GM and UAW Make a Deal to End the Strike

Written by adminOctober 17, 2019
Business

On Wednesday, the United Auto Workers made a huge announcement that a new agreement has been made with General Motors. This strike is potentially strike-ending, but that is to be decided later today. The details of the new deal have yet to be shared. Yet, it’s said to bring about many of the changes the autoworkers felt was necessary enough to strike in the first place.

Many at the UAW were concerned about several of GM’s plants potentially going offline. The demands of the strikers include investment in new jobs, better health insurance, and increased pay. They also wanted to make it easier for someone to go from being a temp to full-time worker. Temps make up about 7% of GM’s workforce. They often use temp workers to avoid having to give them the same benefits and pay as full-time workers.

Healthcare was another major concern. General Motors was starting to put a larger burden of the cost of healthcare on the workers. They still have to pay a little bit of their health insurance costs, which totals around 3%. That number has been growing. GM wanted to bump it up to workers paying 15%, which they effectively were not interested in doing.

Another issue UAW took up is GM increasing production in Mexico. The company wants to keep investing plants and jobs in Mexico due to lower wages. This decision often comes with the closing of factories in the U.S., killing jobs here in the process. This has been a battle for several decades. Flint and Detroit are two examples of what happens GM pulls up stakes and moves production to a different country.

A New GM Deal

After about a month of picketing, it appears as if a new deal has been struck between GM and the UAW. The negotiations appeared to be close, as several times both sides seemed willing. The workers wanted to get back to work, but GM had the upper hand. They claimed to have several months’ worth of cars and trucks lined up, so they would be okay for a while.

Still, strikes are bad for business. Almost no one takes up for the company in this instance. Even presidential candidates came out for the workers and implored GM to give in to their demands. Now, it appears as if a deal has come. More details will be revealed soon about what was agreed upon.

The strike still isn’t officially over. The National Council and other ranked members of the UAW still have to agree to GM’s terms. Then comes the official vote. The strikers will remain on the picket lines until the vote happens.

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How Much Will Trump’s Tariffs Cost U.S. Households if New Deal Isn’t Struck?

Written by adminOctober 16, 2019
Politics

A new study has been conducted by J.P. Morgan that is revealed that the latest round of tariffs imposed by Pres. Trump will cost US households an additional $1000 per year. This goes to show exactly how much the average person suffers during a trade war. Right now, the tariffs are costing us an additional $600 per year, so that number is likely to go up.

The company got their figure looking at what a 10% tariff would do on the hundred and $12 billion worth of Chinese imports. The president has announced that this tariff will be imposed at the start of September, but he is currently considering scaling it back. Trump figures is not a good time of year tax Americans this close to the Christmas season.

The tariffs would be slapped on two very popular holiday items like laptops, toys, cell phones, and other electronics. If the tariff that he threatened goes through, which was a 25% tariff, it would cost us $1500 per year and it would dramatically slow down the busy Christmas shopping season.

“What distinguishes China Phase III tariffs from preceding tariffs is the impact to Consumption and Capital goods,” analysts wrote. While previous tariffs focused more on “intermediate goods,” this batch “suggests that the expected consumer impact should be larger in the latest round,” the bank’s analysts wrote.

The Tariffs Are Offsetting Any Tax Cut Gains

There’s really no point in cutting taxes and then turning around and placing increasingly higher tariffs on Chinese products. Currently these tariffs are offsetting any tax break us Americans were getting. It was estimated that around 80% of us were seeing some sort of tax decrease. Now that number is arbitrary.

“The impact from reduced spending could be immediate for discretionary goods and services since tariffs are regressive,” they wrote. “Unlike the agriculture sector which is receiving subsidies/aid to offset the impact of China’s retaliatory actions, there is no simple way to compensate consumers.”

If there’s one weakness that Pres. Trump has going into the 2020 election, it will be the tariffs and the impact they have on the economy. There’s no doubt that Trump is going to run on lower taxes and a much higher stock market. But the highs of the early part of his administration will continue to be dampened as the stock market keeps taking hit after hit, farmers are feeling an increasing brunt of the damage, and tariffs offset any benefits of the tax cuts.

This is going to make Pres. Trump very vulnerable in 2020 unless a new deal with China is created and put into place.

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PlayStation 5 Finally Gets a Release Date

Written by adminOctober 16, 2019
Entertainment

It’s been six years since PlayStation 4 made its way into the market. That model was extremely popular and brought us into a new era of gaming. The graphics were extremely advanced for a time. As everyone else caught up, it appears as if customers are ready for the next generation of gaming consoles. Fans are looking for a new and immersive experience. PlayStation 5 hopes to corner the market once again.

Sony is looking at a holiday season 2020 release for the PlayStation 5 console. That would be the best time of year to release a new, probably very expensive machine. Every kid is going to want one, so parents should be saving up now. In the meantime, we get to read about all the amazing improvements and updates for the new system.

One of the biggest improvements is the updated and completely redesigned controller. Sony wanted gamers to have a better feel in their hands for the world they’re entering. They call it ‘haptic feedback’, which is improved tactile sensations when holding the controller. The PlayStation 4 controllers have minimal shaking and rumbling at times. This time, they’ve updated the experience big time.

“With haptics, you truly feel a broader range of feedback, so crashing into a wall in a race car feels much different than making a tackle on the football field. You can even get a sense for a variety of textures when running through fields of grass or plodding through mud,” Jim Ryan, president and CEO of Sony Interactive Entertainment. “One of our goals with the next generation is to deepen the feeling of immersion when you play games.”

PlayStation 5 Finally Arriving

Of course, it’s not just the improved controller fans are after. It’s exciting to see how much better the graphics, audio, and processing power the new PlayStation 5 will have. Also, how well will it do against the Next Gen Xbox? Microsoft also has plans to release their console at the same time: holiday season 2020.

Currently, there are only three major brands providing game consoles, Sony, Microsoft, and Nintendo. Nintendo is on its own schedule. Out of the three, Sony is outperforming the others in sales. By the end of 2019, it’s estimated they would have sold 100 million PlayStation 4 systems compared to Microsoft’s 52 million units sold.

Google may also be looking to jump into the video game world. They plan on released Stadia during the same time period. Will they be able to enter the market and compete with the PlayStation 5? It all depends on how well the marketing campaigns run over the next year. Either way, which system will you choose?

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Edward Norton Says Spielberg is Wrong about Netflix Destroying Movies

Written by adminOctober 16, 2019
Entertainment

Less people are going to the movies these days. Ticket sales are down on average, despite recent films raking in all-time record high sales. Despite the Avengers taking over as the top grossing movie of all time in 2019, less people are going to the movies today. The entertainment value isn’t what it once was. Is Netflix to blame?

Steven Spielberg, perhaps the most famous name in the biz, recently blamed them. Netflix, in his mind, didn’t just destroy the rental industry. Blockbuster went out of business around the same time Netflix was expanding in popularity. But, is Spielberg right? Is Netflix pulling people out of the movie theater? The answer isn’t certain. While Netflix does create its own content, maybe they aren’t the ones really keeping movie-goers away.

Edward Norton has a different idea. As his newest movie “Motherless Brooklyn” is about to be released, he answered this very question. In his mind, it’s the movie theaters themselves that aren’t doing a good job. In fact, he even wants movie fans to call out their local theater if they aren’t providing a top-notch movie experience.

 “It’s the theater chains that are destroying the theatrical experience. Period, full stop. No one else,” said Norton. “A lot of filmmakers and cinematographers that I know that have really started to look into this say that more than 60 percent of American theaters are running their projector at almost half the luminosity that they’re required by contract to run it at,” Norton said. “They are delivering crappy sound and a dim picture, and no one is calling them on it.”

Movies in Today’s Netflix World

The costs of going to a movie these days are astronomical. Most families can easily drop $50-$100, depending on what they decide to eat and drink, for a single outing. But the quality they deliver is doing downhill. If people aren’t getting what they pay for, why bother? Of course, they would rather stay at home, save a few bucks, and turn on Netflix.

 “If [movie theaters] were delivering what they’re supposed to be delivering, people would be going, ‘Wow, this is amazing, I do not get this at home’…Well, I want people to literally walk into their theater and find the manager and say, ‘If this looks dark, you’re giving me my money back. Because I’m paying — and at the ArcLight, I’m paying premium — for a premium experience,’” said Norton

“If I disagreed with anybody, with great respect, it was [Steven] Spielberg,” Norton said. “Netflix invested more in ‘Roma’ theatrically than any boutique label at any studio would have by a factor of five. They put a Spanish-language black-and-white film all over the world in theaters. Hundreds of theaters, not just a few; as many as Sony Pictures Classics would have done. They put more money behind it, in a theatrical context, than anybody would have. You can’t tell me there’s a whole lot of people making black-and-white Spanish-language films and putting that investment behind them.”

Norton added, “There’s a lot going on because of Netflix, and what it was the vanguard of, that represents an unprecedented period of ripe opportunity for many more types of stories and voices to be heard, and told, and celebrated. It’s incredible, what’s going on.”

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Are You Thinking about Moving to a New State? Consider THESE 5 Things First!

Written by adminOctober 15, 2019
Life Style

Some people decide in life that it’s time to make a change. Maybe you’re tired of the current climate or political differences where you currently live. Perhaps you got a new job offer we want to go and help take care of family. Either way, moving to a new state or even area of the country can be a difficult process.

There are a lot of things most people do not consider. It all sounds good in theory when you’re making your plans or looking through pictures on the Internet, but reality often sets in during the process. Let’s take a look at 5 tips to consider before moving out of state:

1) The Grass Isn’t Always Greener

Maybe you went to a certain location for a vacation. Everything there was beautiful, you love the weather, and it seemed like a great place to live. This might be one of the bigger reasons why you’re moving out of state. You had a great experience somewhere and you know you want to make a change, so why not live in a place that others go to for vacation?

The reality is, the grass is always greener on the other side. You had a great experience there most likely because many vacation spots are designed to cater to the tourists. Every need and desire is often met, especially if you go to your resort or stay on the beach. A life with your feet in the sand and wind and the waves down the way isn’t the full picture of what it’s like to live there.

Eventually, you may end up not liking living somewhere that has a lot of regular tourism. It can really disrupt a calm and comfortable life when during seasons of the year the traffic is so crazy you can’t go anywhere or do anything. Consider all the options before moving. Talk to the people who live in that area and see what they think about it and the tourists who regularly visit.

2) Check the Driving Time Before Moving

Once again, you might think that living in a certain spot is going to be heavenly, until you realize just how much traffic and frustration a lot of these areas. This is especially true with areas packed with tourists. If you want to live next to a certain attraction, but the Disney for next the beach, look up on Google maps just how long it will take you to get around on a daily basis. Look at areas where you might work, shop, eat, and where you might call home.

3) Do Better Research on Places to Live

it’s easier to find a place to live in an area you can drive or it’s close enough to where you currently live at you have a good idea of what to look for. And a brand-new city in a faraway state, you’re not going to be so familiar with the area, the people, customs, or what are known as ‘expensive’ or ‘cheaper’ places to live. Do your best research looking into everyone.

4) Don’t Just Take Online Photos at Face Value

Online real estate videos and pictures don’t tell the entire story. They are designed to entice people when you actually go to look at the place, you might find that your little too close to your neighbors. You might find that the home isn’t in as good of shape as when the picture was taken. There may be a lot of appliances that need updating. Don’t be deceived into thinking that the picture is going to be 100% reality before moving.

5) Prices Can Be Crazy

In places with a lot of tourism, everything is a lot more expensive. As you can imagine, being closer to these landmarks can make life that much more expensive. The cost of rent, food, insurance, even the price of gas, will be much higher in these areas. Areas that are desirable can take advantage of the fact that everyone wants to be there, so they have no problem charging a fortune for things you can get much cheaper elsewhere. Consider this before moving.

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DoorDash Is Creating a Virtual Kitchen that Delivers

Written by adminOctober 15, 2019
Business

Imagine starting a restaurant that’s closed to diners. That’s exactly what DoorDash is doing. They’re looking to start up what they call a ‘virtual kitchen’ and it might be all the rage. The place they open will be a shared kitchen area where many businesses can come together and make the food that DoorDash then delivers to customers. No patrons will be allowed to dine in there, as no seats are available.

Redwood City, California looks to be the first virtual kitchen site. They have several businesses already looking to take part. They include The Halal Guys, Nation’s Giant Hamburgers, Rooster & Rice, and Humphry Slocombe. This venture is meant to be a win-win for both DoorDash and the restaurants themselves. Therefore, restaurants save money on providing dining space and DoorDash gets a cut of the delivery.

The delivery company currently offers service in 4,000 U.S. cities and in Canada and Australia. “We are constantly working on innovations that help merchants find new, meaningful ways to reach customers and run their businesses more efficiently,” Fuad Hannon, head of new business verticals at DoorDash, said in a statement. “We launched DoorDash over six years ago in the Peninsula, and can’t wait to bring even more selection to the local community we know and admire.”

“Given our founders’ Bay Area roots, we are always interested in how technology can change the way food is delivered and shared,” Min Park, chief financial officer of Rooster & Rice, said. “We were impressed by the overall partnership and scale DoorDash could reach with this concept, and we found the notion of a delivery-only kitchen in Redwood City very appealing as it helps us test out demand in new markets, reaching new customers and areas quickly.”

The DoorDash Virtual Kitchen Idea is Expanding

Companies like DoorDash really look to improve the convenience they offer customers. They’re locked in a battle with GrubHub and UberEats as other food delivery services. They’re also not the first company to come up with the virtual kitchen concept. Bon Appetit and Rachael Ray also want to jump into the game. It’s unknown if the virtual kitchen will spread to other large markets. Still, it seems like a promising way to give customers what they want. You make an order for what you want to eat and it comes to your door freshly cooked. This may change the way we eat forever

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Target is Raising Pay, But Worker Hours Are Suffering

Written by adminOctober 15, 2019
Real life

As the Fight for $15 minimum wage continues to rage, Target seems to be the hero. It was just a few short years ago when they stated they would raise their pay. By 2020, Target said all of their employees would be getting at least $15 per hour. Labor advocates cheered this victory as they continued to put on the pressure to get other companies to do the same.

As Target moves towards increasing wages, many employees aren’t happy. They say the move to start paying more isn’t benefiting like it should. To counter the loss of profit, hours are being cut. This is an expected move. Those who haven’t supported the Fight for $15 predicted that companies would be forced to cut hours to pay employees more money. That’s exactly what’s happening.

Now, Target workers are saying they’re getting paid more, but can’t afford healthcare or to pay their bills. They’ve noticed the number of hours they’re getting fall. Everyone, including department managers, have noticed hours being cut from their schedule. Also, getting paid more even puts you in a higher tax bracket.

“I got that dollar raise but I’m getting $200 less in my paycheck,” said one employee. She started the company working 40 hours per week, but has been cut to around 20 hours now that her pay is going up. “I have no idea how I’m going to pay rent or buy food.” This impacts many other aspects of their daily lives.

Target and Health Insurance

One of the more major concerns of employees is whether they can get health insurance. If hours are being cut, that puts many of them below the threshold. Target has a policy that doesn’t allow anyone who works less than 30 hours per week to qualify for health insurance. So, not only are hours being cut to afford the increased minimum wage, it’s forcing many to lose their benefits.

The company insurance has employees applying for coverage every spring. Several employees said Target started to give them good hours until about February last year. That was the time period in which their hours needed to qualify for insurance. Target instead deliberately cut their hours so they wouldn’t be able to get insurance.

“Target worked me hard from mid-July of 2018 to February 2019, right before my medical coverage was about to kick in,” said Caren Morales, a former Target employee in Diamond Bar, California. She says she was getting around 40 hours per week at that point. Right around the time she got a letter to sign up, it went downhill from there.

“They cut my hours right then, and so I begged for hours and always went above and beyond.” It wasn’t long before her hours barely scraped 15 per week. “I called in on May 1 and said, ‘I can’t come in today or ever again because I can’t afford my daughter’s daycare. You guys cut me really bad,'” Morales said.

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Bernie Sanders Releases New Plan for Doing Away with Medical Debt

Written by adminOctober 14, 2019
Credit & Debt

Medical debt is one of the fastest growing categories of debt in this country. Next to student loans, medical debt is ballooning at a record pace. It’s often medical emergencies that throw more people into debt and it’s often involuntary. Something happens and the costs of medical care are so astronomical that most people cannot afford to pay it off.

Bernie Sanders has been outspoken about helping Americans get rid of their debt. He’s famous for making promises to wipe out student debt. He’s now on the bandwagon for forgiving nearly $81 billion in overdue medical debt. This is a major step beyond anything any of his Democratic rivals have proposed. The furthest anyone else would go is wanting a completely government-run health care and insurance system.

“In America today, it is unacceptable that one out of every six Americans have past-due medical bills on their credit report, totaling $81 billion,” Sen. Sanders, I-Vt., said in a statement, adding: “It is immoral and unconscionable that families across the country are being evicted, having their heat disconnected, or having their already-inadequate wages garnished because of crippling medical debt while the health care industry made more than $100 billion in profits last year.”

Paying Off Medical Debt

People with medical debt are often the most vulnerable. They’ve had a horrible accident or contracted a disease. They have no choice but to seek medical care they know they cannot afford. When that happens, the person also loses out on valuable time at work. If they receive any money at all, it’s less than their usual salary. Throw in tons of medical debt, it’s a recipe for disaster.

Sanders wants the government to step in and help people negotiate down their debts. After the negotiation is completed, they will effectively pay off the debt. That includes any collection agency the debt has been referred to. It would also remove the debt from their credit score and allow people a chance to not be buried any further.

In announcing this new plan, Sanders didn’t say how he would get the money to pay the $81 billion. Like his plan to wipe out $1.53 trillion in student debt, many wonder how he’ll afford any of his promises. He also wants to make college free and offer free healthcare to every American. It seems as if the campaign that offers the most free stuff is likely to win the Democratic nomination.

Sanders acknowledged that $81 billion is “a lot of money,” but he added, “Compared to what? Compared to the $1.5 trillion that Trump gave in tax breaks to the one percent and large corporations. Compared to the billions of dollars that we spent bailing out the crooks on Wall Street 11 years ago. It is a lot of money but I think it’s the right thing to do.”

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China Not too Optimistic Yet About New Trade Deal with the U.S.

Written by adminOctober 14, 2019
Politics

Friday last week ended with a huge bang. It was announced that Trump has agreed to a new Phase One deal that would effectively put the trade war on hold. The news came at the end of the day, so the stock market rose sharply, but didn’t have too much time to stretch its legs. Many investors were expecting the market to continue towards a massive march upward today. That was until China appeared to throw a little cold water on the whole thing.

On Monday, China said there’s still a bit of work to do before the two largest economies in the world can hammer out the new trade agreement. There is certainly a lack of trust between the two sides. President Trump, at one time, declare the trade war to be over, only to throw on more tariffs a few days later. So, that means Beijing is being cautious.

“While the negotiations do appear to have produced a fundamental understanding on the key issues and the broader benefits of friendly relations, the Champagne should probably be kept on ice, at least until the two presidents put pen to paper,” wrote the state-owned China Daily. Essentially, there’s still a lot of time between now and December for talks to fall apart.

“Based on what I know, China-US trade talks made breakthrough last week and the two sides have the strong will to reach a final deal. Initial statement of the Chinese side is moderate,” he tweeted Monday morning. “This is China’s habit. It doesn’t mean China’s real attitude is not positive.”

The New Trade Deal

On Friday of last week, both China and the U.S. agreed on principal on a new trade deal The whole thing is expected to take about 5 more weeks to complete. That doesn’t mean there aren’t benefits being played out right now. China has said they will once again start buying more U.S. agriculture. This is good news for struggling farmers as we enter the harvest season.

China has also stated they will be making reforms on how they deal with intellectual property. That was one of President Trump’s biggest complaints. In return, the U.S. said they will not raise more tariffs. Trump was threatening to increase Chinese tariffs from 25% to 30% by October 15th. Now that it has been put off, the two sides seem to be warming up to increased talks.

Due to China’s careful optimism, stock futures were a bit more muted than expected on Friday. We’ll see how this deal plays out in the next few weeks. Hopefully a deal can be done and the trade war will be over before the holiday season gears up.

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3 BIG Financial Mistakes People Make in their 20s

Written by adminOctober 14, 2019
Real life

Let’s face it, when we untether ourselves from our parents, we tend to go crazy. We have freedom! Most of the time, that freedom comes with being unprepared for the real world. We have access to credit cards and loans of all types. That’s the problem many young people face. They were never adequately prepared for this new financial life.

A lot of parents expect schools to teach about financial health, but even they don’t do a good job. The reality is, how well you do in your 20s can set you up for the rest of your life. Yet, if you make a lot of mistakes, you can end up paying on massive debts for decades to come. This can be one of the largest barriers you have towards gaining financial freedom.

Let’s take a look at several financial mistakes a lot of people make in their 20s they often regret:

Financial Mistake #1: Living on their Student Debt

When you’re a late-teen or in your 20s, taking out student loans is easy. Many people sign on the dotted line without questioning whether it’ll become a problem later. And it will be a problem later. You see all the presidential candidates trying to wipe out student loan debt as it reaches $1.56 trillion. They also want to make college free. That’s because this kind of debt causes massive problems.

Many people decide to live off their student loans while going to college. It’s better than getting a job and only borrowing what they need. But student loan debt is causing people to put off making major life decisions. That’s because this debt sticks with them for a decade or longer after they graduate. Imagine spending the next 10-20 years of your life, paying on mostly interest. That’s what happens and many now wonder if going to college was worth it in the end.

Financial Mistake #2: Not Taking Care of Your Credit Score

It can be easy to get into a place where you borrow money, but fail to pay it back. Many young people fail to see how important it is to pay their bills on time, every month. They get caught up in the temptation of wanting to buy something or by having credit cards. But by neglecting your credit score, you set yourself up for failure later in life.

Potential employers can look at your credit score. So will future landlords. If you need a new vehicle or want to move into an apartment…credit score. Need emergency cash or want lower monthly insurance rates? Yes, you guessed it, credit score. The difference between having a good and a bad credit score can be hundreds per month. Don’t take it for granted!

Financial Mistake #3: Not Saving Money

Younger people tend to not be as careful as those who are older. That’s because older people have a lifetime of experiences they’ve learned from. Younger people don’t worry about saving. Retirement is barely in the back of their mind. If an emergency happens, then most young people still have their parents to lean on.

This is a major mistake. When you’re young, you should be saving money. As you get into your thirties, you’ll start to learn that the economy has cycles. Times might be good right now, but they haven’t always been. A recession will come. Your parents won’t always have the money they do now. When someone bad happens, you’ll have to rely on yourself to get by. This is especially true when you start to have a family. Start saving when you’re young!

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