I was born in 1931 and remember back before WWII. As I remember it, the middle class in those days consisted of some landowners, small business owners and some government employees. Most farm hands, store clerks and factory workers were not what I would consider today as middle class.
Blue Cross/ Blue Shield existed in those days but the the groups insured were not usually employees but members of fraternal organizations.
That all changed with the advent of the war. Suddenly there was a shortage of workers and there were profits to be made supplying war material. The Federal government had a lot of extraordinary war powers: rationing of sugar, meat, gasoline etc. At one point they even confiscated our spare tires!
One of those powers was limiting of wages. Competing for labor was therefore limited to offering non-wage benefits. Thus was born employer provided hospitalization and wide spread pensions.
Thus, what we think of today as the large middle class, was born.
A short time after the end of the war business was booming again and labor negotiations
often centered around the benefits package. Financial management was happy to agree to contracts that included "pay later" provisions. Factory workers and even workers in big retail organizations (Sears e.g.) became "middle class".
Trouble came when "later" arrived, with spiraling healthcare and pension costs. Employers caught in this bind found a solution. It is called "Outsourcing!"
When I first started working, company employees were doing everything; cutting weeds, loading boxcars etc. But soon the company began outsourcing.
All maintenance activity at first, Then the drafting dept., engineering etc. etc.
Companies were becoming "hollowed out". I remember being told that at Shell headquarters here in Houston, where Shell employees and contract employees wore different colored badges, that you could go around the building all day and never encounter a real Shell employee.
If any reader agrees at all with my take on the history of the middle class and wonders what I suggest we do about the situation, continue below the squiggle to see the Remedy.
The Remedy.
The simple (but not easy) way to remove most of the incentive for outsourcing is twofold: a true national health system and an improved social security system.
It won't be easy because so many of us take pleasure in punishing the less fortunate.
That, to me, is the definition of a modern Republican. Even though you would think corporate america would welcome getting rid of these pesky payroll costs, their congressional lackeys depend on the "punishers" to get elected.
There is only one way to get rid of the repugnant party, and that is for all liberals and progressives to get out and vote.
Vote in every election, for every down ballot judge and dogcatcher, congressman and senator.
Vote, Vote, Vote. We are the majority!
A non vote is a vote for the bad guys.