Yeah, it's some sort of mismatch between supply and demand. There must be a ton of people who just aren't capable of doing a challenging job, regardless of pay.
Some people really struggle. There are a bunch of good jobs, and companies do take chances with employees...then they just dont show up after their first paycheck.
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One issue might be that its become very difficult to fire people, so firms are very reluctant to hire anyone. It makes sense that they'd need to offer high wages to attract applicants who are clearly worth hiring.
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In the US, its easy to fire people. Some states have an atwill hiring process. Means they can hire and fire for any reason.
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In the US, its easy to fire people.
That is not generally true. "At will employment" does mean that an employer can fire an employee without cause, but there are a bunch of specific reasons why they aren't allowed to fire someone.
The reason it's difficult to fire someone in the US is that they can allege that they were fired for one of those reasons. The resulting legal issues terrify employers (especially big ones).
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All they have to do is find a reason. It could be that you showed up late, or didnt complete paperwork. Or didnt shave before work. If they want to fire you, they will find a reason.
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I've been on the employer side of this and I promise you that's often not the case.
If your employee is a straight white guy, then you can fire him pretty easily, but if they're part of any protected class it's very easy for them to claim that they were fired for discriminatory reasons.
There are tons of terrible workers who keep their jobs because their employers are scared of firing them.
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Interesting. I always thought it was a precarious situation. Not that I ever worried about being fired. Only the one time when I shut down the plant on accident. I did see many people keep their jobs, even though they were inadequate. Cant seem too remember if they were part of a protected class. I do know they were paranoid and always watching over their shoulder.
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There are other reasons to keep unimpressive employees. I often had to choose from a very small number of applicants, because I wasn't allowed to offer competitive pay. When there are no replacements, you just keep limping along with whoever you can get.