rose 5.2%, which means wages actually fell by 2.4%.
So we were told that the private sector would take up the jobs lost in the public sector. George Osborne, back in November 2010, told the House of Commons in November that jobs created in the Private Sector, would:
- the loss of jobs in the Public Sector.
Remember those “35 leading businessmen” that the Chancellor quoted, as some sort of economic demi-gods (I have always wondered why businessmen are considered economic experts. They are not economists. They have an agenda). They sent a letter to the Telegraph, in support of Osborne’s claim. They wrote:
“The private sector should be more than capable of generating additional jobs to replace those lost in the public sector.”
Here’s the letter in full. Tories loved to point to it, last year. I’m guessing they will be less forward in pointing to it, this year.
At its most optimistic, we we under the impression that someone who had spent their life in the public sector employed in a job they love, would now get a nice new job working the tills at McDonalds. Even that, failed to materialise. From April to June public sector job losses reached 111,000. The private sector jobs grew by 41,000. The problem is, the Government insisted in March, that only 20,000 (I say only, because it appears I have caught the bug of treating people and their jobs, as mere statistics – Am I becoming Tory? Dear God, I hope not) would lose their jobs. Unemployment rose by 80,000 in June.
Apparently, when you make people unemployed, and you devalue wages, it becomes impossible to kick start the demand needed for the private sector to thrive. WHO WOULD HAVE THOUGHT IT!
EDF have just announced energy prices are to raise by 15%, despite profits of Euro1.2bn last year. Last month HSBC announced 30,000 jobs would be cut. They must be struggling right? Again….well. No. The first six months of the year saw their profits raise 3% on the previous six months, to $11.5bn. Seriously. We are now only concerned, as a World, with profit. This is emphasised in the fact that the moment HSBC announced it was kicking 30,000 people out of their livelihoods, their shares rose 3.4%. Rich people absolutely love to hear that they can make even more money now that there isn’t the annoying factor of having to pay 30,000 people.
It is clear that demand creates jobs. Not wealthy businessmen. Referring to them as “job creators” is a falsity of epic proportions. When you take money out of peoples pockets with a VAT rise, with the removal of universal services, with housing benefit cuts; you cut demand in the process. Giving the wealthiest few a tax break isn’t going to change that.
When growth is downgraded, almost on a daily basis, they insist it is Labour’s fault, Europe’s fault, the snow’s fault. No, it is the fault of holding dear to the heart a dangerous Freidman-ite economic philosophy. As with HSBC mentioned above; the epitome of the thought process that leads to this kind of system, is that the abstract concept of the “market” is deemed to be improving, regardless of how many jobs are lost. Shares in HSBC increase, as 30,000 jobs are cut. There is a dramatic evil in that process.
Labour MPs and Shadow Ministers on Twitter insist on questioning whether Strike action is necessary. They should be ashamed to refer to themselves as ‘Labour’. A Labour party, who have seemingly made absolutely no impact on the political landscape since 2010, are quietly licking their wounds as a Tory party who have no legitimate mandate to carry out the ideological attacks they are inflicting, get away with it. If we don’t have the support of a half arsed Labour Party unsure of where its allegiances lie, given it’s past thirteen years of total capitulation to the financial sector, nor do we have the support of a weak Lib Dem party who cowardly abstain when they disagree with Tory policy, then Unions are the only other way to go. There is no other option. A very radical government, requires a very radical opposition. Instead, Labour seem to be constantly worried about their ties to the Union movement, rather than pro-actively and jointly making the case against deep and vicious austerity. The Tories have cleverly managed to set the political discourse in favour of a mythical, broken public sector, and away from the real broken sector; the financial sector.
Yesterday we saw that same Financial Sector produce a rogue trader responsible for UBS losing $2bn on unauthorised dodgy dealings. Have they learnt nothing? UBS was also responsible in 2009, for helping wealthy Americans set up offshore accounts to avoid tax. Growth for the sake of the wealthy, is not real growth. The banks have been let off the hook, by having the support of government like ours, who shift the blame from them, to the constantly demonised public sector.
If anything, we are finding out, for the second time in thirty years, that harsh and forced Neoliberalism is a dangerous dogma. Monetary policy does not pull Nations out of sovereign debt crises. It never has.
Unemployment – Done.
Dismantled NHS – Done.
Bend over to be fucked by the banks – Done.
Stagnating wages – Done.
Provoke riots – Done.
VAT rise – Done.
Pull any support for poorer children (EMA) – Done.
Close as many youth centres as possible – Done.
Close libraries – Done.
Make people work until they’re basically dead, before giving them a pension – Done.
Demonise disabled people – Done.
Rising inflation – Done.
Threaten Unions – Done.
Burden of debt created by wealthy, slammed onto the shoulders of Nation’s 18 year olds – Done.
Tax cuts for the wealthy – Done.
All within 15 months.
It makes Thatcher look like a Socialist in comparison.