Robert Reich Highlights 87% Rise in Productivity Since 1979, While Hourly Wages Have Only Grown by 32%; Union Membership Drops from 25% to 10%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 19 2025
0mins
Should l Buy BRK.A?
Source: Benzinga
Union Membership Decline: Robert Reich highlights that the decline in union membership from 25% in 1979 to 10% today has contributed to a disparity where productivity rose by 87% while hourly pay only increased by 32%.
Impact of Policy Changes: Reich attributes the shift in wage stagnation and wealth concentration to policy changes initiated during the Reagan administration, including tax cuts for the wealthy and weakened antitrust enforcement.
Reverse Spillover Effect: Retired union organizer Bill Barry notes that the decline in union strength has led to a "reverse spillover" effect, where non-union companies are lowering workplace standards, negatively impacting wages and benefits for all workers.
Call for Organizing: Both Reich and Barry emphasize the need to refocus on grassroots organizing within the labor movement, arguing that political spending should prioritize new union drives to combat rising inequality.
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Analyst Views on BRK.A
Wall Street analysts forecast BRK.A stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for BRK.A is USD with a low forecast of USD and a high forecast of USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
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Current: 756943.000
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Current: 756943.000
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About BRK.A
Berkshire Hathaway Inc. and its subsidiaries are engaged in diverse business activities, including insurance and reinsurance, utilities and energy, freight rail transportation, manufacturing, services and retailing. Its segments include Insurance, Burlington Northern Santa Fe (BNSF), Berkshire Hathaway Energy (BHE), Pilot Travel Centers (Pilot), Manufacturing, McLane Company (McLane), and Service and retailing. The Insurance segment includes GEICO, Berkshire Hathaway Primary Group, and Berkshire Hathaway Reinsurance Group. The BNSF segment includes the operation of railroad systems in North America. BHE segment offers regulated electric and gas utilities and real estate brokerage activities. Manufacturing segment manufacturers various products, such as industrial, consumer and building products. The McLane segment is engaged in wholesale distribution of groceries and non-food items. The Pilot segment is an operator of travel centers in North America and a marketer of wholesale fuel.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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