The HR Dept. – How Socialism Kills Economic Progress

A common-sense principle of business is that managers must have the authority to hire and fire at will. After all, the very reason for a business to exist is to generate a profit for the owners and investors. So managers will compete for the best employees to maximize returns, just as they compete for customers by trying to provide the best product or service at the best price. The companies who hire and retain the best people will thrive, while the others will fade away.

HR (human resources) departments are poison to profit.

A product of the civil rights movement in 1965, the federal government created the Equal Employment Opportunity Commission to eliminate hiring discrimination on the basis of race, creed, color or national origin. Every company that does business with the federal government and has 50 or more employees must implement and document an “affirmative action program”.

The EEO/AAP was, and is, a typical big government solution to a problem that should be solved by free market supply and demand. It established rigid quotas based on race, which was then expanded to protect women and the disabled. Soon every minority group, including the evolving alphabet-soup of genders, was lawyering up.

Faced with a mountain of reporting requirements and legal complications, businesses responded by creating and staffing HR departments, a phenomenon that may have done more damage to the economy than any other factor since the depression.

While a manager or owner will make every effort to find the most talented, qualified, and industrious people to fill positions, and reward them well with promotions and compensation, HR departments exist only to meet “diversity” requirements. The result is companies are staffed with many unqualified, unmotivated, and sometimes underpaid minorities (often H1B visa holders) who know they can’t be fired. The “Peter Principle” (individuals are promoted beyond their level of competence) is rampant in many large organizations.

Managers who try to hire or promote talented non-minority employees are stymied by HR. Add the influence of union protection (i.e. government employees), and performance predictably suffers.

Despite 53 years of EEO/AAP and all kinds of other identity-driven programs, liberal politicians still pander for votes by screaming “RAAAAACIST!” at common-sense conservative opponents, who know that for-profit businesses will hire and promote the best people regardless of minority status, which encourages all workers to improve their performance (not their pigmentation or gender) and compete for the best jobs. And that propels the economy and raises standards of living for everybody.

You got me runnin’ goin’ out of my mind
You got me thinkin’ that I’m wastin’ my time
(Don’t bring me down, no no no no no)
I’ll tell you once more before I get off the floor
(Don’t bring me down)

Don’t Bring Me Down – Electric Light Orchestra

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