Last year, the U.S. promised to evacuate all military interpreters, but the country’s chaotic exit left most of them behind.
A year ago, the U.S. ended its longest war, with one final evacuation plane out of Kabul.
Left behind were tens of thousands of Afghan interpreters who put their lives on the line working for the U.S. military. Now, 12 months later, advocates say most of them are still trapped in Afghanistan, living in fear and poverty.
Newsy is calling one Afghan interpreter Abdul to protect his real identity.
“We sold all our goods,” Abdul said. “Anything we have we sold to just provide the food for us to still survive.”
Abdul fought side-by-side with American soldiers for three years at great risk to himself and his family. He says if the Taliban find out about his past, they’ll likely kill him.
“They can find and identify anybody from the country,” Abdul said. “Their intelligence is very powerful.”
Related StoryAfghan Refugee, Journalist Highlights Other Refugees Now In The U.S.
When the U.S. helped airlift 124,000 people from Kabul last year, Abdul and most Afghan interpreters never made it out.
“Unfortunately, we couldn’t get inside the airport,” Abdul said.
Since then, advocates tell Newsy around 4,000 interpreters have been evacuated. But according to the U.S. State Department, 74,000 applications for special immigrant visas for Afghan interpreters are still in the pipeline.
Some don’t have the documents required, and others are unable to attend their consular appointments since there is no U.S. embassy in Kabul anymore. Applicants are told to go to a third country.
“We have no embassy here, and we have no one here,” Abdul said.
Abdul spent all his savings to get an exit pass from the Taliban for his family to cross to Pakistan, but he’s still waiting to get it. He says he remains hopeful thanks to a group of U.S. veterans secretly supporting him financially and helping him navigate red tape from afar.
Related StoryAuthor Who Posed As A Refugee Shares Insights Into His Risky Journey
“They were by our side for 20 years,” said Chris Franco, a U.S. veteran. “The least we can do is continue to fight to get our allies here to the U.S. or to safety to some other nations and honor our promise.”
For Franco, honoring that promise is personal. Two Afghan interpreters he served with are still trapped in the country.
“For the folks that are still left behind and fighting through so many challenges to get out of Afghanistan and get their families to safety, we have not forgotten you,” Franco said. “We will continue to fight for you as you fought by our side and fight for us.”
But Franco says that promises alone are not enough.
Though he and other advocates credit the Biden administration for establishing a robust public-private partnership to get Afghan allies out, they say the White House and Congress could do a lot more.
“We need more help,” Franco said. “I know there is great work being done by our government, but we need more help.”
The White House has made efforts to simplify the special immigrant visa process for Afghan refugees and sent a request to Congress earlier this year in the hopes of legislating a path to legal permanent residence for those who arrive in the U.S.
The bipartisan Afghan Adjustment Act was introduced in the Senate this August in hopes to achieve both those goals.
The move comes as Qatar faces intense international scrutiny over its labor practices ahead of the tournament.
Qatar recently arrested at least 60 foreign workers who protested going months without pay and deported some of them, an advocacy group said, just three months before Doha hosts the 2022 FIFA World Cup.
The move comes as Qatar faces intense international scrutiny over its labor practices ahead of the tournament. Like other Gulf Arab nations, Qatar heavily relies on foreign labor. The workers’ protest a week ago — and Qatar’s reaction to it — could further fuel the concern.
The head of a labor consultancy investigating the incident said the detentions cast new doubt on Qatar’s pledges to improve the treatment of workers. “Is this really the reality coming out?” asked Mustafa Qadri, executive director of the group Equidem.
In a statement to The Associated Press on Sunday night, Qatar’s government acknowledged that “a number of protesters were detained for breaching public safety laws.” It declined to offer any information about the arrests or any deportations.
Video footage posted online showed some 60 workers angry about their salaries protesting on Aug. 14 outside of the Doha offices of Al Bandary International Group, a conglomerate that includes construction, real estate, hotels, food service and other ventures. Some of those demonstrating hadn’t received their salaries for as many as seven months, Equidem said.
The protesters blocked an intersection on Doha’s C Ring Road in front of the Al Shoumoukh Tower. The footage matched known details of the street, including it having several massive portraits of Qatar’s ruling emir, Sheikh Tamim bin Hamad Al Thani, looking down on passers-by.
Al Bandary International Group, which is privately owned, did not respond to requests for comment and a telephone number registered in its name did not connect on multiple attempts to call it.
The Qatari government acknowledged that the firm hadn’t paid salaries and that its Labor Ministry would pay “all delayed salaries and benefits” to those affected.
“The company was already under investigation by the authorities for nonpayment of wages before the incident, and now further action is being taken after a deadline to settle outstanding salary payments was missed,” the government said.
Qadri said police later arrested the protesters and held them in a detention center where some described being in a stifling heat without air conditioning. Doha’s temperature this week reached around 105.8 degrees Fahrenheit.
Qadri described police telling those held that if they can strike in hot weather, they can sleep without air conditioning.
One detained worker who called Equidem from the detention center described seeing as many as 300 of his colleagues there from Bangladesh, Egypt, India, Nepal and the Philippines. He said some had been paid salaries after the protest while others hadn’t. His comments could not be corroborated.
Qatar, like other Gulf Arab nations, has in the past deported demonstrating foreign workers, and tied residency visas to employment. The right to form unions remains tightly controlled and available only to Qataris, as is the country’s limited right to assembly, according to the Washington-based advocacy group Freedom House.
Qatar, a small, energy-rich nation on the Arabian Peninsula, is home to the state-funded Al Jazeera satellite news network. However, expression in the country remains tightly controlled. Last year, Qatar detained and later deported a Kenyan security guard who wrote and spoke publicly about the woes of the country’s migrant labor force.
Since FIFA awarded the tournament to Qatar in 2010, the country has taken some steps to overhaul the country’s employment practices. That includes eliminating its so-called kafala employment system, which tied workers to their employers, who had say over whether they could leave their jobs or even the country.
Qatar also has adopted a minimum monthly wage of 1,000 Qatari riyals ($275) for workers and required food and housing allowances for employees not receiving that directly from their employers.
Activists like Qadri have called on Doha to do more, particularly when it comes to ensuring workers receive their salaries on time and are protected from abusive employers.
“Have we all been duped by Qatar over the last several years?” Qadri asked, suggesting that recent reforms might have been “a cover” for authorities allowing prevailing labor practices to continue.
The more than 1.4 billion people living in China are constantly watched. They are recorded by police cameras that are everywhere, on street corners and subway ceilings, in hotel lobbies and apartment buildings. Their phones are tracked, their purchases are monitored, and their online chats are censored.
Now, even their future is under surveillance.
The latest generation of technology digs through the vast amounts of data collected on their daily activities to find patterns and aberrations, promising to predict crimes or protests before they happen. They target potential troublemakers in the eyes of the Chinese government — not only those with a criminal past but also vulnerable groups, including ethnic minorities, migrant workers and those with a history of mental illness.
They can warn the police if a victim of a fraud tries to travel to Beijing to petition the government for payment or a drug user makes too many calls to the same number. They can signal officers each time a person with a history of mental illness gets near a school.
automating systemic discrimination and political repression.
to quell ethnic unrest in the western region of Xinjiang and enforce some of the world’s most severe coronavirus lockdowns. The space for dissent, always limited, is rapidly disappearing.
“Big data should be used as an engine to power the innovative development of public security work and a new growth point for nurturing combat capabilities,” Mr. Xi said in 2019 at a national public security work meeting.
ChinaFile, an online magazine published by the Asia Society, which has systematically gathered years of records on government websites. Another set, describing software bought by the authorities in the port city of Tianjin to stop petitioners from going to neighboring Beijing, was provided by IPVM, a surveillance industry publication.
China’s Ministry of Public Security did not respond to requests for comment faxed to its headquarters in Beijing and six local departments across the country.
The new approach to surveillance is partly based on data-driven policing software from the United States and Europe, technology that rights groups say has encoded racism into decisions like which neighborhoods are most heavily policed and which prisoners get parole. China takes it to the extreme, tapping nationwide reservoirs of data that allow the police to operate with opacity and impunity.
Megvii, an artificial intelligence start-up, told Chinese state media that the surveillance system could give the police a search engine for crime, analyzing huge amounts of video footage to intuit patterns and warn the authorities about suspicious behavior. He explained that if cameras detected a person spending too much time at a train station, the system could flag a possible pickpocket.
Hikvision, that aims to predict protests. The system collects data on legions of Chinese petitioners, a general term in China that describes people who try to file complaints about local officials with higher authorities.
It then scores petitioners on the likelihood that they will travel to Beijing. In the future, the data will be used to train machine-learning models, according to a procurement document.
Local officials want to prevent such trips to avoid political embarrassment or exposure of wrongdoing. And the central government doesn’t want groups of disgruntled citizens gathering in the capital.
A Hikvision representative declined to comment on the system.
Under Mr. Xi, official efforts to control petitioners have grown increasingly invasive. Zekun Wang, a 32-year-old member of a group that for years sought redress over a real estate fraud, said the authorities in 2017 had intercepted fellow petitioners in Shanghai before they could even buy tickets to Beijing. He suspected that the authorities were watching their communications on the social media app WeChat.
The Hikvision system in Tianjin, which is run in cooperation with the police in nearby Beijing and Hebei Province, is more sophisticated.
The platform analyzes individuals’ likelihood to petition based on their social and family relationships, past trips and personal situations, according to the procurement document. It helps the police create a profile of each, with fields for officers to describe the temperament of the protester, including “paranoid,” “meticulous” and “short tempered.”
Many people who petition do so over government mishandling of a tragic accident or neglect in the case — all of which goes into the algorithm. “Increase a person’s early-warning risk level if they have low social status or went through a major tragedy,” reads the procurement document.
When the police in Zhouning, a rural county in Fujian Province, bought a new set of 439 cameras in 2018, they listed coordinates where each would go. Some hung above intersections and others near schools, according to a procurement document.
Nine were installed outside the homes of people with something in common: mental illness.
While some software tries to use data to uncover new threats, a more common type is based on the preconceived notions of the police. In over a hundred procurement documents reviewed by The Times, the surveillance targeted blacklists of “key persons.”
These people, according to some of the procurement documents, included those with mental illness, convicted criminals, fugitives, drug users, petitioners, suspected terrorists, political agitators and threats to social stability. Other systems targeted migrant workers, idle youths (teenagers without school or a job), ethnic minorities, foreigners and those infected with H.I.V.
The authorities decide who goes on the lists, and there is often no process to notify people when they do. Once individuals are in a database, they are rarely removed, said experts, who worried that the new technologies reinforce disparities within China, imposing surveillance on the least fortunate parts of its population.
In many cases the software goes further than simply targeting a population, allowing the authorities to set up digital tripwires that indicate a possible threat. In one Megvii presentation detailing a rival product by Yitu, the system’s interface allowed the police to devise their own early warnings.
With a simple fill-in-the-blank menu, the police can base alarms on specific parameters, including where a blacklisted person appears, when the person moves around, whether he or she meets with other blacklisted people and the frequency of certain activities. The police could set the system to send a warning each time two people with a history of drug use check into the same hotel or when four people with a history of protest enter the same park.
Yitu did not respond to emailed requests for comment.
In 2020 in the city of Nanning, the police bought software that could look for “more than three key people checking into the same or nearby hotels” and “a drug user calling a new out-of-town number frequently,” according to a bidding document. In Yangshuo, a tourist town famous for its otherworldly karst mountains, the authorities bought a system to alert them if a foreigner without a work permit spent too much time hanging around foreign-language schools or bars, an apparent effort to catch people overstaying their visas or working illegally.
In Shanghai, one party-run publication described how the authorities used software to identify those who exceeded normal water and electricity use. The system would send a “digital whistle” to the police when it found suspicious consumption patterns.
The tactic was likely designed to detect migrant workers, who often live together in close quarters to save money. In some places, the police consider them an elusive, and often impoverished, group who can bring crime into communities.
The automated alerts don’t result in the same level of police response. Often, the police give priority to warnings that point to political problems, like protests or other threats to social stability, said Suzanne E. Scoggins, a professor at Clark University who studies China’s policing.
At times, the police have stated outright the need to profile people. “Through the application of big data, we paint a picture of people and give them labels with different attributes,” Li Wei, a researcher at China’s national police university, said in a 2016 speech. “For those who receive one or more types of labels, we infer their identities and behavior, and then carry out targeted pre-emptive security measures.”
Toward Techno Totalitarianism
Mr. Zhang first started petitioning the government for compensation over the torture of his family during the Cultural Revolution. He has since petitioned over what he says is police targeting of his family.
As China has built out its techno-authoritarian tools, he has had to use spy movie tactics to circumvent surveillance that, he said, has become “high tech and Nazified.”
When he traveled to Beijing in January from his village in Shandong Province, he turned off his phone and paid for transportation in cash to minimize his digital footprint. He bought train tickets to the wrong destination to foil police tracking. He hired private drivers to get around checkpoints where his identification card would set off an alarm.
The system in Tianjin has a special feature for people like him who have “a certain awareness of anti-reconnaissance” and regularly change vehicles to evade detection, according to the police procurement document.
Whether or not he triggered the system, Mr. Zhang has noticed a change. Whenever he turns off his phone, he said, officers show up at his house to check that he hasn’t left on a new trip to Beijing.
Even if police systems cannot accurately predict behavior, the authorities may consider them successful because of the threat, said Noam Yuchtman, an economics professor at the London School of Economics who has studied the impact of surveillance in China.
“In a context where there isn’t real political accountability,” having a surveillance system that frequently sends police officers “can work pretty well” at discouraging unrest, he said.
Once the metrics are set and the warnings are triggered, police officers have little flexibility, centralizing control.They are evaluated for their responsiveness to automated alarms and effectiveness at preventing protests, according to experts and public police reports.
The technology has encoded power imbalances. Some bidding documents refer to a “red list” of people whom the surveillance system must ignore.
One national procurement document said the function was for “people who need privacy protection or V.I.P. protection.” Another, from Guangdong Province, got more specific, stipulating that the red list was for government officials.
Mr. Zhang expressed frustration at the ways technology had cut off those in political power from regular people.
“The authorities do not seriously solve problems but do whatever it takes to silence the people who raise the problems,” he said. “This is a big step backward for society.”
Mr. Zhang said that he still believed in the power of technology to do good, but that in the wrong hands it could be a “scourge and a shackle.”
“In the past if you left your home and took to the countryside, all roads led to Beijing,” he said. “Now, the entire country is a net.”
Isabelle Qian and Aaron Krolik contributed research and reporting. Production by Agnes Chang and Alexander Cardia.
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GONZALES, Calif. — It looks like a century-old picture of farming in California: a few dozen Mexican men on their knees, plucking radishes from the ground, tying them into bundles. But the crews on Sabor Farms’ radish patch, about a mile south of the Salinas River, represent the cutting edge of change, a revolution in how America pulls food from the land.
For starters, the young men on their knees are working alongside technology unseen even 10 years ago. Crouched behind what looks like a tractor retrofitted with a packing plant, they place bunches of radishes on a conveyor belt within arm’s reach, which carries them through a cold wash and delivers them to be packed into crates and delivered for distribution in a refrigerated truck.
The other change is more subtle, but no less revolutionary. None of the workers are in the United States illegally.
are not coming in the numbers they once did.
There are a variety of reasons: The aging of Mexico’s population slimmed the cohort of potential migrants. Mexico’s relative stability after the financial crises of the 1980s and 1990s reduced the pressures for them to leave, while the collapse of the housing bubble in the United States slashed demand for their work north of the border. Stricter border enforcement by the United States, notably during the Trump administration, has further dented the flow.
the economists Gordon Hanson and Craig McIntosh wrote.
As a consequence, the total population of unauthorized immigrants in the United States peaked in 2007 and has declined slightly since then. California felt it first. From 2010 to 2018, the unauthorized immigrant population in the state declined by some 10 percent, to 2.6 million. And the dwindling flow sharply reduced the supply of young workers to till fields and harvest crops on the cheap.
The state reports that from 2010 to 2020, the average number of workers on California farms declined to 150,000 from 170,000. The number of undocumented immigrant workers declined even faster. The Labor Department’s most recent National Agricultural Workers Survey reports that in 2017 and 2018, unauthorized immigrants accounted for only 36 percent of crop workers hired by California farms. That was down from 66 percent, according to the surveys performed 10 years earlier.
The immigrant work force has also aged. In 2017 and 2018, the average crop worker hired locally on a California farm was 43, according to the survey, eight years older than in the surveys performed from 2007 to 2009. The share of workers under the age of 25 dropped to 7 percent from a quarter.
hire the younger immigrants who kept on coming illegally across the border. (Employers must demand documents proving workers’ eligibility to work, but these are fairly easy to fake.)
That is no longer the case. There are some 35,000 workers on H-2A visas across California, 14 times as many as in 2007. During the harvest they crowd the low-end motels dotting California’s farm towns. A 1,200-bed housing facility exclusive to H-2A workers just opened in Salinas. In King City, some 50 miles south, a former tomato processing shed was retrofitted to house them.
“In the United States we have an aging and settled illegal work force,” said Philip Martin, an expert on farm labor and migration at the University of California, Davis. “The fresh blood are the H-2As.”
Immigrant guest workers are unlikely to fill the labor hole on America’s farms, though. For starters, they are costlier than the largely unauthorized workers they are replacing. The adverse effect wage rate in California this year is $17.51, well above the $15 minimum wage that farmers must pay workers hired locally.
So farmers are also looking elsewhere. “We are living on borrowed time,” saidDave Puglia, president and chief executive of Western Growers, the lobby group for farmers in the West. “I want half the produce harvest mechanized in 10 years. There’s no other solution.”
Produce that is hardy or doesn’t need to look pretty is largely harvested mechanically already, from processed tomatoes and wine grapes to mixed salad greens and tree nuts. Sabor Farms has been using machines to harvest salad mix for decades.
survey by the Western Growers Center for Innovation and Technology found that about two-thirds of growers of specialty crops like fresh fruits, vegetables and nuts have invested in automation over the last three years. Still, they expect that only about 20 percent of the lettuce, apple and broccoli harvest — and none of the strawberry harvest — will be automated by 2025.
Some crops are unlikely to survive. Acreage devoted to crops like bell peppers, broccoli and fresh tomatoes is declining. And foreign suppliers are picking up much of the slack. Fresh and frozen fruit and vegetable imports almost doubled over the last five years, to $31 billion in 2021.
Consider asparagus, a particularly labor-intensive crop. Only 4,000 acres of it were harvested across the state in 2020, down from 37,000 two decades earlier. The state minimum wage of $15, added to the new requirement to pay overtime after 40 hours a week, is squeezing it further after growers in the Mexican state of Sinaloa — where workers make some $330 a month — increased the asparagus acreage almost threefold over 15 years, to 47,000 acres in 2020.
H-2A workers won’t help fend off the cheaper Mexican asparagus. They are even more expensive than local workers, about half of whom are immigrants from earlier waves that gained legal status; about a third are undocumented. And capital is not rushing in to automate the crop.
“There are no unicorns there,” said Neill Callis, who manages the asparagus packing shed at the Turlock Fruit Company, which grows some 300 acres of asparagus in the San Joaquin Valley east of Salinas. “You can’t seduce a V.C. with the opportunity to solve a $2-per-carton problem for 50 million cartons,” he said.
While Turlock has automated where it can, introducing a German machine to sort, trim and bunch spears in the packing shed, the harvest is still done by hand — hunched workers walk up the rows stabbing at the spears with an 18-inch-long knife.
These days, Mr. Callis said, Turlock is hanging on to the asparagus crop mainly to ensure its labor supply. Providing jobs during the asparagus harvest from February to May helps the farm hang on to its regular workers — 240 in the field and about 180 in the shed it co-owns with another farm — for the critical summer harvest of 3,500 acres of melons.
Losing its source of cheap illegal immigrant workers will change California. Other employers heavily reliant on cheap labor — like builders, landscapers, restaurants and hotels — will have to adjust.
Paradoxically, the changes raking across California’s fields seem to threaten the undocumented local work force farmers once relied on. Ancelmo Zamudio from Chilapa, in Mexico’s state of Guerrero, and José Luis Hernández from Ejutla in Oaxaca crossed into the United States when they were barely in their teens, over 15 years ago. Now they live in Stockton, working mostly on the vineyards in Lodi and Napa.
They were building a life in the United States. They brought their wives with them; had children; hoped that they might be able to legalize their status somehow, perhaps through another shot at immigration reform like the one of 1986.
Things to them look decidedly cloudier. “We used to prune the leaves on the vine with our hands, but they brought in the robots last year,” Mr. Zamudio complained. “They said it was because there were no people.”
Mr. Hernández grumbles about H-2A workers, who earn more even if they have less experience, and don’t have to pay rent or support a family. He worries about rising rents — pushed higher by new arrivals from the Bay Area. The rule compelling farmers to pay overtime after 40 hours of work per week is costing him money, he complains, because farmers slashed overtime and cut his workweek from six days to five.
He worries about the future. “It scares me that they are coming with H-2As and also with robots,” he said. “That’s going to take us down.”
Roller-coaster operators and lemonade slingers at Kennywood amusement park, a Pittsburgh summer staple, won’t have to buy their own uniforms this year. Those with a high school diploma will also earn $13 as a starting wage — up from $9 last year — and new hires are receiving free season passes for themselves and their families.
The big pop in pay and perks for Kennywood’s seasonal work force, where nearly half of employees are under 18, echoes what is happening around the country as employers scramble to hire waiters, receptionists and other service workers to satisfy surging demand as the economy reopens.
For American teenagers looking for work, this may be the best summer in years.
As companies try to go from hardly staffed to fully staffed practically overnight, teens appear to be winning out more than any demographic group. The share of 16- to 19-year-olds who are working hasn’t been this high since 2008, before the unfolding global financial crisis sent employment plummeting. Roughly 256,000 teens in that age group gained employment in April — counting for the vast majority of newly employed people — a significant change after teenagers suffered sharp job losses at the beginning of the pandemic. Whether the trend can hold up will become clearer when jobs data for May is released on Friday.
It could come with a downside. Some educators warn that jobs could distract from school. And while employment can itself offer learning opportunities, the most recent wave of hiring has been led by white teens, raising concerns that young people from minority groups might miss out on a hot summer labor market.
antique roller coaster and snapping people into paddle boats when she thought it paid $9 — so when she found out the park was lifting pay to $13 an hour, she was thrilled.
“I love it,” she said. She doesn’t even mind having to walk backward on the carousel to check that everyone is riding safely, though it can be disorienting. “After you see the little kids and they give you high-fives, it doesn’t matter at all.”
It’s not just Kennywood paying up. Small businesses in a database compiled by the payroll platform Gusto have been raising teen wages in service sector jobs in recent months, said Luke Pardue, an economist at the company. Teens took a hit at the onset of the pandemic but got back to their pre-coronavirus wage levels in March 2021 and have spent the first part of May seeing their wages accelerate above that.
raised the starting pay to $10 an hour and dropped the minimum age for applicants from 16 years old to 15. It seems to have worked: More teenagers applied and the city has started interviewing candidates for the open positions.
“Between 2020 and 2021, it seems like a lot of the retail starting salaries really jumped up, and we just kind of had to follow suit if we wanted to be competitive and get qualified applicants,” said Trace Stevens, the city’s director of parks and recreation.
Apps for Apps” deal in which applicants who were interviewed received a free appetizer voucher. Restaurants and gas stations across the country are offering signing bonuses.
But the perks and better pay may not reach everyone. White teens lost employment heavily at the beginning of the pandemic, and they’ve led the gains in 2021, even as Black teens have added comparatively few and Hispanic teens actually lost jobs. That’s continuing a long-running disparity in which white teens work in much greater numbers, and the gap could worsen if the current trajectory continues.
More limited access to transportation is one factor that may hold minority teens back from work, Ms. Sasser Modestino said. Plus, while places like Cape Cod and suburban neighborhoods begin to boom, some urban centers with public transit remain short on foot traffic, which may be disadvantaging teens who live in cities.
“We haven’t seen the demand yet,” said Joseph McLaughlin, research and evaluation director at the Boston Private Industry Council, which helps to place students into paid internships and helps others to apply to private employers, like grocery stores.
Ms. Sasser Modestino’s research has found that the long-running decline in teen work has partly come from a shift toward college prep and internships, but that many teens still need and want jobs for economic reasons. Yet the types of jobs teens have traditionally held have dwindled — Blockbuster gigs are a thing of the past — and older workers increasingly fill them.
Teenagers who are benefiting now may not be able to count on a favorable labor market for the long haul, said Anthony P. Carnevale, the director of Georgetown University’s Center on Education and the Workforce.
“There may be what will surely be a brief positive effect, as young people can move into a lot of jobs where adults have receded for whatever reason,” he said. “It’s going to be temporary, because we always take care of the adults first.”
Educators have voiced a different concern: That today’s plentiful and prosperous teen jobs might be distracting students from their studies.
When in-class education restarted last August at Torrington High School, which serves 330 students in a small city in Wyoming, principal Chase Christensen found that about 10 of his older students weren’t returning. They had taken full-time jobs, including working night shifts at a nursing home and working at a gravel pit, and were reluctant to give up the money. Five have since dropped out of or failed to complete high school.
“They had gotten used to the pay of a full-time worker,” Mr. Christensen said. “They’re getting jobs that usually high schoolers don’t get.”
If better job prospects in the near term overtake teenagers’ plans for additional education or training, that could also spell trouble. Economic research consistently finds that those who manage to get through additional training have better-paying careers.
Still, Ms. Sasser Modestino pointed out that a lot of the hiring happening now was for summer jobs, which have less chance of interfering with school. And there may be upsides. For people like Ms. Bailley, it means an opportunity to save for textbooks and tuition down the road. She’d like to go to community college to complete prerequisites, and then pursue an engineering degree.
“I’ve always been interested in robots, I love programming and coding,” she said, explaining that learning how roller coasters work lines up with her academic interests.
Shaylah Bentley, 18 and a new season pass taker at Kennywood, said the higher-than-expected wage she’s earning will allow her to decorate her dorm room at Slippery Rock University. She’s a rising sophomore this year, studying exercise science.
“I wanted to save up money for school and expenses,” she said. “And have something to do this summer.”
Goldbelly’s growth surpassed its expectations. Sales more than quadrupled last year, and it nearly doubled the number of restaurants on its platform, to 850. That, according to Joe Ariel, its co-founder and C.E.O., was because the company allows restaurants like Di Fara pizzeria in Brooklyn and Parkway Bakery and Tavern in New Orleans to go national: “We’re basically opening up a 3,000-mile radius for restaurants.”
Can that good fortune continue? As in-person dining resumes across the U.S., Ariel concedes that Goldbelly’s phenomenal growth rate last year “is not going to happen forever.” But its newest backers believe that restaurants will keep making online sales part of their businesses. Goldbelly is also counting on maintaining its lead by spending more on marketing, offering livestreamed cooking classes and relying on the loyalty of chefs.
Ariel didn’t deny that the company has its eye on an I.P.O. “In the future, we do want to be a public company,” he told DealBook.
The crypto tax thicket
Cryptocurrency’s rise to prominence is reflected in the latest U.S. tax documents (due today, in case you forgot). This year, a virtual currency question tops Form 1040, the individual income tax return form, right after the personal identifying information. The I.R.S. wants to know: “At any time during 2020, did you receive, sell, send, exchange, or otherwise acquire any financial interest in any virtual currency?”
Yes means no, sort of. If you only bought crypto with “real currency” then you aren’t required to answer “yes,” per the I.R.S. But this guidance is not binding, which means you can’t entirely rely on it. This relatively simple question, which is generating consternation among accountants, reflects the greater state of disarray when it comes to digital asset taxation.
“There’s very limited guidance on crypto,” Michael Meisler, a lawyer who leads EY’s crypto tax center, told DealBook. Basic tax principles apply to digital assets and many concepts translate from the physical to digital realm, but crypto is evolving fast. The approach taxpayers take depends on their tolerance for risk, Meisler said.
Cryptocurrency is property for tax purposes.That means that there is a tax liability for every sale or purchase using crypto, said Amy Kim, the chief policy officer of the Chamber of Digital Commerce, a trade group: “Imagine reporting the gain or loss on every cup of coffee you bought at Starbucks.”
Big Crypto wants the I.R.S. to flip its script. The tax authorities have engaged in an “enforcement-focused approach,” Kim said. “We believe this approach should be reversed — issue practical guidance, then enforce that guidance against those who do not comply.”
THE SPEED READ
Alex Rodriguez and the Jet.com cofounder Marc Lore agreed to buy the N.B.A.’s Minnesota Timberwolves and the W.N.B.A.’s Minnesota Lynx for $1.5 billion. (NYT)
George Soros’s investment fund was among those that scooped up stocks at a steep discount when they were offloaded by Archegos during its implosion. (Bloomberg)
The influential proxy adviser I.S.S. backed three of four candidates for Exxon Mobil’s board put forth by the climate-minded activist investor Engine No. 1. (Bloomberg)
Politics and policy
Rural areas are counting on President Biden’s infrastructure proposal, in particular its expansion of broadband access, to help attract more workers. (NYT)
Proponents of Biden’s planned revival of the International Entrepreneur Rule to grant start-up founders special visas say it will create thousands of new jobs. (Axios)
“The Deadly Toll of Amazon’s Trucking Boom” (The Information)
Goldman Sachs’s online consumer banking unit lost another top executive as its C.F.O., Sherry Ann Mohan, defected to JPMorgan Chase. (CNBC)
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Leslie Moonves, who was fired from CBS in 2018, will receive nothing from the $120 million the company set aside in a potential severance package. (NYT)
Some advice on how to prevent the re-emergence of workplace cliques as people return to the office. (FT)
The publicly traded New Jersey deli with a $100 million market cap that David Einhorn identified as a symptom of irrational markets has fired its C.E.O. (CNBC)
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REHOBOTH BEACH, Del. — Dogfish Head Craft Brewery is struggling to hire manufacturing workers for its beer factory and staff members for its restaurants in this coastal area, a shortage that has grown so acute that the company has cut dining room hours and is now offering vintage cases of its 120 Minute India Pale Ale as a signing bonus to new hires.
The company is using its hefty social media presence “to get the bat signal out” and “entice beverage-loving adults” to join the team, Sam Calagione, the company’s founder, said on a steamy afternoon this month at Dogfish’s brewpub, which was already doing brisk business ahead of vacation season.
Economic activity is expected to surge in Delaware and across the country as people who missed 2020 getaways head for vacations and the newly vaccinated spend savings amassed during months at home.
Yet as they race to hire before an expected summertime economic boom, employers are voicing a complaint that is echoing all the way to the White House: They cannot find enough workers to fill their open positions and meet the rising customer demand.
April labor market report underscored those concerns. Economists expected companies to hire one million people, but data released on Friday showed that they had added only 266,000, even as vaccines became widely available and state and local economies began springing back to life. Many analysts thought labor shortages might explain the disappointment.
Some blame expanded unemployment benefits, which are giving an extra $300 per week through September, for keeping workers at home and hiring at bay. Republican governors in Arkansas, Montana and South Carolina moved last week to end the additional benefits for unemployed workers in their states, citing companies’ labor struggles.
President Biden said on Monday that there was no evidence that the benefit was chilling hiring. In remarks at the White House, he said his administration would make clear that any worker who turned down a suitable job offer, with rare exceptions for health concerns related to the coronavirus, would lose access to unemployment benefits. But school closings, child care constraints and incomplete vaccine coverage were playing a larger role in constraining hiring, the president said.
He called on companies to step up by helping workers gain access to vaccines and increasing pay. “We also need to recognize that people will come back to work if they’re paid a decent wage,” Mr. Biden said.
In tourist spots like Rehoboth Beach, companies face a shortage of seasonal immigrants, a holdover from a ban enacted last year that has since expired. But the behavior of the area’s businesses, from breweries to the boardwalk, suggests that much of the labor shortage also owes to the simple reality that it is not easy for many businesses simultaneously to go from a standstill to an economic sprint — especially when employers are not sure the new boom will last.
The New York Times visited last year to take the temperature of the labor market, think workers will come flooding back in September, when the more generous unemployment benefits expire.
At least 10 people in and around Rehoboth, managers and workers alike, cited expanded payments as a key driver of the labor shortage, though only two of them personally knew someone who was declining to work to claim the benefit.
“Some of them are scared of the coronavirus,” said Alan Bergmann, a resident who said he knew six or seven people who were forgoing work. Mr. Bergmann, 37, was unable to successfully claim benefits because the state authorities said he had earned too little in either Delaware or Pennsylvania — where he was living in the months before the pandemic — to qualify.
Whether it is unemployment insurance, lack of child care or fear of infection that is keeping people home, the perception that the job market is hot is at odds with overall labor numbers. Nationally, payroll employment was down 8.2 million compared with its prepandemic level, and unemployment remained elevated at 6.1 percent in April.
shorti” hoagies each shift for new associates. A local country club is offering referral bonuses and opening up jobs to members’ children and grandchildren. A regional home builder has instituted a cap on the number of houses it can sell each month as everything — open lots, available materials, building crews — comes up short.
Openings have been swiftly increasing — a record share of small business owners report having an opening they are trying to fill — and quit rates have rebounded since last year, suggesting that workers have more options.
Mr. Bergmann is among those who are benefiting. He said he had a felony on his record, and between that and the coronavirus, he was unable to find work last year. He struggled to survive with no income, cycling in and out of homelessness. Now he works a $16-an-hour job selling shirts on the boardwalk and has been making good money as a handyman for the past three months, enough to rent a room.
Brittany Resendes, 18, a server at the Thompson Island Brewing Company in Rehoboth Beach, took unemployment insurance temporarily after being furloughed in March 2020. But she came back to work in June, even though it meant earning less than she would have with the extra $600 top-up available last year.
“I was just ready to get back to work,” she said. “I missed it.”
She has since been promoted to waitress and is now earning more than she would if she were still at home claiming the $300 expanded benefit. She plans to serve until she leaves for the University of Delaware in August, and then return during school breaks.
Scott Kammerer oversees a local hospitality company that includes the brewery where Ms. Resendes works, along with restaurants like Matt’s Fish Camp, Bluecoast and Catch 54. He has been able to staff adequately by offering benefits and taking advantage of the fact that he retained some workers since his restaurants did not close fully or for very long during the pandemic.
optimism and trillions in government spending fuel an economic rebound. If many businesses treat the summer bounce as likely to be short lived, it may keep price gains in check.
At Dogfish Head, the solution has been to also temporarily limit what is on offer. The Rehoboth brewpub has cut its lunches, and its sister restaurant next door is closed on Mondays. Mr. Calagione said he did not want to think about the business they would forgo if they cannot hire the dozens of employees needed by the peak summer season.
But as it offers cases of its cult-favorite beer and signing bonuses to draw new hires, the company seems less focused on another lever: lasting pay bumps. Steve Cannon, a server at Dogfish Head, can walk to what he regards as his retirement job. He said he was not thinking of switching employers, but several co-workers had left recently for better wages elsewhere.
“There’s nobody,” said Mr. Cannon, 57. “So people are going to start throwing money at them.”
When asked if it was raising pay, Dogfish Head said it offered competitive wages for the area.
DealBook obtained an internal training video played for foreign workers at Cerner, a medical software provider and the largest H-1B visa user in Kansas City, Mo. In the video, the company provided three options for employees who didn’t win the H-1B visa lottery: Re-enroll in a degree program and work for the company on a student visa, a practice embraced by companies and universities in recent years; move to India if they had authorization to work there; or leave the company. Cerner declined to comment on the training video.
Obtaining a work visa is getting marginally easier. The Biden administration has already lifted some of the Trump administration’s changes to the application process. Spouses of immigrants applying for work permits will no longer need to be fingerprinted and photographed, a requirement that was put in place in 2019 and lengthened processing time, forcing tens of thousands of workers, like Mr. Parashar’s wife, to wait in visa backlogs during the pandemic.
In late April, the Biden administration issued policy guidance that asked immigration officers to defer to prior decisions when reviewing visa extension cases, a long-existing practice that was rescinded in 2017. The policy memo that made it more difficult for entry-level computer programmers to get a work visa was also rescinded in January.
These changes are taking place against a backdrop of a long-term trend in work force globalization that is driven by many factors, including the availability of skills and the relative cost of labor in other countries. For example, according to a review of jobs posted on top H-1B users’ websites by the data provider Thinknum, since 2018 the share of job openings outside the United States at Accenture, Capgemini and Cognizant has grown while the share of advertised U.S. jobs has shrunk.
If companies can’t get the visas they want to sponsor foreign workers in the United States, there is little stopping them from hiring workers outside the United States. And the increasing acceptance of remote work after the pandemic may mean even more types of jobs can be filled anywhere in the world.
Ben Wright, the chief executive of Velocity Global, a professional employer organization that hires workers overseas for clients while they wait for U.S. visas, said companies had been willing to accommodate foreign workers who could not come to the United States because of pandemic restrictions.
“You’re also seeing hiring managers say, ‘My gosh, my eyes are opened to the fact that we really can work from anywhere,’” he said. “That’s pulling these companies globally in a way that has never happened.”
Leave your partner and children behind. Quarantine for up to a month. Get inoculated with a Covid-19 vaccine from China, if you can find one. And prepare yourself for an anal swab.
For the past year, people trying to go to China have run into some of the world’s most formidable barriers to entry. To stop the coronavirus, China bans tourists and short-term business travelers outright, and it sets tough standards for all other foreigners, even those who have lived there for years.
The restrictions have hampered the operations of many companies, separated families and upended the lives of thousands of international students. Global companies say their ranks of foreign workers in the country have dwindled sharply.
At a time of strained tensions with the United States and other countries, China is keeping itself safe from the pandemic. At the same time, it risks further isolating its economy, the world’s second-largest, at a moment when its major trade partners are emerging from their own self-imposed slumps.
barred the entry of foreign workers and students since late December.
In China, officials regard travel limits as crucial to their success in containing the virus. Since the outbreak started, China has reported more than 101,000 Covid cases. Although questions have been raised about the accuracy of the numbers, they are far lower than in the United States, where 29.8 million people have tested positive for the virus. China’s strategy reflects its strengths as well as its weaknesses.
China was the only major economy to grow last year. It knows businesses will find a way to keep their Chinese operations running, with or without expatriates, and it is betting that they will come back when the pandemic eases. At the same time, China’s restrictions highlight the inadequacies of its vaccine rollout, which has been slow compared to those of the United States, Britain and other countries.
have said that foreigners wanting to enter China could avoid some visa paperwork by taking a Chinese-made Covid-19 vaccine. The government has presented the rule as an easing of its visa application procedures. But it does not help travelers from countries like the United States where Chinese vaccines are not available.
“It’s kind of a Catch-22,” said Jeff Jolly, who has been stuck in the United States since July after leaving Shanghai, where he runs a language training center and academic consultancy.
In a statement, China’s foreign ministry said: “We believe this is a meaningful exploration of facilitating international travel once mass vaccination has been achieved.”
As deadlier and more infectious virus variants appeared in other countries in recent months, China introduced onerous new requirements.
At the end of last year, it essentially stopped allowing anyone to bring a spouse or child into the country. Since January, travelers arriving in Beijing from countries with severe outbreaks have had to endure weekly anal swab tests while in quarantine, with fecal material tested for traces of the virus. The measure prompted indignant complaints from the United States and Japan.
temporarily suspend the entry of foreigners from Britain, even if they had visas or valid residence permits. It described the move as a “temporary response” as cases of Covid-19 surged in Britain.
The situation has left Ms. Astbury Allen feeling overwhelmed. She worries most about the trauma this separation is inflicting on her daughters.
Her 12-year-old, Livia, became depressed and hid under her blanket, refusing to come out of her room for three days. When Mae, her usually cheerful 7-year-old, saw her mother crying last month, she became very upset and emotional, Ms. Astbury Allen said.
“I said, ‘Do you miss your dad, honey?” said Ms. Astbury Allen. “And she said, ‘Yes,’ and I said: ‘It’s OK. We miss him, too.’”
Elsie Chen , Coral Yang and Claire Fu contributed research.