Why are wages so low at the entry level - THE REAL REASON

As Oil Can Eddie pointed out, a class consciousness discourages office workers from unionizing. There’s a popular discounting company in Chicago called Groupon, where the account executives — who are all expected to have bachelors’ degrees — earn  $37,800 a year. Adjusted for modern dollars, that’s about Stanley’s starting wage, without overtime. Because they’re educated and sit safely at desks, they don’t think of themselves as blue-collar mopes who need to strike for higher pay and better working conditions.
The fact that many of today’s college graduates have the same standard of living as the lowest-skilled workers of the 1960s proves that attitude is wrong, wrong, wrong. If we want to restore what we’ve traditionally thought of as the middle class, we have to stop thinking of ourselves as middle class, no matter how much we earn, or what we do to earn it. “Working class” should be defined by your relationship to your employer, not whether you perform physical labor. Unless you own the business, you’re working class.

The greatest victory of the anti-labor movement has not been in busting industries traditionally organized by unions. That’s unnecessary. Those jobs have disappeared as a result of automation and outsourcing to foreign countries. In the U.S., steel industry employment has declined from 521,000 in 1974 to 150,000 today.
“When I joined the company, it had 28,000 employees,” said George Ranney, a former executive at Inland Steel, an Indiana mill that was bought out by ArcelorMittal in 1998. “When I left, it had between 5,000 and 6,000. We were making the same amount of steel, 5 million tons a year, with higher quality and lower cost.”

The anti-labor movement’s greatest victory has been in preventing the unionization of the jobs that have replaced well-paying industrial work. Stanley was lucky: After Wisconsin Steel  shut down in 1980, a casualty of obsolescence, he bounced through ill-paying gigs hanging sheetrock and tending bar before finally catching on as a plumber for the federal government. The public sector is the last bastion of the labor movement, with a 35.9 percent unionization rate. But I know other laid-off steelworkers who ended their working lives delivering soda pop or working as security guards.

http://www.alternet.org/real-reason-middle-class-dead?akid=11356.294211.rBr5wE&rd=1&src=newsletter942324&t=5