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The theme of this USA Today story is a concept I've been debating mentally the past few months; for many years in the manufacturing field there has been something called 'just in time' inventory to promote efficiency.  Now we might be moving to an era of 'just in time' labor - easily hired, easily fired.

  Or in 1980s lingo - wax on, wax off!  The implications for the society are profound, but for economic reasons it might make one of the commonly used 'old school' barometers of economic recovery less useful - that is "temporary hiring surges before full time employment recovers".  Ironically "just in time" inventory had its nexus in Japanese manufacturing, and "just in time" employment also has the same origins.  Although there is now a massive backlash among Japanese workers after embracing "Anglo Saxon type employment" practices to become "more competitive" globally.  (Sep 21, 2009: NYT - Japan Struggles to Balance Growth and Job Stability)

Mr. Hatoyama is especially critical of changes championed by the former prime minister, the pro-American, free-market Junichiro Koizumi. Among other things, Mr. Koizumi took aim at Japan's stagnant labor market, lifting a ban on the use of temporary laborers at factories.  He hoped to increase flexibility in hiring at Japanese companies, many of which are saddled with more employees-for-life than they need, protected by labor laws and social norms. The inability to fire these redundant workers even in lean times keeps productivity at ailing companies low, while hurting upstarts that could use experienced workers.

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Written by TraderMark for USA Today

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