Americans Work 25% More Than Europeans, Study Finds
bloomberg.com
bloomberg.com
People earn a wider range of incomes in the U.S., so “workers have an incentive to try harder to move up the job ladder because a promotion is worth more,” said Dora Gicheva
-The income range in the US is so large that there are lots of people at the bottom end who have to work multiple jobs. How much does that have to do with the longer work hours, Bloomberg?
Generous pensions in Europe are also a strong factor in discouraging older people from working, the study said. In the U.S., more people over 65 are working than at any point in the past 50 years. The U.S.’s shift from traditional pensions to 401(k) plans makes it harder for Americans to know when it’s safe to retire.
-This sounds less like people in Europe are "discouraged" from working, rather than many Americans must work longer because they can't retire.
Edit: Formatting
Reminds me of this: https://www.youtube.com/watch?v=xNzXze5Yza8
I support an AEC firm and the 'architects' (quotes because most have not been licensed yet) typically work 10-12 hour days, sometimes weekends on a salary. Their take home income might be at a certain level but their effective hourly rate is reduced.
Now, there is the argument out there that working those incredible hours can lead to more income since in American work culture a lot of managers see overwork = strong work ethic / good employee (rather than, as I see it, poor planning and utilization of resources).
I've worked crazy hours (80-90 hours/week) in other circumstances but I was paid for each and every one (with OT and double time). It was great money but I burned out eventually and have pursued the 40 hr/week life instead.
Well, maybe correlation doesn't imply causation in that case but here is what I can see:
- US > Canada > Europe in terms of opportunities, be it starting salary, end-of-career salaries, and everything in the middle such as promotions, personal growth, etc. - Europe > Canada > US in terms of social support - Europe > Canada > US in terms of work/life balance.
And it's interesting to see how things are different and it looks like there IS causation.
- People in the US work more
- The separation between work and personal life In the US people all have their emails/chats on their personal cellphone, will work on weekends without much reason, will be talking about work with friends more, will show more passion about their company, will show more ambition. In Europe, people seem to take their job more as a secondary things AFTER their life. Their have less coworkers-friends, they talk less about work, show less ambition about a promotion/new job coming.
- People seem to try harder at lower scale jobs in the US There is often the excuse of the tips for waiters etc.. but it's the same for customer support and things like that. When you call cust sup in Europe, the service is way worst. People to try as hard to make the extra effort, etc.
Overall you really explicitly see and feel that most people just see their current job as an end state, versus in the US people constantly work hard to reach the next step and have more ambition.
I'm sure it's in part because there are indeed less opportunities (harder to get promotions, salaries varies less, etc.) and it's harder to move from a class to another compared to the US.
That's mostly my feeling, but it seems like it's so obvious... and Canada, really, is in the middle of those 2 extremes.
Not true: social mobility in US is lower than in Europe and Canada.
http://www.theatlantic.com/business/archive/2015/07/america-...
http://www.economist.com/news/united-states/21595437-america...
https://www.brookings.edu/blog/social-mobility-memos/2015/05...
http://www.epi.org/publication/usa-lags-peer-countries-mobil...
http://www.economist.com/news/briefing/21640316-children-ric...
https://www.washingtonpost.com/news/wonk/wp/2016/08/03/there...
http://www.epi.org/publication/usa-lags-peer-countries-mobil...
It's not measuring upward mobility, but mobility in general. Seems suspect.
http://www.statcan.gc.ca/pub/11-626-x/11-626-x2016059-eng.ht...
The rich stay rich, more than the poor stay poor (in Canada).
But the number is about [relative change in income across] the population - if most people are poor (which they are) high mobility across the population likely means poor people are moving up (or indeed getting much poorer - halving your income when you're already in the lower quartile would probably be as big a shift as doubling it - if not more).
You're right to ask for more detail, though.
https://en.m.wikipedia.org/wiki/Social_mobility
Graph down the bottom.
It'd be interesting to see a breakdown of the UK on the various countries though.
If you are born middle class or with an intact family structure or immigrate, opportunity is unlimited. If you're born here poor/without a family structure, or were born in the wrong place, you're stuck in a feudal-like system.
To put it another way, if everyone made the same wage, an increase in salary of $1 would check the box for "social mobility" because it would move you into the top percentile.
At the end of the day, the difficulty with these comparisons is that social mobility measured in percentiles may be the same in a country where it is next to impossible to rise above your parents' social class as in a country where it is completely pointless to even want that.
In my country (Finland), for instance we don't force anyone to live in the streets. IMO, this creates huge amount of value from second order network effects - better childhoods, better social stability, people are more employable (if we only had jobs). I hope we can still afford this amount of social wellfare after a few decades.
In such a society, any meaningful definition of social mobility has to include more than just income percentiles.
So, we probably need prices and actual money for resource optimization, with human-sized goals for individuals to aspire to. But how to optimize human condition is partly a separate question and requires placing some value on the life experiences of individuals disrespective of their economic status.
I can't speak about Canada but I seriously doubt that social mobility is higher in Europe. Again, you can't generalize. It may be far easier to move from a class to another in Germany than for example Italy or France.
e.g. https://www.oecd.org/eco/growth/NERO-22-June-2015-income-ine...
http://wrap.warwick.ac.uk/81/1/WRAP_Naylor_twerp_781.pdf
Mobility is lower in the U.S. than in the U.K., where it is lower again compared to t he Nordic countries. Persis- tence is greatest in the tails of the distributions and tends to be particularly high in the upper tails: though in the U.S. this is reversed with a particularl y high likelihood that sons of the poorest fathers will remain in the lowest earnings quintile . This is a challenge to the popu- lar notion of ’American exceptionalism’.
US social mobility and wealth inequality are among the worst in the developed world.
You can make money in lumber, oil, mining, fishing and lots of other industries but it will not be 'easy' money by any definition, and if you get out without injury then you should consider yourself lucky. Long days, very hard work.
As a Canadian, I heartily recommend to anyone in the tech business - work remotely for EUR, USD, GBP, or CHF or relocate to the US. You can make good friends anywhere, but a 50% salary difference plus higher taxes takes a lot more to overcome.
I've considering applying for Canadian residency last year as I was looking for a new job but I quickly gave up.
There are many places in Europe with similar or even lower CoL all things considered, better social benefits, and a lot more opportunities.
Unless you specifically want to join an early stage startup, I don't see where Canada wins. But I might have missed something.
As a person from a third country talking about the USA and Europe (lives in US, traveled in EU), this absolutely rings true. At grocery stores in the US people have been unfailingly polite and courteous to me (even though they don't get any tips or anything). So at my job, if I have to interact with customers I always try to maintain that attitude.
Meanwhile in Europe they are usually grim faced and have a "get on with it" attitude, and have occasionally yelled or grimaced at me for minor errors like using a chip card wrong.
This varies dramatically within Europe. From personal experience, customer service is decent, polite and timely in the UK and Ireland, and generally awful in Germany. It's difficult to generalise across a continent with 700mil+ people (500+ mil in the EU), with enormous cultural variations and expectations of good service (much greater variations than in the US).
just in spain alone we have 4 different OFFICIAL languages
Again USA is 300 million people, from Rio Grande Valley to Seattle. Spain has 4 different official languages, but more languages are spoken in US than Spain.
edit: I am not even counting the contrast of Native American Reservations to Metropolis like NY, LA.
If so, please come visit on of the top 30 cities in the United States and spend a few days walking around different districts and interacting with different people. Don't believe what our exported media is telling you, we are far from a monoculture.
To compare your five supported languages with a country that has four official languages, and significant cultural diversity within those - and then the immigrant communities from many more equally varied nations - which is just one part of the 28 nation polity that was originally mentioned (which combined have 24 official languages at the EU level, and many more at the national level) - is just really quite silly.
However, 32 US states do declare English as their official language. That's certainly more homogenous than the EU, the original point of contention. Just 2 of 28 EU states declare their official national language as English, and only one of these has English as their only official language (indeed, only the UK has English as their official EU language, which means English may no longer be an official language at the EU level after the UK leaves).
In the US, half of all states have English as their only official language.
This is all barely to the point, though (language is only a small part of culture). While the US may not be homogenous, it is clearly more homogenous than the EU, and by a large margin. The attempt to suggest otherwise was just absurd.
https://en.wikipedia.org/wiki/Languages_of_the_European_Unio...
People from the north of Belgium don't speak the same language as people in the south of Belgium. The dialects of German spoken in the north vs. the south of Germany are so different that they struggle to understand each other. If you want an example of people speaking English, compare accents in Scotland or Wales to that of London, which is a melting pot of everything from Cockney to Received Pronunciation. Now, imagine what it is like in between countries.
Seriously, trying to say that the difference between the accents of Louisiana, Socal, New England and Chicago are a big deal, throw in the Mexican accent, hell even a good dollop of Spanish, it is still really homogeneous. Compared to Europe where there are places two hours drive away from you which share none of the languages you speak, and where you will find nobody who speaks any of the dominant languages in the area you currently are. And not just a village, or a suburb or cultural enclave, but whole cities of people.
Why? Because there is a bloody border in between. These are different countries, they have evolved separately for centuries. Don't you get it? Those are not two states of the United States of Europa, those are countries forged with a millennium of historical evolution.
And implying that simply because people speak the same language they have the same culture is nuts. People in Utah have the exact same language and accent as people in California but the two populations have very different attitudes about family, education, marriage, religion, and government.
In fact you don't even need to cross state boundaries. Compare Park City, Utah with St. George, Utah. Different cultures. Compare any metro area with any rural area.
(Just to clarify, I don't mean to imply EU>US, just underlining the difference's depths)
Yup. Consider that in the last world war italians and finns didn't even fight on the same side until a certain point in time.
Europe is a melting pot of cultures and to be quite honest I like it that way.
In that sense, the US has a broader base of those enclaves within the country and less time to have built a coherent cultural identity between those populations.
Europe, by contrast, hasn't forced the veneer over all of the enclaves (eg, single language), but the enclaves share a more similar historic background.
It's different kinds of diversity, really. Stable multi-components versus broader partial fusion.
For example: England, Wales, Scotland and Northern Ireland each have unique cultural differences; distinct identities. The same goes for counties within England, e.g. Cornwall or Devon versus, say, Yorkshire.
I am not saying US is a monolithic culture all over, I've seen for example the difference (and lived for months) in LA vs small tourist/fishing place in Maine and quite a few places in between, but man... scale of differences in US is much, much lower compared to what we have here (indian reservations might add up a bit, but still - and those are just reminders of proper evil done by US not so long ago).
I've visited 5 continents and tens of countries, europe ain't my favorite place (that would be south east asia), but man we are way more diverse than anything I've ever seen or heard about considering size of this place (maybe one of the reasons EU will probably fail in long term)
Really?
Show me a state that speaks 4 major languages.
Show me a state that is majority Catholic. Majority Muslim. Majority Atheist.
Show me a state where euthanasia is legal. Or where abortion is banned outright. Or where all drug consumption is fully decriminalized.
Show me a state that is led by a monarch. Or one that is a direct democracy.
Those are just some of the examples of variations between Europeans countries, and I would not even consider Europe particularly varied compared to other parts of the world.
in terms of geopolitical differences, I think the "Protestant work ethic" tradition is a large driver of USA perceptions on work.
Conversely in Thailand, the emphasis on hierarchy and workplace harmony (no critical conversations) disincentives sticking one's head out, including working longer to work on a perceived deadlines.
I remember a sign at a Mac Donald's in New York that said something like "if the waiter doesn't smile, you get a free burger". In Europe you may not get the forced smile, but it doesn't mean the service is worse. Overall, I'd say the service is slightly better in the US, but you can see it's totally fake and I find it a little bit disturbing.
Personally I hate it when you've only just sat down and the waiter is asking what you want, especially if it's a big menu and you've arrived at a meal time.
What's even more annoying than them not coming on their own is that they actively try to avoid eye contact.
Yes, this is their culture and I respect it, but I just don't feel comfortable with it :/
When I visited the US it was like every 5mins asking if I wanted anything else, a drink, etc., etc.
The US on the other hand...
When you call customer support in the US, you get someone in India who barely speaks English. If you call customer support in the Netherlands you get a Dutch person because no one outside the Netherlands speaks Dutch.
Also, due to better consumer protection laws the actual results are often way better too.
Disclaimer: lived in the Netherlands for 20 years, living in the US for 12 years now.
They usually speak excellent English in my experience. Holding a phone conversation in a second language is very difficult.
San Fran vs Toronto vs Paris or Cleveland vs Vancouver vs London
Maybe I am misinterpreting but nobody is in a financial position to retire but continues working because of market volatility. Bonds are that volatile, and nobody with half a brain is heavily exposed to stocks if they have a high 6-/low 7-figure 401(k) and are planning on using that money for retirement income.
>People earn a wider range of incomes in the U.S., so “workers have an incentive to try harder to move up the job ladder because a promotion is worth more,” said Dora Gicheva
I do not view it as a positive spin. I could take the exact same statement and use it to point out the problem in the US.
Almost everyone I know in the US, regardless of their current income, is trying to get a promotion, simply because one is available.
They get something to do and bit of extra money. There is very little stress or risk as they can always fall back on pension. The only weird thing is that this has not happened sooner, as there is very "universal basic income" -like situation going on. It probably has something to do with overall elderly health improvements. And social perception that pensioners should be lightly sedated stay-at-home grandparents.
"Pension discouraging people from working" is at least partially load of bullshit.
It discourages the people who need to be stay-at-home grandparents for health reasons from being forced to work. ;)
That is always the dog whistle with US articles.
The people who work more are being 'rewarded' and the people who don't work as hard or want to retire are 'moochers'.
Very few people retire at 20 or 40; I fail to see why in an era where people are starting to expect to live until their 80s they should stop working at 65. Is it not good for us all to have the contributions, knowledge & experience of those over 65 in the workplace?
Pension plans (public & private) were built decades ago, based on assumptions which no longer hold true; should they not be revisited?
It seems that for most healthy, after 70 body goes down the drain too. I cannot imagine myself doing same software dev work at this age, all the bullsh*t and pressures that corporate jobs contain would make me leave on my own.
My plan is to retire earlier (60-61), not later! Enjoy the world, life and freedom of travel while there is still some strength in the body. I don't get why anybody would want to work more than necessary (unless your job is your hobby, but that is true for very few)
Life expectancy for lower class people, blue-collar workers, and manual laborers has not gained significantly - and neither has productive life expectancy.
If you threw out your back stocking shelves at 43, what exactly are you supposed to do? Get a desk job? If you were capable of getting a desk job, you probably would have done that before you crippled yourself.
Cause there's more to life than work? For most people, vacations are discouraged, and there's lots of stuff that people are told to "wait until retirement" to do. If they're never going to retire, when are they going to do stuff that isn't job?
I am still a believer in that you can move up in society but schools fail to teach people to prioritize their expenditures and to separate needs from desires. It is much easier to stay poor than to stay rich.
I am not sure of the European mindset but I do find a lot of new generations never seem to let go of the need to have the latest stuff. I have relatives in the 75+ range and even they are the stereotype of age, even the stove is older than the kids. Yet the younger generations have bought into an ever in debt lifestyle mostly because they never lived through a real depression or war.
It is very difficult to generalise. In Belgium for example you are legally forbidden to work. If you work or earn more than a very small threshold you lose your state pension. But then the pension used to be good for regular employee, so there was not really a need to work for a lot either.
Really those analysis are like tea leaves reading. You can build whatever story, but at the end of the day each country is a unique snowflake and another country model cannot just be applied.
Take the Belgian model before, so now put an incentive for older generations to work and you realise that another difference with the US is that the unemployment is much higher and you just added additional pressure on the job market.
Dig a bit more and you realise that Belgium has a unusually high level of old generation unemployment because of the specific model (early pension) they used to handle the worst of factory closure. So those people have been written off the job market and putting them back in is just resurrecting the initial problem only worse considering you would need to compensate for the years/decades of missing investment in the affected region/sector.
GDP?
Looking at [1], you can see that people in european countries come out on top of the happiness index. One could argue that working less is actually better for productivity and overall happiness.
[1] http://www.bloomberg.com/news/articles/2015-04-23/these-are-...
EDIT: And how much more holiday/vacation time we'd have if it was mandated at the federal level.
Stocks or bonds => income tax + capital gains tax
Real estate => property taxes + capital gains tax
Cash => taxed by inflation
Metals => capital gains tax
Don't forget truly rich have plenty of completely legal companies that advise them how to 'optimize' their taxes. Companies smarter and better equipped than your average lawmaker. I mean look at the presidential candidates - obviously both are doing it. Everybody rich is doing it.
EDIT: Links:
- http://www.nytimes.com/2015/10/17/business/putting-numbers-t...
- https://www.cbo.gov/sites/default/files/cbofiles/images/pubs...
Where are all these 60+ hour workers? Are they making even MORE money?
It's not hard to "work less" like that.
Maternity leave is much longer than paternity. And is paid for in full at my company for a time. FMLA allows 12 weeks total but it can be unpaid.
The main difference I've seen with the Europeans I work with is, they take big chunks off at a time in summer. They pay more taxes but have more time off. Most likely don't get full pay for Maternity/paternity leave.
All the money in SV could never make me go there if I never have time to spend it.
If I include national holidays I get 22 days off. No set sick days unless you're out for more than 5 consecutive days.
I'm not sure why you'd move to SV, startup life's seems like hell.
UK: 28
Austria, Denmark, Finland, France, Luxembourg, Norway, Sweden: 25
Iceland, Malta: 24
Portugal, Spain: 22
The EU mandates a minimum of 20 days, so all other EU member states have 20.
Of course, these are just the mandated minimums. Many employers will give more to be competitive.
1. https://en.wikipedia.org/wiki/List_of_minimum_annual_leave_b...
Most companies I've worked for offer a little more than the minimum, for example I get 23 days excluding bank holidays and that generally increases by a day per year you've worked at the company or something like that.
The legal minimum in Europe is 20 days' vacation plus national holidays. Competitive employers offer more.
I don't know about mountain view, but on Google's software dev salary you should be able to live within 10 minutes of pretty much all of their US offices. I know for sure it's possible in nyc.
(I realize this Bloomberg article has slightly different figures than the one I remember from another study. Maybe they used different ways to measure this, maybe the situation changed. I think the former.)
Switzerland is the happiest country but works the second most hours Belgium works the third least hours and is at 19 on the happiness chart * The US is still in the top 15 happiest countries
Is it even measurable? Some try. According to https://en.wikipedia.org/wiki/World_Happiness_Report Americans don't do badly - on par with Germans (who are close to the top as far as Europe goes) and ahead of the UK, France, Italy, Russia (to name the 5 Europe's major economies).
Silicon Valley and Seattle/Redmond are probably the most cut throat areas you could work in. It gets really nasty there.
Then when the .com bust happened, everybody started tightening their balance sheets, and huge piles of unused vacation time was an easy liability to get rid of. So they reduced the max vacation accumulation to 3 or 4 weeks over your yearly accrual in a year (but left you what you had, so you wouldn't gain new vacation if you were at the cap, but you wouldn't lose it either).
Then they tightened further, so you'd only accumulate 2 weeks, then 1 week over your yearly allotment.
It's possible that habits built when vacation was easy to hold on to die hard.
They aren't that richer either -- if anything the majority is less rich in standard of living than most western European and nordic countries. Getting some more money in your salary is not worth much if you have to give most of it to medical coverage and basic services.
It's borderline useless for determining the wellbeing of the average worker.
Blatantly false (see the other comment re: GDP). With a few exceptions[0], the US is very close to the top in terms of overall standard of living.
[0] https://en.wikipedia.org/wiki/List_of_countries_by_GDP_(nomi...
Even regarding GDP per capita, most the "few exceptions" you mention that trump the US are western European and nordic countries with the exception of #4 Qatar.
1 Luxembourg 102,717
2 Switzerland 80,603
3 Norway 74,598
5 Ireland 61,206
6 United States 56,084 <---
7 Singapore 52,888
8 Denmark 52,139
9 Australia 51,181
10 Iceland 50,277
11 Sweden 50,050
And don't think that a 10% change in GDP per capita (like e.g. from USA to Sweden) means much in terms of standards of living -- there's the distribution of this GDP, the organization of everyday life, work standards, state services, etc.The worst part is that crippling medical bills and college loan repayment are destroying us financially.
I think I'd be happier surviving what I can do myself than to keep doing this bullshit much longer.
Have you ever actually worked on a farm? Its not fun either, its actual hard work. Most farmers don't retire either. The historical way this worked was as you got older your family helped more on the farm until one of them took over. You worked till you died though.
> The worst part is that crippling medical bills and college loan repayment are destroying us financially.
You think your medical bills are bad now, wait until you start dealing with industrial machinery and hard work. Not to mention the fact that your insurance will come out of your pocket directly instead of being employer provided. Your college loans are a pittance compared to what it would cost to buy an economically feasible farm in the USA right now.
> I think I'd be happier surviving what I can do myself than to keep doing this bullshit much longer.
I'd recommend trying it for a summer before you burn your bridges in Software (which for the record, might be the cushiest way to make a living of all time).
Source: grew up on a farm.
I have no desire to sit in a "cushy" job just because it is one. That lifestyle may be harder, but I strongly suspect I'd get to the end of my life with less regrets about the whole thing.
Source: I grew up on a farm, too.
My first job at 13 was on a farm and I lasted about a week before I realized I wasn't made for that life and I started planning on going to college. There is a long tradition of people claiming that life is for them without having ever actually done it successfully (I'm looking at you Thoreau).
If you think that you'd be happier living that way I don't see much reason not to go do it. But the complaints in your comment don't seem to be addressed by your desire to work as a farmer. Your debt levels, insurance rates and chance for retirement are all likely to be much, much worse as a farmer (subsistence or otherwise) than as a software developer. In fact, right now, you would be hard pressed to find an occupation that optimizes for those 3 things better than working as a software engineer.
But, of course those things don't have to be tied to someones happiness. If they aren't tied to yours, don't conflate them.
By all means if this is what you desire, go for it. It just doesn't seem like a smart move to many here, me included (but we have very few info, so whole picture might be different)
Just save 50% of your money, retire cheaply at 45 or 50. It's not that hard to do with 100k+ salaries.
Once you get in the mind-set, the job becomes more fun. You know there's an end to it, and you have enough cash to walk at any time.
Er... I think you accidentally dropped a bucket of green paint on the other side of the fence :-)
In France, you can have up to 10 weeks of paid vacation (that's a bit extreme, but they are western europe commies after all).
Not sure about pleasantness of the cities, each is different, but one feels generally safer here.
We live more-than-comfortably and are able to save and make stupid impulse buys occasionally. We genuinely love where we live and are happy. For us, it seems just as insane to jeopardize that just for more cash and cheaper rent prices.
I know that isn't the case for everyone, but on average I'd advise someone to take Europe over the US, just for quality of life alone.
And even better, as you have more free time, you can use it for your own projects.
Well, unions do. But that's a good thing, it prevents a race to burnout.
For a regular programming job, I believe the the law applies (no more than 10h/day and (8h/weekday average over 6 months). Practically, it only matters if somebody cares about it which only happens systematically on larger companies with a union presence.
But: you're responsible for your employees and they can not waive this right. If you regularly tolerate it, you may run the risk of someone changing his mind after a few years and getting you into trouble, trouble being up to 15000 Euro in penalties and (theoretically) a year in prison if someone was harmed.
You can work longer for yourself, but not for someone else.
http://ec.europa.eu/social/main.jsp?catId=706&langId=en&intP...
i work for myself. i generally get to my office around 5am, leave at 230pm, spend around 4 hours every weekday with my wife and kids. i ski mid-week in the winter when there's fresh powder. i'll log research hours on the weekend. i have health insurance, savings, and happiness. i like my work and consider my hours logged a little light, but closer to adequate than 26 or 22 or whatever that bloomberg article says (50 - 60 a wk).
The concept of "quality of life" goes beyond the hours you work to also include having the opportunity to go after your ambition, if you have one. Culturally, I think one of the ways the US and Europe differ is that Europe imposes an environment designed to limit expressible ambition to the lowest common denominator, whereas US culture allows much greater variance in ambition. Or to put it another way, if it is your nature, it is easier to be ambitious in the US and easier to be non-ambitious in Europe. But all other things being equal, I prefer having the opportunity to be ambitious. Americans are not required to be ambitious, but many Americans take the opportunity nonetheless.
Federal and government (city, state etc.) jobs (perhaps excluding IT) are some of the most desirable jobs in US, with long waiting lines. Got try get a city job in NYC....
Your downvotes are probably for your unnecessarily inflammatory final sentence.
But it is. The data for public salaries generally has very good availability in the Information age.
If you're trying to participate in a discussion in an informed way, you should at least conduct the minimum due diligence to do so.
> The data for public salaries generally has very good availability in the Information age.
The salaries don't seem particularly high, and in some cases (construction workers and bus drivers, top quarter) seem particularly low. Of course a lot more goes into job satisfaction than Salary but I agree, this is not common knowledge.
http://money.usnews.com/careers/best-jobs/construction-worke...
But most Americans find government jobs to be unfulfilling and stifling for exactly the same reason -- it is a dead-end. I know it is different in other countries but "government job" has mixed connotations in the US.
I disagree - those people don't want much out of work, they still want plenty out of life. Most I've met have tremendously fulfilling family lives, or similar. Not to be discounted.
> To some extent, this is a choice many Americans
> intentionally make.
Uhm, to what extent do they have a choice? Be super poor or work hard. Hmm..yes those are delightful "options" to get to "select".But seriously, I don't see a realistic choice for most people. To have any decent level of security and stability in our lives, most of us have to work our asses off!
This part still bothers me after 10 years in the US. Health insurance might as well be a tax if you have a family or any ongoing health issues. Hearing people say "I don't support universal health care because my taxes would go up" drives me insane. If the proposition was higher taxes but less overall money spent on healthcare then it's a net gain for you. Of course there would still be many issues to resolve (is it 100% public or a public/private mix, how do you control costs, how to you serve the massive rural areas here, how to manage the job losses from removing insurance/billing from the industry etc) but tax increases is a shitty reason not to at least look into it. It also amazes me that the same people opposed to tax increases aren't the ones screaming to remove the burden of health insurance from employers.
There are many things I love about living in the US but I am still often amazed at how much the US accomplishes despite some of these barriers. Perhaps I am naive to assume the US would be even more dominant in the world if we could sort out basic issues that other countries seem to have already resolved.
Sure it would cost less, but then I'd be on the same insurance as everyone else. That means worse quality of care for those of us who currently have something other than Medicare.
I'm not sure the US model for primary care is that great either - there have been many articles about how medical clinics are now pushing people through in 10-15 minutes instead of taking the time to fully understand the patient's needs and avoid over prescription. A routine visit for my kid at the local clinic (Allina Health) is now $150 - $190 (for a 15 minute appointment to check for something basic that a PA at Minute Clinic wouldn't touch). That same visit back in my home country cost $43 USD (non resident rates).
I'm not sure there would be a significant drop in primary care for most people?
The US has some of the highest entrepreneurship rates in the world despite having a pretty weak government provided social safety net.
People would be far more likely to start a company if it didn't mean giving up their existing healthcare benefits and having to pay for it out of pocket.
I dont understand why everyone is so caught up with answering emails on vacation. Yes - it's not ideal, but as long as your not expected to be on your phone all day, and in my experience, you are not unless you own your own business, are a doctor, etc. then what is the big deal? 5/10 minutes of email's in the morning means Europeans have a better work/life balance ?
If you work for a small company they might need you to be available because you are an integral part of the operation. Id be surprised you are expected to answer emails on vacation if you currently work large company in the US where you are 1 of N team members where N > 50.
Shorter vacations spoil this. Emailing or talking on the phone while on vacation spoils this.
Quick question: Have you ever taken three consecutive weeks off work?
I'm 35, been working since I was 21, but still get a little (sometimes more) anxious each morning when coming to work and thinking that I have to open my email.
> 5/10 minutes of email's in the morning means Europeans have a better work/life balance ?
It's not "5/10" minutes. It's one or two hours before the fact, thinking "should I check my email? no, I'm sure everything is ok back at work", then another 2 or 3 hours after you actually checked your email, thinking at what you have just read and possibly replied. So, there goes half of your vacation day thinking and stressing about work.
The American culture honestly seems totally crazy to me. There is a massive difference in how you view yourselves over there. If you dont succeed at making some kind of a career, you feel like losers? Please step out of the matrix a little bit guys. Life is not getting some position in a company so you can work even more. Its about finding happiness.
I think a good percentage of people working their asses off and working 60 hours a week are people who ARE actually successful. I don't blame them for turning work into a hobby.
In my experience, smaller (non bigcorp) companies have to fight to survive and don't have these luxuries..
Just saying not everywhere in the US is as bad as people make it sound...
No, it is not. The guy is telling about a generic situation. And I can tell it goes the same way in Finland too.
Yours is an anecdote though. You know pretty well your case is not common.
I know a number of people here that have more flexibility in their jobs than the Sweden job as described. Did I say 'generically, US is better' or anything like that? No, because maybe it's not true. Maybe you two are right.
"Between 1979 and 2002, the frequency of long work hours increased by 14.4 percentage points among the top quintile of wage earners, but fell by 6.7 percentage points in the lowest quintile."
There are insinuations in this thread that the reason Americans work more hours is because the working poor have to work long hours to make ends meet. However, "There was no increase at all in work hours among high-school dropouts," from 1979 to 2002.
Americans working long hours is increasingly a higher income phenomenon. Which means those workers have more disposable income they could trade for shorter hours if they chose to.
I value my time and I am willing to take a pay cut to live in Europe, but the jobs are not simply there. Why can there be no middle ground? For now, the plan is to work hard and retire early. Real estate price chages in Europe can be considered flat compared to the US.
Italy unfortunately doesn't really have a well developed tech industry as far as I know.
There is quite a difference between the South and the North, two very different economies. If you ever want to try to work Italy go to the North. Probably Milan is the safest starting point.
That said, I'm sure that the UK, Germany and France are better off than Italy, even the North of it.
I would like to live and work in Italy as a freelancer, but I can only stay for 90 days at a time. Do you know of any ways to stay longer?
EDIT: Wow, I should have done some more research. Italy has a "long-term visa". But more exciting than that, Germany has an actual “self-employment” visa for freelancers. I might start with Germany then.
Of all my friends that "majored" in Computer Science in high school (which is what you do in Italy, ITIS Informatica), none of them work in software. Most never have. I heard of one classmate that was working as a software developer. Granted, I graduated a long time ago (well before social media) and have not heard from any of them since graduation.
Croatia is another country I like due to the lower costs and good weather.
I just found this startup visa, though: http://italiastartupvisa.mise.gov.it/#direct-application-sec...
I think I might actually look into this.
All administrative acts will require you to have a long-term visa in the country you are doing them.
So I've started spending about a third of my time abroad (more in the winter, less in the summer). Usually it's a week in some southern-european or mediterranean country, from Portugal to Egypt or Israel. Flights are about 60-200 Euros return, accommodation is around 25 Euro/day, and a changing scenery is actually pretty good for creativity.
I could spend more time away, but social life makes being at home too attractive. I wish there were a few more people and we could start the compiler-wielding traveling circus :)
It should be looked into if you want to put things in perspective.
In Germany business culture is certainly one of more intense focus, at least in office jobs. Not that it's representative of the whole Europe, of course.
Still, raw numbers don't say the whole story. That's why such findings should be taken with some distance.
Also, more people over 65 are alive, compared to any point in the past 50 years. Inability to draw insight from data is the 2nd biggest problem of media these days (the first is the linkbait/profit/ad broken business model)
These complaints about the supposed incompetence and/or bias of today's journalism are really getting old, but thanks for highlighting how idiotic they sometimes are.
- Probably the most obvious is meals. In most European countries its not uncommon to take a 2-hour lunch break and to take 2-3 hours for dinner. But at the same time, the quality of food is higher, meals tend to be larger social affairs (not something you do alone), and slower more relaxed meals probably aid digestion. This contrasts sharply to the obsession with fast food/quick service meals in the US that are mostly taken alone and on the run. In some cases it was frustratingly difficult for me to find a restaurant with quick enough service that I wasn't feeling like I was letting my own team in the US down.
- Transportation is less car-centric. What this means though is that a lot of people have a longer, if somewhat more relaxed commute. For instance, rather than a 15-20 minute drive if you live "near work", you might have a 10 minute walk + 40 minute train/metro ride. Sure, you /could/ be working on the metro in theory, or checking emails on your phone while walking. But people don't, and in a way that's great. It gives you a few moments of wakefulness where you don't have to focus and you don't have to think about work.
- Holidays. I'm not really sure how this works out in small and broad technical teams like Operations. But it seems like given the amount of holiday time Europeans are granted and take that there's probably someone out on holidays on your team at any given moment. On the other hand, I imagine that there are less stress-related deaths in Europe.
These are all just my first-hand observations, I haven't really dug into the stats around it, but I can imagine how these and other factors could easily lead to an overall reduction in work hours or even productivity vs American workers. On the other hand, I've found Europeans tend to be healthier and happier than Americans, so maybe it's not such a big deal?
https://m.youtube.com/watch?v=QPKKQnijnsM
A glowing example of how a huge economy can also be a terrible economy . That 25% is only the tip of the iceberg.
If Russia is the fall of communism , USA is the fall of capitalism. Two extremely stupid economic and political models.
Is it a coincidence that both countries have the most rich in the world and a terrible track record on wealth and income equality, workers and human rights ?
Nope
It is not true that both countries have the most rich in the world[sic].
Russia was never a rich country like the US - not before Communism, not during, and not after. It could create a good facade and a strong military, but that's not the same thing...
I really like working in July, the whole city is empty and nobody bothers me because they're on vacation :)
In Europe, Greece works the most hours, and yet they are hardly an economic success story. French people work fewer hours than British people, and yet France has better productivity measures. Italy works the fewest hours, but they are stuck in an economic mire. Industrial Era British factory workers worked many more hours than British factory workers today, and yet I'm certain that today's factory workers are much better value. There isn't a meaningful correlation to be found around working hours independent of other factors.
Why would Bloomberg release this as news?
I have a full-time position, and work a maximum of 37.5 hours every week.
I thought that was a pretty good hypothesis. It even reflects in the political tendencies each place demonstrate. A lot of people in the US aspire to be CEOs or rich, most people in France for example aspire to have a good glass of wine on the coast of France playing bocce ball all day.
To give some context, the other study I refer to found that Americans are happier when they work longer, while European were happier when they worked least.
During the 17th century England started to fight against slavery. One of the reasons is that with the Industrial Revolution, the only way to compete with them were with slave labor. Maybe we should combat slavery in USA.
Of all this is just old news for researchers
In my experience, that 25% does not equate to 25% more productive in any non-assembly line job.
Americans are busier, spend more time at work, and don’t get any more work done.
That's not really true. Traditional pensions rely on the financial health of whoever is paying the pension. Personally, I'd rather rely on a 401(k) than find out in my dotage the company I was depending on to pay the bills went belly up.
The real problem with retiring under 65 is health care. The situation is so muddled now it's impossible to predict what a health care plan or a serious illness is going to cost you five years hence.
The data given is in the article is far too sparse to draw any conclusions from. I hope the paper it's based on is more explicit and careful.
http://www.bloomberg.com/news/articles/2016-03-11/porsche-pr...
http://www.vox.com/2015/7/21/8974435/switzerland-work-life-b...
I understand that they're intending to compare us to other Western nations, but there's simply no way this is true globally.
Why is that?
It depends much more on niche, how well your market yourself, and what type of companies you work for.
EDIT: Basically, never accept the first offer. Brits rarely negotiate, but I negotiated up my last salary 50% over the initial offer, after going in specifically knowing the top end of the stated salary band was lower than what I'd consider. If you take the initial offer, you're being paid less than your employer was willing to pay. I've never had an offer pulled, in London or elsewhere, over trying to negotiate it. I've declined positions where I didn't get it quite high enough, though.
If you take the initial offer, then you'll be very lucky to get a good deal.
And aim for niches. E.g. PHP devs are dime a dozen. Talk to a recruiter and flat out ask them what skills they get most demand for and highest salaries for now. Just be honest and tell them you're considering what to skill up in. I do backend/devops stuff with AWS and other cloud services etc, and that'd doing ok, but there are other opportunities. And network as much as you can. You'll get your salary up a lot if you're coming in via a suitable recommendation rather than the normal hiring channels.
Just did a quick calculation for Brazil and for an employee that earns $1000/month, the employer has to spend $1528/month ($1000 salary + $528 in taxes and mandatory benefits).
Then you pay the tax on your revenue.
Then the company pay tax on revenue.
Then politics wonder why France is not attractive to investments
I get decent insurance through my job, but it's still fucking stupid how much I have to spend before it kicks in. Even then, there are all kinds of clauses and stipulations and loop holes. I guarantee if and when I really need my insurance it will fail me and I'll still come out in debt. There simply is not a "pay money and don't worry" insurance plan out there.
I've never had diabetes. I called my doctor and it turned out they coded one of my visits wrong and said I had diabetes, and it had been in everyone's system for at least a couple of years. Wonderful. Got it fixed, at least.
Even with sufficient health care, I try to avoid the doctor because of the cost.
If that is generally true then that is one really big difference between the US and northern Europe and Scandinavia. I never think of money when I or any of my family visit a doctor or hospital. Here in Norway I have to pay about USD30 to visit my GP, various fees for medical tests and so on, and I have to pay something towards any prescriptions but there is a cap on how much I will have to pay each year (about USD150 for drugs). Beyond that limit it is all free (except that of course it is paid for out of general taxation).
Perhaps the GP was referring to the 10% without insurance
Just wanted to make this less abstract for you. Lack of insurance led to a more complex situation that underinsurance leaves me helpless to solve, while homelessness waits for me to choose health over shelter.
With a low deductible, I'm paying more up front so I can pay less if I need care. With an HSA and HDHP, I'm paying less for insurance and putting the difference into an interest-bearing account that I keep with me. Two different jobs that offered HDHPs also offered HSA contributions or matches.
Over time, my HSA has grown to roughly 3x my family's deductible. Tell me how I'm losing out?
From what I've heard in the US a senior developer in a comparable location, i.e. West Coast/East Coast makes at least $ 100k per year.
On top of that, many American software companies give out stock, which almost no European companies do.
If for any unfortunate reason you are not able to land a decent-payed job, the situation in Europe is much, much better.
So yes, top workers life Software Engineers may earn less. But the safety net for the whole population is way better in Europe.
Source: https://en.wikipedia.org/wiki/List_of_countries_by_tax_rates
Corporate tax Norway: 25%
Corporate tax US: 35%
Individual (Min/Max) Norway: 0%/46.9%
Individual (Min/Max) US: 0%-3%/52.9%
Payroll tax Norway: 0%-14.1%
Payroll tax US: 20.2%
VAT Norway: 10%-25%
VAT US: 0%-11.725%
The tax systems are different though, for Norway, the max tax bracket is from 950.000 NOK (a bit over 100k USD). You do not pay tax until you make around 80k and the rates are progressive. You do have loads of deductibles though like paid interest, children, transportation etc.
So I wouldn't say we pay vastly more in tax here, but we still get social services.
The salaries here are not on EU level, but a bit higher. As an analyst I make about 1.1 million NOK/year. From that I pay around 350k in tax and that is not too bad compared to what we get in exchange. I actually have no objections to paying the tax.
Edit: BTW, I work 37.5 hours a week and two of the days are from home. And I have 27 paid vacation days a year + the public holidays :)
Edit2: the tax stuff was mangled, reformatting
The effective tax rates are incredibly low for the upper class. Miniscule.
The middle class pays on average around 25% in income tax.
The good news is this means there's an incredibly simple answer for why the US is underinsured and undereducated: the average american is not willing to pay the amount of money it costs to insure and educate the lower class.
Sadly in the US, the idealisms of socialism often also comes with certain european-centric identities, or commonly bastardized into race ideologies where their proponents emphasize a socialist "utopia" like Scandinavia. These people emphasize this socialism on the basis of certain similar attributes where they can afford such promises to a small percentage, through the removal or exclusion of those they decide are not like them.
Breaking down the US economic system, one would be quick to notice that there does indeed exist a kind of socialist utopia much inline with euro-centric ideologies. One that even dwarfs the so called socialist bastion of Scandinavia and europe.
The highest healthcare costs per capita:
US $8,713 Switzerland $6,325 Norway $5,862 Netherlands $5,131 Sweden $4,904
Expensive yes, but not extreme compared to some of the other richest European countries.
http://www.usatoday.com/story/money/business/2015/11/14/24-7...
edit: and anyway, your link vehemently disagrees with you on "extreme."
"While higher health care spending generally leads to better health outcomes, this is famously not the case in the United States. The country, which is one of the world's wealthiest, spends by far the most on health care. The United States spends around $8,700 per capita each year on health care, more than double the OECD average and well more than second place Switzerland.
"Despite the high spending, Americans are not anywhere near the world's healthiest. More than 35% of Americans are obese, one of the highest rate in the world, and exceptionally high compared with other countries spending the most on health. The United States is also the only top 10 country for health spending where the life expectancy does not exceed 80 years. Also, perhaps as a consequence of poor economic and social factors as well as the inefficient spending, adverse health outcomes such as infant mortality have increased in the United States. While in 2000, the incidence of infant mortality in the United States was lower than the OECD average, today it is higher."
Out of all of the countries you listed as expensive, only the U.S. has a system where you can pay thousands a year in premiums and yet still get zero coverage for your first 10k in medical expenses.
It's not hyperbole. It's simply just a fact. Other countries might also have high healthcare costs per capita, but at least they get what they pay for, and at least you don't end up bankrupt due to unforeseen medical emergencies.
And this is where it is unfair: If I am fairly wealthy (e.g. earning $150K/year in a not expensive city), then this is very affordable. However, someone earning $100K in the same city will pay the same premium - it'll hurt their wallet a lot more than mine. $100K will not get anyone government subsidies.
With tax-funded health care (as in Europe), the burden isn't on the poorer person, but on the richer one.
In the U.S., your insurance isn't terminated upon loss of employment. I don't know of any physical ailments whose treatments an insurer can legally opt out of insuring. I believe in the possibility of the odd exception here or there, but nothing as endemic as you suggest.
> I don't want to sound like some troll or something but theres tonnes of articles that go through the differences.
I'm a software developer in the U.S., my friends, colleagues, and other acquaintances aren't dropping dead around me for want of health insurance. Your extraordinary claims require extraordinary evidence. Mention of "tons of articles" isn't particularly persuasive.
However, if I want to put my wife and child on company health insurance, even the worst plan costs within $100 of my monthly rent.
It's not breaking the bank, but it is certainly a major part of our budget.
I'm not in London, but I'm seriously considering sniffing around for jobs which can be done with transatlantic remote working. Sadly that's a rare and oversubscribed option :(
That certainly wasn't the case when I was working in London about 10 years ago. The going rate for a Java contractor with banking experience was about £600 per day (then $1,100).
Have things changed that much in 10 years?
In US our company offices are moving from major tech hub to smaller city. Initially most people decided to collect severance and find another job locally but now many are finding it difficult to find job with generic IT skills sets and reevaluating their initial decision.
But 600 pounds is now like $750. Assume 4 weeks vacation, public holidays, time between contracts and you should probably assume 200 paid days per year. That's 120k pounds/year or $150k/year. Not great.
Not sure what contracting rates are like now. It's been awhile. When I was doing it (more than 10 years ago), banking contract was often north of 500/day.
Thing is, those contracting in banking jobs can be hard to get. Typically you need experience in banking. If demand exceeds supply (as it did in the late 90s) then that's not a problem. When supply is relatively high (as it was in the early 2000s) then that's a huge barrier to entry.
If you're locked out of that field your rates are typically much lower (at the time more like ~300-350 a day).
E.g. direct with clients it's perfectly possible to get contracts at 1k/day+ in London for relatively normal development jobs outside of banking once you have relationships with the right companies and you approach them as a consultancy rather than presenting yourself as an individual developer.
So, London might just be an outlier. Not taking Silicon Valley into account (which is another outlier, albeit in the opposite direction) in my experience US and EU rates for development work generally are quite similar
The point is: what are you going to do with all that money if you don't have the time to enjoy it? Even a cheap vacation can be more fun than slaving all year long and having only two weeks to do something with it.
Mexico? Interesting, I'd never have thought it.
'Nuff said.