Why Can’t Employers Find “Qualified Employees”? Probably the Same Reason I Can’t Find A New $5,000 Ferrari

I have heard a lot of moaning from business groups and politicians moaning about how it’s “impossible” to find “good” help these days. The explanation is everything from lazy kids today, lack of training (as if employers never trained employees in the past, but that’s a post for another day), to “regulations”.

Barry Ritholtz from the Big Picture blog has a good column at Bloomberg about the real reason employer’s can’t find workers they want.

His takeaway:

“They [the employers] are also a little spoiled, because so many workers were desperate for jobs for so long and weren’t in a position to bargain for higher pay. That period seems to be ending. The low ratio of job seekers to openings suggests that if employers want to hire — and keep their existing employees — they might have to increase wages sooner rather than later.”

Simple supply and demand. If wages were soaring and inflation trending higher then maybe there would be some sort of non-wage related reason for the difficulty of finding workers. But right now if you hear a business or business lobbyists complain about how hard it is to find good workers you need to add “for the low price I want to pay” to their complaint.

Check out Ritholtz’s column here

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