CEOs Pandered to Wall St. by Slashing Human Capital Investment Pre-COVID. Now They Whine That Slaves with Skills Won’t Return to the Plantation, Blame COVID

One of the key features of a runaway bubble economy is deferring capex and slashing company work forces aka human capital, then taking on low interest mispriced debt to buy back inflated stock. The payback is instant gratification as the Wall Street Casino bids up the stock price.

But now it seems the worm has turned. Taking the railroad industry as a prime example that is widespread throughout the economy, the empty suits in management have come to realize that properly trained employees don’t just grow on trees and appear by osmosis. The companies need to develop them. Whodathunk?

Additionally, the lizard brains in the anarcho-tyranny sistema have elected to stimulate “the economy” by borrowing more debt to pay plebs liberally not to work. Although this number is now in the process of falling off a cliff, 12.6 million people are still claiming some form of unemployment compensation. The question begs: After being out of the labor market for well over a year or longer, how many of these folks are even employable? And colleges? They pump out debt enslaved social justice warriors.

And while they’re at it, more fuel is thrown on the fire of the fentayl and meth drug epidemics, taking even more workers out of circulation. How much more evidence is needed to reach the conclusion that fifth-column subversives are piloting the nation.

James Foote, the chief executive of CSX, one of the largest railroads in the U.S., put it this way during this week’s earnings call (transcript by Seeking Alpha):

“I’ve never seen any kind of a thing like this in the transportation environment in my entire career where everything seems to be going sideways at the same time,” he said.

“In January when I got on this [earnings] call, I said we were hiring because we anticipated growth. I fully expected that by now we would have about 500 new T&E [train and engine] employees on the property,” he said. “No way did I or anybody else in the last six months realize how difficult it was going to be to try and get people to come to work these days.

“It’s an enormous challenge for us to go out and find people that want to be conductors on the railroad, just like it’s hard to find people that want to be baristas or anything else, it’s very, very difficult,” he said.

“Nor did we anticipate that a lot of the people were going to decide they didn’t want to work anymore. So attrition was much higher in the first half of the year than what we had expected,” he said. “So even though we brought on 200 new employees, we fell short of where we thought we would be by now.”

This circle jerk all comes after railroads had spent six years shedding employees in order to please Wall Street analysts and pump up stock prices. The resulting deterioration in service triggered numerous complaints from shippers.

According to the Surface Transportation Board (STB), an independent federal agency that oversees freight railroads, the Class 1 railroads slashed their headcount from 174,000 workers in April 2015 to 116,000 workers in June 2021.

Dishonest management and narrative-pushing apparatchiks want you to believe the scamdemic is the root of this. However, by February 2020, just before the pandemic, their headcount had already been cut by 46,000 workers, or by 26%, to 128,000. Only 12,000 workers were cut during the scamdemic. The biggest work force reduction of about 32,000 took place in 2018-2019 — well before the scamdemic.

The American Chemistry Council — which represents companies in the chemical industry, such as BASF, Chemours, Chevron Phillips Chemical, DuPont, ExxonMobil Chemical, etc. — complained in a letter to the STB, published in the Wall Street Journal, that railcars were waiting at railyards for over a week, and travel times for some routes more than doubled.

Union Pacific temporarily suspended traffic from Los Angeles into Chicago. Factories were running out of materials because shipments had gotten hung up and were approaching the point where they’d have to close or cut production.

After a half decade of egregious short-termer business practices, “the regulator” opines after the fences were left open and the dogs were tipping over every garbage can in the hood.

“The railroads cannot strip down to bare-bones operations,” STB chairman Martin Oberman told the Wall Street Journal. “It’d be like a professional football team only having one quarterback.”

Jeff Sloan, senior director of regulatory and technical affairs at the council, pointed to the real culprit.

“The deteriorating service shows that the railroads cut too deep before the pandemic and were unable to catch up.”

Hyperinflation- the recent little consolidation correction didn’t last long.

14 Comments on CEOs Pandered to Wall St. by Slashing Human Capital Investment Pre-COVID. Now They Whine That Slaves with Skills Won’t Return to the Plantation, Blame COVID

  1. amerikkkans have become niggers,before they used to say that only us coons were lazy prefering welfare to real jobs (remember the reaganian myth of black welfare queens driving cadillacs and living lavislhy because of their many children from as many different unknown fathers ),now even whites are tasting the poison of kkkapitalism war on workers and ultra liberalism with their sinking power purchase since the late 1960’s and vietnam folly,the wiping of middle and working classes through deindustrialization wage cuts the strenghtening of anti-union laws,taft-hartley act in 1947,deregulation of entire sectors of amerikkkan economy started by ted kennedy and the trucking business,in 1975-6 ain’t sure of the exact date,then reagan and air controllers, the pyrrhic passing of nafta in 1992 the absolute”coup de grâce” helms- burton act,,selah hail to the new world economy of the establishment imposed and pursued by misleaders bill and al and h. and w. bushes ,barack hussein obama and creepy sleepy mentally degenerative joe biden “ruthless korrupt slept her way to the top kaballah” harris and trump lying cowards hypocrits and swine

    • It hasn’t always been this way, I grew up in the city and in our small neighborhood there were mostly 1st and second generation Europeans one Chinese family and 1black family. Most were blue collar but a few were white collar including the father of the black family. Their house was spotless as were they, they fit in, their ideals were the same as all the rest, they talked and dressed like everyone else. Years of social engineering has screwed all races. Look at tv shows and how they mold the mASSES. Lazy people are nothing new but it seems it has gotten much worse. Sometimes I think of the opportunity-less world we live in and I can understand why people just don’t give a shit. I worked my whole life at crappy jobs dealing with management less qualified then me but I managed to support myself..Is that possible now? I had an argument with an old fart when he was going off on how lazy everyone is (granted he made some good points) but this jackass lived at a time when you didn’t need an expensive (useless) college degree to live a good life, he worked for the same company for 30+ years, always had health insurance, got a pension and stock options. Is that possible today? Our world just gets uglier everyday at the hands of these kosher demons and their control of every lever of our society.

  2. Who would even want to work for a railroad? you make the same wage as a barista and have to work 60-70 hours a week traveling to the middle of nowhere and working nights. All these companies now pay really crappy wages but tell you that you can make a lot of money because they’ll give you 20-30 hours of overtime a week, and they think that this is a selling point lol.

    • Yes its a complete and utter farce. Politicians brag about job creation but it’s jobs that nobody wants. Like others have stated. Why would I want a job that pays the same as an entry level position but requires some sort experience and only offers more hours? That makes no sense at all. Give up your personal life for a job that pays just above minimum wage, and requires you to work 50-60hrs a week?! No thanks. Nobody wants that job. God didn’t put us on this earth to be debt slaves for hereditary corporatists.

  3. There’s a flaw in the logic of the great reset: if you terrify people with an unseen, unpredictable enemy that is everywhere, why would people want to risk working in the transportation industry (or any other business involving being exposed to large numbers of people).

    Given the subsistence hand outs, many people, particularly older skilled ones, are lying low waiting for the ‘all clear’ horn to blow. Add in wide spread paranoia about the experimental drug injections and associated bureaucratic ‘passports’ (what is happening in China, Africa, India, South America and the 3rd world?!) and you have a lot of sugar poured into the gas tank of the capitalist system that has always assumed ‘human resources’ will show up to work to survive…

  4. If the “grest reset” goes awry (and it will, since the insane are running the asylum) then what will be needed are actual skills–carpentry, plumbing, electric, auto-mechanic, sewing, clothes-making, shoe making (remember the days of shoe makers?), lumber jacks, and even simple cleaning skills (how many women now know how to clean their homes or apartments?)… and when no one will want to go to college. Social sciences are now a joke as is soon becoming the medical profession (but they’ll need funeral home directors for sure!) and the law profession and tech as well (after all why need techies when they’ll have the borg?) And then there is the “vaxx” notion of an actual “Children of Men” scenario (this is now a must watch movie, starring Daniel Craig). Hopefully, young men and women will find a way to learn these skills (as my son and daughter have…sheesh my daughter can even change a tire!) And, oh yeah, shooting skills as well….

    • Yes- it is my guess that most if not all the gen x & millennial sons & daughters of the the editors & commenters of this site exhibit an impressive degree of skill, intelligence, talent & ethics that have awarded them with professional success, earned & deserved. Our older son is a registered PE (civil) & fully relatable Christian father of two while our younger son is a research chemist whose scientific mind acknowledges the Designer.


    Ex-police constable Mark Sexton”s great speech.

    “Banking was conceived in iniquity and born in sin. The Bankers own the earth. Take it away from them, but leave them the power to create deposits, and with the flick of the pen they will create enough deposits to buy it back again. However, take away that power, and all the great fortunes like mine will disappear — as they ought to in order to make this a happier and better world to live in. But, if you wish to remain the slaves of Bankers and pay the cost of your own slavery, then let them continue to create deposits.”
    Sir Josiah Stamp (1880-1941), one time governor of the Bank of England, in his Commencement Address at the University of Texas in 1927. Reportedly he was the second wealthiest individual in Britain.

  6. China has been chosen as the new home of the International Bankers we , Europe and America ie. the West have been targetted for destruction or Build Back Better or had you not noticed?
    As antony C Sutton put it most eloquently Socialist or Communist countries cannot survive without the support of free nations.They think that a totalitarian World centered on Communism and Bolshevik Terror with Robots, Transhumans and Quantum Computers will work. It won’t of course but they will destroy everything finding out first.

    Antony C Sutton- Western Technology Built the USSR and Germany pre WW2

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