MIT's Paul Osterman has a provocative piece in the Boston Review about some myths standing in the way of turning lousy, low-wage jobs into good jobs. “The conventional wisdom focuses almost entirely on two strategies: educating people so they can escape the low wage–job trap and, for those who cannot, providing some level of support through programs such as the Earned Income Tax Credit, an income supplement conditioned on work. The idea is to let the economy generate jobs of whatever quality firms choose and then, if necessary, compensate by enabling people to avoid the bad ones or by shoring up people who are stuck. The nature of available jobs is a given.
In practice this restrictive framework condemns millions to low wages and poor working conditions. And it continues to be the norm thanks to three myths: 1) economic growth and high rates of upward mobility will solve the problem; 2) policy efforts to alter the distribution of economic rewards inevitably slow down growth and damage labor market efficiency; 3) education alone is enough to help low-wage workers get better jobs.”