Tag Archive for Recession

Labor Day 2020

Labor Day 2020It is Labor Day in the U.S. In the past, Labor Day was a celebration of working men and women. On Labor Day 2020, in the midst of the COVID-19 pandemic and economic havoc, the percentage of people actually employed in the U.S. has recently hit an all-time low.

COVID-19 virrusIn August 2020 (the last full set of data) the BLS says the employment-population ratio stood at 56.5%. For comparison, the rate stood at 59.8% in December 2016, before Trumpie and his fellow travelers started their reign. That means that 45.4% of the civilian noninstitutional population – did NOT have a job. 

This number is an improvement from the historically low 51.6% we saw in April 2020 – there are still over 7 million people not working.

Statista Employment Population ratio
24/7 Wall St. reviewed unemployment at the metropolitan area level for USA Today to identify the cities with the worst unemployment problem. It is not a big surprise that Michigan has been hard hit. They ranked 4 Michigan metro areas in their list of areas most impacted by the COVID-19 layoffs.

Battle CreekFlintDetroit metroMuskegon
Impact33211211
Unemployment rate15.1%16.6%17.7%17.8%
YTD change-8.7%-8.2%-19.0%-8.0%
COVID cases69981311,83629
Poverty rate18%18.8%14.3%15.8%

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Middle class squeezed

Real unemployment at the height of the 2020 recession (so far) has reached levels not seen since the Great Depression. In April 2020, the real unemployment rate, including discouraged, marginally attached, and part-time, was 22.8%. The unemployment rate during the Great Depression surpassed 25% from March 1933 to June 1933. 

In case you’re wondering, the civilian noninstitutional population comprises of all persons aged 16 and older who reside in the 50 states and the District of Columbia, are not inmates of institutions (e.g., penal and mental facilities, homes for the aged), and who are not on active duty in the Armed Forces.
 

Are you better off this year than last year?

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Stay safe out there!

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Ralph Bach has been in IT long enough to know better and has blogged from his Bach Seat about IT, careers, and anything else that catches his attention since 2005. You can follow him on LinkedInFacebook, and Twitter. Email the Bach Seat here.

COVID Corporate Welfare

05/03/2020 – SBA said it discovered a data breach on the COVID relief application portal for Economic Injury Disaster Loans. The breach may have disclosed personal information — including Social Security numbers, income amounts, names, addresses, and contact information. Politico reports the breach affected 7,900 applicants for the EIDL program.

04/22/2020 – CNBC is reporting that 70% of the Paycheck Protection Program emergency funding has been claimed by large, publicly traded companies. Data from Morgan Stanley found that at least $243.4 million of the $349 billion available went to publicly traded companies.

The bankrupt PPP was supposed to help America’s small businesses stay afloat and prevent mass layoffs during the COVID lockdown. Morgan Stanley’s data shows that 15 firms worth over $100M got government funds. Among the wealthy firms claiming support are oil services company DMC Global. They got $6.7M. Biotechnology company Wave Life Sciences got $7.2 M. Fiesta Restaurant Group whose 329 restaurants are located in the Caribbean, Central America, South America, and the U.S got $10M.

COVID Corporate Welfare

I was hoping that we would never need the Recession topic on the Bach Seat again. But here we go again – down the economic commode abetted by bad policy and greed. The COVID-19 virus has wiped out more jobs in a few weeks than Wall Street erased in 18 months. Politico calculated that the jobs lost due to COVID in three weeks are larger than those lost during the 2007-2009 “Great Recession.” They also cite economic forecasts that predict unemployment will exceed its historic 25% peak during the Great Depression.

As an attempt to right the economic ship – Trump and his fellow travelers have put in place a $2 Trillions dollarCares Act.” The Cares Act has turned out to be is a giant middle finger to the working people. It is really an enormous corporate welfare bailout to the wealthiest corporations in the U.S. These greedy firms cannot manage their finances as well as the middle-class Americans they are laying off. Businesses are lining up for a government COVID bailout. Here are a few examples.

Fast Company reports that the hotel industry has met with the chief inn-keeper. They want $150 billion for hotel loan payments and employee layoff packages. 

Disney, Universal, and Expedia through their lobbyist U.S. Travel Association, requested $100 billion in a meeting with the Trumpster.

The LA Times is reporting that hedge funds, firms that control $80.5 Billion are claiming to be small businesses, They are seeking a bailout from the broken Paycheck Protection Program.

The bumbling aerospace giant Boeing wants a $60 billion bailout. Boeing’s problems started a year ago before COVID hit with the 737 MAX tragedies. The corporation paid out $65 billion in stock buybacks and dividends over the last ten years. It is highly politically connected.

Airlines for America wants $50 billion. The groups members include American Airlines, United Airlines, Delta Air Lines, Southwest Airlines, and Alaska Airlines, has  That is in spite of spending 96% of their free cash flow in the past decade on buying back their own shares of stock. The facts are that airline bankruptcy presents no significant risk to the economy as a whole. Airlines have safely flown through bankruptcy in the past.

Airports: The, Airports Council International-North America and the American Association of Airport Executives requested $10 billion from Congress, to be directed to U.S. airports for coronavirus relief.

Two of the richest people in the world want bailouts. Elon Musk of SpaceX and Jeff Bezos, the world’s richest man want$5 billion in grants or loans to keep commercial space company employees on the job and launch facilities open.” They also want the IRS to give them cash for R&D tax credits.  

The NYC Metropolitan Transportation Authority wants $4 billion in assistance for the New York City subway.

Everyone wants COVID bailout moneyEveryone wants COVID bailout money. CNBC reported 

The New York Times reported that Adidas is seeking a provision allowing people to use pretax money to pay for gym memberships to gyms that are closed.

The Washington Post reported that Trump was “strongly considering” a federal bailout for the fracking industry. One politically connected shale oil company, Continental Resources, founded by Harold Hamm, a Trump supporter  lost more than half of its market value

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One that I can agree on. The National Restaurant Association wants a $455 billion aid package. Fast Company reports the COVID lockdown could lead to the loss of 5 to 7 million jobs.

Do republicans want pandemics to continue?It is arguable that the Republicans want pandemics to continue so they can keep feeding the rich with corporate welfare. Trumpies 2021 budget cuts funding for the CDC by $1.2 billion (15%) and eliminates $35 million of the Infectious Diseases Rapid Response Reserve Fund. 

Why use taxpayer money to help out companies that goose their stock price rather than saving the funds for a rainy day?

As Judge Leo Strine Jr., former chief justice of the Delaware Supreme Court wrote for the NYT – families are encouraged to put aside a reserve to pay their mortgages and bills and to feed themselves in case of an emergency. Why don’t corporations do the same? After a 10-year economic expansion that led to record increases in earnings, plus huge corporate tax relief, American corporations should have had substantial cash reserves to sustain them during a short period without revenue. But many did not and lived paycheck to paycheck.

Stay safe out there!

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Ralph Bach has been in IT long enough to know better and has blogged from his Bach Seat about IT, careers, and anything else that catches his attention since 2005. You can follow him on LinkedInFacebook, and Twitter. Email the Bach Seat here.

What You Need to Know About Zoom

Updated 12/01/2020 – Zoom has agreed to settle allegations (PDF) made by the US Federal Trade Commission (FTC) that it “engaged in a series of deceptive and unfair practices that undermined the security of its users.” Among the charges were that Zoom misled users by:

The settlement does not require Zoom to admit fault or pay a fine – So they got away with it.

Updated 05/01/2020 – Zoom made a big splash when CEO Eric Yuan claimed the video conferencing firm had surpassed 300 million daily Zoom meeting users last week. That’s impressive growth in the face of security and privacy holes documented on the Bach Seat and around the Intertubes.

Well in a Zoom tradition they “back-tracked” that announcement, just like they back-tracked their definition of “end-to-end encryption.” Zoom artificially inflated the number of users by counting meeting participants as “users” and “people.” 

Daily meeting participants can be counted multiple times – if you have four Zoom meetings in a day then you’re counted four times. SVCOnline explains that by calling meeting participants “daily users” makes Zoom usage seem larger than it is. The term most companies use to measure service usage is a daily active user (DAU). A DAU is counted once per day. 

Updated 04/08/2020 -Zoom now faces four lawsuits over its security and privacy practices. Today,  Google has banned employees from using Zoom, joining NASA, SpaceX, NYC schools, Clark County (Las Vegas) schools. the governments of Germany and Taiwan as well as Apple.

Updated 04/07/2020Reports of a new blow to Zoom’s security cred’s researchers have discovered up to 15,000 private Zoom recordings exposed online. Many of them were apparently stored in Amazon Web Services (AWS) S3 buckets without passwords.

What You Need to Know About Zoom

Zoom has taken off. Thanks to the global COVID-19 lock-down Zoom’s (ZM) stock has surged over 250% on the NASDAQ since October 2019. Zoom’s video conferencing platform daily usage has exploded from 10 million in December 2019 to more than 200 million in March 2020.

Zoom logo

After its stock price run-up and exploitation of the COVID-19 pandemic Zoom has come under intense scrutiny. The FBI issued a warning about using Zoom. The New York Attorney General’s office sent a letter to Zoom about its practices. Security professionals have found a disturbing list of flaws on Zoom. Here is a brief list of the risks you take when using Zoom.

Zoom Risks

Phishing – Security firm Check Point Software says criminals are waging phishing campaigns with Zoom-related themes as a lure. The phishing emails that Check Point has observed spoof Zoom login pages and attempt to get victims to input their credentials. The Zoom credentials are then harvested by the attackers. Also, Check Point has also uncovered malicious files with names that include “zoom” in the title. 

Encryption

Phony end-to-end encryption – Zoom uses misleading advertising to claim that its meetings use “end-to-end encryption,” according to The Intercept. Zoom uses the term end-to-end encryption” incorrectly. Zoom admitted their definitions of “end-to-end” and of “endpoint” are different from everyone else’s. A spokesperson told The Intercept, “When we use the phrase ‘End to End … it is in reference to the connection being encrypted from Zoom endpoint to Zoom endpoint.

Unlike Apple, Zoom’s data is only encrypted when it travels back and forth from an end-user to a Zoom server. Your data is decrypted at the Zoom server. Zoom (or TLA) can see and hear whatever is going on in its meetings. Zoom Chief Product Officer Oded Gal wrote:

We recognize that there is a discrepancy between the commonly accepted definition of end-to-end encryption and how we were using it.

The Intercept concludes that Zoom doesn’t decrypt user transmissions — but it could.

What You Need to Know About Zoom

Zoom bombing – Zoom bombing occurs when a third party interrupts or takes over a video conference. Anyone can “bomb” a public Zoom meeting. All they need is the meeting number. Attackers can use the file-share to post shocking images or make annoying sounds in the audio. The host of the Zoom meeting can kick out troublemakers, but they can come right back with new user IDs The FBI issued a warning about zoom bombing.

To prevent Zoom bombing do not share Zoom meeting numbers with anyone but the intended participants. Also require participants to use a password to log into the meeting.

Windows password stealing
Bleeping Computer reports that malicious users can use the Zoom side chats to post a Universal Naming Convention (UNC) link that points to a remote server. From there the victim’s Windows computer will try to reach out to the hacker’s remote server specified in the path. From there the PC will automatically try to log in with the user’s Windows username and password. The attacker could capture the password “hash” and decrypt it, giving them access to the Zoom user’s Windows account.

Windows malware injectionWindows malware injection – The same flaw allows a hacker to insert a UNC path to a remote executable malicious file into a Zoom meeting. If a Zoom user running Windows clicks on it, the computer will try to load and run the malicious software. The victim will be prompted to authorize the software to run, which will stop some hacking attempts but not all.

Apple iOS profile sharing – Zoom sends iOS user profiles to Facebook. This is done with the “log in with Facebook” feature in the iPhone and iPad Zoom apps. After Motherboard exposed the practice, Zoom said it hadn’t been aware of the profile-sharing. Zoom’s initial response was to blame the social network’s software development kit used in the Zoom software. CNet concludes that Zoom shares enough personal data that it qualifies as selling your data

Mac malwareMalware-like behavior on Macs – Zoom was caught using hacker-like methods to bypass normal macOS security. It was thought this flaw had been fixed. But security researcher Felix Seele noticed that Zoom installed itself on his Mac without the usual user authorization.

The application is installed without the user giving his final consent and a highly misleading prompt is used to gain root privileges. The same tricks that are being used by macOS malware.

A backdoor for Mac malware – Patrick Wardle, a former NSA hacker and now principal security researcher at Jamf said in a blog post that Zoom used a discontinued installation process. The deprecated process could allow malware to add malicious code to “escalate privileges.” This would allow an attacker to gain total control over the machine without knowing the administrator’s password

Zoom privacy issues

CSO Online reports that he demonstrated the backdoor. He installed a malicious script into the Zoom Mac client. This could give any piece of malware access to the Mac’s webcam and microphone. It would turn any Mac with Zoom into a spying device.

Leaks of email addresses and profile photos – Zoom automatically puts everyone sharing the same email domain into a “company” folder where they can see each other’s information. If you are not a user of large webmail clients like Gmail, Yahoo, Hotmail, or Outlook.com, you could end up in a “company” with dozens of strangers.

Data leakSharing of personal data with advertisers – Privacy experts for Consumer Reports reviewed Zoom’s privacy policy and found that it gave Zoom the right to use Zoom users’ personal data and to share it with third-party marketers. In a blog, Aparna Bawa, Zoom’s chief legal officer, claimed “we do not sell your personal data.” The lawyer definitely concluded, “We are not changing any of our practices.” But we don’t know the details of Zoom’s business dealings with third-party advertisers.

Cloud snitching – For paid subscribers, Zoom’s cloud recording feature can be a problem waiting to happen.  Mashable points out that any time Zoom is used, your person-to-person chat messages are saved and could be sent to your boss by any authorized user. CNet notes that Zoom administrators can limit the recording’s accessibility by IP addresses – but this is not enabled by default.

Tattle-tale attention-tracking feature – Zoom’s attention-tracking feature allows the meeting host to monitor if you are paying attention to their PowerPoint deck. The Zoom desktop client or mobile app alerts the host if any attendees go more than 30 seconds without Zoom being in focus on their screen.

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I agree with those who are calling Zoom’s development processes lazy  As you can see  – Zoom’s software development process creates a huge attack surface.

Tom’s Guide is tracking the status of Zoom’s problems.  So is  Zoom safe to use?  – That is your call. – You need to make an informed decision and patch your Zoom software.

Zoom CEO Eric Yuan

You should be suspicious of “free” products. As in the case of Google and Facebook, you are the product for Zoom. They are monetizing you. Follow the money.

Eric Yuan, the founder, and CEO of Zoom is profiting by using your info. His personal wealth has increased 112% to $7.57 billion in the past three months, as the use of Zoom skyrockets amid the pandemic. While the other 99%f the world braces for a global recession.

How does he get all of that money on free software?

 

Stay safe out there!

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Ralph Bach has been in IT long enough to know better and has blogged from his Bach Seat about IT, careers, and anything else that catches his attention since 2005. You can follow him on LinkedInFacebook, and Twitter. Email the Bach Seat here.

Michigan Adds Over 10,700 Tech Jobs in 2016

Michigan Adds Over 10,700 Tech Jobs in 2016Michigan’s technology industry employment grew by an estimated 5.1% in 2016, the MichiganTech News reports. The good news comes from the annual Cyberstates 2017 report from CompTIA. The technology association found that Michigan employers added more than 10,700 new tech jobs in 2016.

Michigan ranks 10th for tech industry employmentThe survey also found that Michigan ranks 10th among the 50 states for tech industry employment with an estimated 221,994 workers. Michigan was in the top five states for 2016 tech industry job growth on a percentage change basis.

Technology occupations across all other industries in Michigan – the second part of the tech workforce – reached an estimated 271,900 in 2016. The tech sector accounts for an estimated 6.6 percent of the overall Michigan economy. The tech industry employs an estimated 5.3 percent of the overall state workforce. Leading tech occupations state-wide include:

  • Mechanical engineers (42,610),
  • Industrial engineers (25,500) and
  • Computer user support specialists (20,130).

metro-Detroit area leading tech jobs are: Software and Web DevelopersThe metro-Detroit area leading tech jobs are:

  • Software and Web Developers 11,434
  • Network Architects, Admins, & Support 10,379
  • Systems & Cybersecurity Analysts 9,441
  • Computer Support Specialists 1,437
  • Database Administrators 1,437

The annualized average wage for a Michigan tech industry worker was an estimated $89,200 in 2016, 77% higher than the average state wage ($50,400). Michigan ranks 21st nationally in average tech industry wages.

Other Key Findings

average wage for a Michigan tech industry worker was an estimated $89,200 Michigan ranks 27th among all states in the Cyberstates 2017 Innovation Score, which is based on an analysis of new tech patents, tech startups, and new tech business establishments on a per capita basis.

Michigan is home to an estimated 11,223 tech business establishments. The Detroit metropolitan area is home to more than one-third of these businesses (4,174).

The strongest year-over-year job growth occurred in the categories of:

  • Engineering services (+ 8.3%)
  • R&D and testing labs (+ 5.4%) and
  • Computer systems design and IT services (+ 5.1%).

Employers posted more than 28,600 job openings for tech occupations in Q4 2016.

“The Cyberstates data affirms the strength and vitality of Michigan’s tech industry, and attests to its essential standing in the economy,” Todd Thibodeaux, president, and CEO of, CompTIA said in a presser. “Technology enables innovation and generates growth for companies, regardless of their size, locale or markets served.”

 

Ralph Bach has been in IT long enough to know better and has blogged from his Bach Seat about IT, careers, and anything else that catches his attention since 2005. You can follow him on LinkedInFacebook, and Twitter. Email the Bach Seat here.

More Motown Jobs

More Motown JobsGood news – more jobs! Metro Detroit employment has finally recovered from the 2007 depression recession. The second quarter of 2016 set a new high in employment in Southeast Michigan dating back nearly a decade to 2007 to the beginning of the recession, reports the Workforce Intelligence Network for Southeast Michigan.

 

Workforce Intelligence Network for Southeast Michigan

MiTechNews reports that 35,000 jobs were added from April through June, pushing the total number of jobs held in the region to 2.62 million.  Nearly 20,000 previously unemployed people gained jobs in the region in the second quarter of 2016, along with more than 15,000 new workers (for a total of 35,000 new jobs), bringing the unemployment rate down to 4.5 percent, a low not experienced in Southeast Michigan since 2001.

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Ralph Bach has been in IT long enough to know better and has blogged from his Bach Seat about IT, careers, and anything else that catches his attention since 2005. You can follow him on LinkedInFacebook, and Twitter. Email the Bach Seat here.