The Disposable American by Louise Uchitelle

"The Disposable American" addresses the trend of layoffs in America; it attaches names and faces to the common corporate practice used to compete in the global marketplace, a practice in which I have become an unwilling participant.

Uchitelle opens his narrative of my present reality with a brief look at the evolution of layoffs and something I have never heard of: job security. 20 years ago, layoffs were seen as a sign of the shortcomings of a corporation. Now it has become routine, a necessary evil. Since the 1980s, over 30 million FTEs (Full-time Employees) have been laid off with no rebirth of stability in sight.

"The Disposable American's" personal accounting of layoffs commences with employees of tool manufacturer Stanley Works (SW). This chapter was quite interesting, not because I too find myself singing the layoff blues, but because it addresses the issue, real or perceived, of "corporate cruelty". Take the next scenario for example:

A certain number of employees were being required to accept a $2 payout (per hour). SW directors brought in GE's John Trani with a sign-on bonus of $1 million in stock options and a "7 figure annual salary package, which was 3 times greater than the present CEO." Trani subsequently cut the workforce from 19,000 to a mere 13, 500. Eventually, he retired, willingly, with an $8 million bonus and an annual pension of $1.3 million, all while employee severance packages were capped at 26 weeks. These employees were without a choice in leaving the company.

Uchitelle introduces foreign competition as a reason for the acceleration of American layoffs. For example, while SW slept, the Asian market was able to produce similar quality product at a much lower cost.

The "Disposable American" traces everything from the emergence of personnel departments to the development of unions to, what Uchitelle labels, "counterproductive American public policy". He even covers the Wagner & Norris - LaGuardia Acts as a history lesson.

Of worthy note is the author's careful consideration to mention the impact layoffs have on the mental health of those directly affected - like me.

I'm fine, thanks for wondering.

He converses with several mental health professionals, including University of Michigan psychology professor Richard Price, to assess the psychiatric aspect of layoffs in individuals. Apparently, it destroys "sense of self accomplishment and financial reward", and the personal impact is said to "decrease self esteem and employee viability in the workplace for those whose self worth is directly tied to what they do for a living".

Uchitelle acknowledges that competing in a global marketplace does require some layoffs, and he does believe in governmental remedy to compel corporations to "neutralize layoff practices."

I, on the other hand, do not.

The "Disposable American" provides a detailed look at layoffs, their relation to the economy and how we do business abroad, more so than any college course could ever be prepared to do. This is definitely a worthwhile read, whether you are presently employed, or suddenly faced with enormous amounts of free time, like moi.