The Day the Twinkie Died….

A long long time ago… I can still remember how that HoHo used to make me smile… And i know if I had the chance… I’d stuff some Wonder bread in my pants… and it would get real yeasty after a while….

Well, I could probably write the whole thing out and perform it, but that would take more time than I want to use up.

Update:  the Twinkie has, indeed, died.  I have great sympathy for all the hard-working people who will now be out of work, and the people in Colorado and Washington, who will now have to sate their legal marijuana-induced munchies on Little Debbie snacks.  But fuck the union fuckers and sympathizers who just killed their jobs.  Maybe you should ask your union bosses for your dues back.

The news broke yesterday about Hostess, fighting bankruptcy, had closed three of their bakeries (in St Louis, Seattle, and Cincinnati) in response to a bakers’ union strike that idled the three plants.  In short, the company had gained the power, through the bankruptcy court, to impose wage and benefit cuts to stave off bankruptcy, as they had been unable to come to an agreement with the unions.  They had also warned that they would begin shutting bakeries that could not produce product, as they were attempting to stave off shuttering the whole company.  Other factories that had strikers weren’t idled, and they are still open.

Now, there are a few points that must be made here (many are obvious, but must be stated).

First, let’s get something crystal ass titty fucking clear:  the jobs belong to the company, not the unions.  This has to be repeated because the South Park-flavored screech of “They took our jobs!” with an increasingly inbred intonation is the first reaction of far too many people when a company closes a plant in reaction to costs.  And when it comes down to the work that is done, the company owns that work, not the employee.  This is because….

Second, labor is a commodity, just like Wonder Bread.  And that means a couple things.  Labor does not give anything to the company, and the company does not give anything to labor.  Paid work is a mutual exchange, out of which both parties benefit.  Businesses offers cash (and benefits), and labor offers work.  If they cannot agree on an exchange rate, neither are compelled to continue their mutual relationship.  And that means that labor is only worth it to a company if they can make money off it.

Third, anything external that changes this mutual relationship perverts and distorts the process, and makes everything more expensive.  Mostly, this is government mandates, from minimum wage (which kills low-value jobs), to workplace regulations (some considered necessary, but could also be handled in court in terms of liability), to imposed added costs (unemployment, social security tax, 0bamacare).  But there’s also unions.  I do not have a lot of sympathy for companies with union workforces, as they allowed conditions to occur that led to the unions (usually out of necessity).  But unions distort the relationship because their goal is to garner as much for their employees through threat of collective action, meaning that jobs are often paid at higher than optimal rates.  And if the company is willing to bear that, then it is still a mutual relationship; if they are not willing to bear it, then the relationship ends.  Which brings us to the bankruptcy.

The fact is, the company did not feel it could bear the cost of three idle factories due to a precarious financial state.  And like anyone trying to survive gangrene, you cut out the dead tissue so that the whole doesn’t die.  so that means roughly 750 people get canned in order to save the company as a whole, and as a result, thousands of other jobs.

In the end, in a sort of recovering economy, job losses are not the result of demand dropping, they are a result of costs going up.  This has been most apparent in businesses’ reactions to the reelection of 0bama (the result of which is that the job killer that is 0bamacare will remain law for the foreseeable future).  But it all comes down to simple economics in the end.  And in the end, if/when (I add the if because I’m sure there will be a law offered to address the “injustices” that are occurring due to the shit economy) the economy begins to boom, the companies that remain will be stronger and better.

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About patrickmspeaks

Father, tech-head, political sage, and the Illustrious One of (little) 3x2 fame, I have been blogging for a few years now, and want to stretch in new directions, discover new things, and redefine redefining just for the fun of it. Nonetheless, having produced a pointless paragraph about me, I'll stop before something bursts.
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