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It isn’t AI that is creating higher unemployment among younger workers, it is remote work
Posted on 6/4/26 at 9:24 pm
Posted on 6/4/26 at 9:24 pm
At least that is the opinion in this article. In summary, companies switched to more remote work positions and are hesitant to staff them with younger, inexperienced workers. They would rather fill those positions with experienced hires. For jobs that are less likely to be done remotely, such as mechanical engineering, the unemployment rates are the same across age demographics.
Liberty Street Economics
Liberty Street Economics
quote:
Youth unemployment has risen dramatically since the pandemic—as has the prevalence of remote work. Our analysis suggests that these trends are related, with remote work making it more difficult for managers to train and mentor new employees. Accordingly, companies may be reluctant to hire less-experienced workers in distributed work arrangements. We estimate that remote work can explain 64 percent of the recent increase in unemployment among young college graduates. Further, the timing of this surge suggests that remote work—not generative AI—explains the bulk of the rise in youth unemployment.
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Posted on 6/4/26 at 9:27 pm to Ramblin Wreck
quote:
companies switched to more remote work positions and are hesitant to staff them with younger, inexperienced workers
100% factual
Add in the fact that you can hire experience at half the cost of domestic college grads, overseas, and you got a decent hand around the current white collar problem.
Posted on 6/4/26 at 9:28 pm to Ramblin Wreck
It’s rampant abuse of the H1B program, and no one can convince me otherwise.
Posted on 6/4/26 at 9:37 pm to Ramblin Wreck
Youve heard of Home Wreckers? I call em Home Workers.
Posted on 6/4/26 at 9:39 pm to TDFreak
Off shoring is even worse than H1B abuse. It’s easier to just move white collar jobs overseas than to deal with the costs of H1B. And at least H1B workers pay taxes on their income
Companies move whole department overseas and absolutely screw over Americans.
Did you know that when you call your local Pizza Hut you are routed to a call center in India? I tried to make a pickup time adjustment for my kids birthday party and between the call center and their AI help bot it was complete pandemonium
Companies move whole department overseas and absolutely screw over Americans.
Did you know that when you call your local Pizza Hut you are routed to a call center in India? I tried to make a pickup time adjustment for my kids birthday party and between the call center and their AI help bot it was complete pandemonium
This post was edited on 6/4/26 at 9:40 pm
Posted on 6/4/26 at 9:40 pm to GRTiger
quote:
Add in the fact that you can hire experience at half the cost of domestic college grads, overseas,
These positions should be pay triple payroll taxes. America First!
Posted on 6/4/26 at 9:43 pm to JohnnyKilroy
It gets tricky when companies use contracting agencies so their payroll still goes to a US entity.
Posted on 6/4/26 at 9:50 pm to GRTiger
quote:
It gets tricky when companies use contracting agencies so their payroll still goes to a US entity
Company A outsources all IT to Infosys, as an operating expense. Company A hasn't "hired" any H1Bs or offshored Indians. They merely pay Infosys the operating expense, and Infosys "hires" the H1Bs and offshore Indians. Therefore, Company A does not employ any non citizens, which is why they don't show up on visa tracker websites. Yet, 100 US citizens are out of a job just the same.
Posted on 6/4/26 at 9:59 pm to VOLhalla
quote:
Companies move whole department overseas and absolutely screw over Americans.
I retired from a major oil company and our accounts payables and HR was moved overseas. I learned that there is even more laziness and incompetence in other countries than here. It was routine for me to keep forwarding the my previous day’s email with all the history every day to inquire about the status of PO and invoice approvals. You would think after about 10 or so inquiries some type of action would be taken. It always took copying the individual’s supervisor and manager to get action taken.
It is pretty much expected that at least 20% of all contract engineering be done using overseas engineers and designers. Most of your overseas universities teach students how to run software instead of fundamental analysis and engineering. It was very frustrating to deal with.
Posted on 6/4/26 at 10:41 pm to Ramblin Wreck
quote:
retired from a major oil company and our accounts payables and HR was moved overseas
The JIBs from Chevron Buenos Aires service center are funny to see for wells in east Texas.
Posted on 6/4/26 at 10:54 pm to Ramblin Wreck
Okay, so there is a position they need to fill so they fill it with an experienced worker.. Then that experienced worker's job becomes available.. In theory it should result in younger less experienced workers getting the lower level job that younger less experienced workers usually get right?
I think there is also a bigger percentage of youth today who are not willing to work jobs that people in the past were willing to work. In fact, a lot of kids.. after graduating HS.. More parents today are willing to allow their kids to live at home as long as possible so they don't have to pay for anything and if they are not getting certain jobs they are not working.. because its pretty good at home. No rent, they are fed, they are probably on their parents phone plan. They can stay on their parents insurance until what? 25 yrs old?
I think there is also a bigger percentage of youth today who are not willing to work jobs that people in the past were willing to work. In fact, a lot of kids.. after graduating HS.. More parents today are willing to allow their kids to live at home as long as possible so they don't have to pay for anything and if they are not getting certain jobs they are not working.. because its pretty good at home. No rent, they are fed, they are probably on their parents phone plan. They can stay on their parents insurance until what? 25 yrs old?
Posted on 6/4/26 at 11:36 pm to OweO
quote:
I think there is also a bigger percentage of youth today who are not willing to work jobs that people in the past were willing to work
Purdue University apparently couldn't find a counselor with 5 or more years of experience in Western Indiana to take a job that pays $120k ish a year, so they filed an H1B application. In INDIANA.
I am not disputing the laziness created by parents that permit failure to launch are a problem, but those were probably not predominantly engineers of any sort (Chem, IE, IT, etc.) but it's not a coincidence that I start getting calls from IT recruiters, after hundreds of applications, two weeks after FHA home loan rules are changed for H1Bs.
Posted on 6/5/26 at 2:49 am to Ramblin Wreck
Its neither. Its companies firing Americans for cheap foreign workers.
Posted on 6/5/26 at 6:53 am to LemmyLives
IT is the worst. Moving infrastructure to data centers (the cloud) and from capex to opex makex a lot of sense for most companies. Doing the same to IT people does not.
Posted on 6/5/26 at 6:56 am to TDFreak
quote:
rampant abuse of the H1B program, and no one can convince me otherwise.
H1B must be radically altered.
The Indians play this game well, and have taken advantage of our system. It must be closed down, lest the US become what Canada is.
Posted on 6/5/26 at 7:00 am to TDFreak
quote:
It’s rampant abuse of the H1B program, and no one can convince me otherwise.
The H1B program was why I decided against becoming a programmer as that workload is easily shifted off-shore and now with the proliferation of AI-assisted coding those fresh out-of-school programmers are in for some tough sledding.
quote:
The Indians play this game well
Game is over once they've infiltrated your HR dept.
This post was edited on 6/5/26 at 7:04 am
Posted on 6/5/26 at 7:02 am to BitBuster
quote:
Doing the same to IT people does not.
It definitely leads to performance loss and the companies that do it obviously figure it’s worth the savings.
If nothing else, it’s a huge morale killer.
Posted on 6/5/26 at 7:04 am to OweO
quote:
I think there is also a bigger percentage of youth today who are not willing to work jobs that people in the past were willing to work. In fact, a lot of kids.. after graduating HS.. More parents today are willing to allow their kids to live at home as long as possible so they don't have to pay for anything and if they are not getting certain jobs they are not working.. because its pretty good at home. No rent, they are fed, they are probably on their parents phone plan. They can stay on their parents insurance until what? 25 yrs old?
Yup. Just talked to a 24 year old yesterday that was installing a fiber optic line at my house.
By the way, frick COX!
Anyway, he said he has multiple friends up to age 27 not working and just living at home with the parents because they have no bills to pay and really no other responsibilities.
Posted on 6/5/26 at 7:09 am to LemmyLives
quote:
Purdue university couldn’t find
Betting dollars to donuts this “search” was led by an Indian
Posted on 6/5/26 at 7:44 am to NIH
quote:
Betting dollars to donuts this “search” was led by an Indian
By Vishnu, you know it was.
As others have mentioned, once one gets a foothold in the HR space or Krishna-forbid as a recruiter, the dam has broken open. They'll proliferate like mad.
I'm genuinely not a racist person. But I have a painfully low Indian tolerance, because cultural values are so out of whack. Hindu culture doesn't have much to say about the universal dignity and respect of all life. Hindu culture also has a "get what you can" level of scam to it. No thanks. If importing Indians solved a problem, India itself would be paradise.
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