Monday, June 2, 2014

1,500,000 public sector workers prepare to strike

Ministers in crisis talks as ‘unsustainable’ wages blamed for decision to stage massive walkout

 Coalition ministers have been summoned to a crisis meeting before one of Britain’s biggest ever strikes next month. Around 1.5 million refuse collectors, social workers, town planners, librarians, care home staff and other local government employees are expected to walk out of work for 24 hours on 10 July.

They are infuriated by a pay offer that will result in workers on a salary of £14,000 and above being given only a 1 per cent increase, while those at lower grades will be paid little more than the minimum wage. The industrial action is likely to be supported by up to 500,000 teachers and civil servants.
Union leaders warned this weekend that, following the 2011 public sector walk-out over pension reforms, the coalition will have presided over Britain’s two biggest post-war strikes. Ministers whose briefs cover the public sectors that will be affected by industrial action, such as those in the Department of Local Government and Communities, will meet within the next two weeks to discuss how to keep Britain running through the strike.
Unite and Unison are currently balloting their members, who are expected to vote for the strike having already rejected the pay offer. The third main union involved, the GMB, last week notified the Local Government Association (LGA) that it is about to hold a similar ballot.
The LGA represents the 6,000 employers, mainly local councils, involved in the dispute. Unions demanded that the LGA pay all workers an extra £1 an hour. Unison now wants £1.20, as there has been a 20p increase in the living wage since the claims were submitted.
It argues that typical local government workers have seen their real pay reduced by 20 per cent since the coalition came to power, as increases have fallen far behind inflation. Union sources also said that negotiations were “very hard” as the LGA had “failed to engage properly”.
Unison general secretary Dave Prentis said last night, “I know how angry our members are at feeling the worth of their pay plummet over recent years. Many have to rely on benefits, food banks or resort to payday loans to make ends meet. This cannot go on. Pay freezes and squeezes are not sustainable as this Government will soon find out.” As rises have been restricted in recent years, so the minimum wage has started to catch up with that of the lowest-paid council workers.
Those on the lowest salary of £12,435 currently receive around £6.45 an hour. The LGA wants to increase this to £6.75, only 25p more than the minimum wage will be when the next rise takes effect in October.
Unite assistant general secretary Gail Cartmail (inset below) said it was “time to take a stand” and that “anger is mounting” among public service workers. She added: “While the Tory-led government has been giving tax breaks to millionaires, local council and NHS workers have been pushed to breaking point. Poverty pay and four years of pay freezes has resulted in many seeing their take-home pay cut by almost 20 per cent in real terms.”
Brian Strutton, GMB national secretary for public services, warned that “schools will shut, bins won’t be emptied, meals on wheels not delivered – this is one of the two biggest post-war strikes”.
Recent local election results meant that Labour become the biggest group on the LGA for the first time in a decade. However, LGA sources said the change will have no impact on its tough stance over pay.
A spokesman for the LGA said: “The employers made their full and final pay offer at the earliest opportunity in order to ensure that our employees would receive their pay increase as quickly as possible in the new financial year.
“We’ve always been available to talk to the unions but the integrity of the negotiating process depends on us being honest when there’s no more room for manoeuvre. Strike action will not change the pay offer but will instead delay by some months extra money getting into employees’ pockets.”

Time For Another Economic Catastrophe! – Q1-2014 Retail Sales Suck For Brick and Mortar Operations

Before we begin with the numbers, it has been 6-7 years since the shit hit the fan economically in 2007-2008. Investments lost, homes lost, careers destroyed but I digress.

The Q1 2014 numbers are in and the US economy shrank by approximately 1% in the first quarter of 2014. The official line if you believe gibberish is 3 down quarters equals an actual recession.

The recession is already here, the deniers are out in full force trying to kite some paper to cover up this mess that has been created. What else should we expect for an economy that is 60% or more based upon consumer purchases; in many cases requiring the purchaser to go into debt.

Housing sales have gone into the toilet but I will cover that in another segment.

Check out retail sales numbers, they are shocking to say the least.
Wal-Mart Profit Plunges By $220 Million as US Store Traffic Declines by 1.4%
Target Profit Plunges by $80 Million, 16% Lower Than 2013, as Store Traffic Declines by 2.3%
Sears Loses $358 Million in First Quarter as Comparable Store Sales at Sears Plunge by 7.8% and Sales at Kmart Plunge by 5.1%
JC Penney Thrilled With Loss of Only $358 Million For the Quarter
Kohl’s Operating Income Plunges by 17% as Comparable Sales Decline by 3.4%
Costco Profit Declines by $84 Million as Comp Store Sales Only Increase by 2%
Staples Profit Plunges by 44% as Sales Collapse and Closing Hundreds of Stores
Gap Income Drops 22% as Same Store Sales Fall
American Eagle Profits Tumble 86%, Will Close 150 Stores
Aeropostale Losses $77 Million as Sales Collapse by 12%
Best Buy Sales Decline by $300 Million as Margins Decline and Comparable Store Sales Decline by 1.3%
Macy’s Profit Flat as Comparable Store Sales decline by 1.4%
Dollar General Profit Plummets by 40% as Comp Store Sales Decline by 3.8%
Urban Outfitters Earnings Collapse by 20% as Sales Stagnate
McDonalds Earnings Fall by $66 Million as US Comp Sales Fall by 1.7%
Darden Profit Collapses by 30% as Same Restaurant Sales Plunge by 5.6% and Company Selling Red Lobster
TJX Misses Earnings Expectations as Sales & Earnings Flat
Dick’s Misses Earnings Expectations as Golf Store Sales Plummet
Home Depot Misses Earnings Expectations as Customer Traffic Only Rises by 2.2%
Lowes Misses Earnings Expectations as Customer Traffic was Flat

As they say, the middle class is on the ropes with no where to go but to take a beating. Again after 2007-2008.

You see, things never really recovered after the last bout of economic turmoil. Losses were papered over by the paper kiters and there was a lot of happy talk to sooth the masses.

I submit that there is more to this story as well. We are also witnessing the death of retail sales brick and mortar operations.

Take Amazon as an example. Amazon Q1 sales were up 32% compared to the same quarter 1 year ago. You can read about Amazon here:
EBay’s revenue grew 13.7% in Q1 of 2014 as compared to one year ago. You can read about it here:
On line sales are up and brick and mortar sales are down with stores closing and people looking for work.

Folks we are in another recession and this time it will be even worse than the last some 6-7 years ago to mark the beginning.

We are also witnessing the largest paradigm shift of our lifetimes. People are making many purchases on line and not shopping in the stores.

Next commercial real estate will tank; a process that started several years ago and will now accelerate.

Get yourself and your family a piece of land that your own. Put a house or structure on the land. Make sure you can grow at least some of your food. 

It is going to be a long and bumpy landing where things are going.

Mark your calendar for 2015.75. 

That is October 1st 2015. 

That is when officialdom will acknowledge all of this malfeasance and crap. 

Then we will be told that we are screwed and have to live with it.

Gas usage in USA is at Historic low for last 40 years while the price of gas is at a historic high.

USA Gas use is Tanking – Supply and Demand no longer relevant, only Price vs people with Jobs.
Gallons used in USA Per Day
1983 48,906,100
1990 57,909,400
2000 59,107,200
2010 44,227,100
2013 27,952,000
2014 18,451.600
Latest Gasoline Usage
it is only logical that with the High price of 
Heating the homestead last winter,
and putting expensive Gas in the Car Since Obama took office
that people will shop less, buy less and store and restaurants will go out of business.
The Sad thing is all of this is being done by design by the New World Order

Nikola Tesla

US Global Hawk Drones Given Access to British and Japanese Airspace!

British sovereign airspace has been used by top secret US drones, according to the Ministry of Defence (MoD). On three occasions in the past month, an unarmed Global Hawk reconnaissance aircraft, which cost around £130 million each, flew through UK airspace as part of a NATO exercise.
The US Air Force has deployed two of its most advanced military Global Hawk drones in their base in northern Japan. The purpose of unmanned vehicles is closely-guarded secret but their characteristics make them capable of spying on China and North Korea.