3M Co (MMM), Ford Motor Company (F): Those Who Have More, Make More

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1993 2012 Percent Change
3M Revenue $14.02 billion $29.90 billion 113.3%
3M Employees 86,168 87,677 1.7%
Ford Revenue $91.57 billion $134.25 billion 46.6%
Ford Employees 322,213 171,000 (46.9%)
GE Revenue $60.56 billion $147.36 billion 143.3%
GE Employees 222,000 305,000 37.4%

Source: SEC filings.

Clearly, companies are squeezing more revenue from each employee, and they need fewer low-skill workers in the process. Ford Motor Company (NYSE:F) even cut its staff by 46.9%, one of the major drivers of layoffs for blue-collar employers in Detroit.

Why are there haves and have-nots?
Education isn’t the only reason for the divergence of incomes in America, but I think it’s the main driver, and I don’t see any reason the trend will change course. Fewer low-skilled workers are needed to produce more goods, and people need a way to differentiate themselves to demand a high wage.

Kids, it’s time to hit the books.

The article How America Became a Country of Haves and Have-Nots originally appeared on Fool.com.

Fool contributor Travis Hoium has no position in any stocks mentioned. The Motley Fool recommends 3M and Ford. The Motley Fool owns shares of Ford and General Electric Company.

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