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U.S. labor productivity is the best in the world according to the report, "Key Indicators of the Labor Market," issued September 4 by the International Labor Organization (ILO). The values added per person for the top five countries are as follows: U.S., $ 63,885; Ireland, $ 55,986: Luxembourg, $ 55,641; Belgium, $ 55,235; and France, $ 54,609. The report concludes that "the productivity gap between the US and most other developed economies continued to widen" in 2006. ILO’s Jose Manuel Salazar attributes the United States’ gains to such factors as how U.S. companies are organized, government support of competitive markets and free trade, and extensive investment.
 Joel Kotkin
In a Wall Street Journal commentary entitled "The Myth of ‘Superstar Cities,’ Joel Kotkin illustrates the irony of some academics’ fascination with a few American big cities that they have characterized as "elite" or "superstar." Kotkin writes, "What as much as anything distinguishes elite places what Wharton real-estate professor Joe Gyourko calls `the superstar cities’ are their absurdly high real-estate prices." Without disparaging such great places as New York City, Boston and Los Angeles, Kotkin encourages a well rounded assessment of city performance, including such factors as new job creation and home ownership rates.
 Kenneth Johnson
Most of us know that many American "elite" places are actually quite small. Kenneth Johnson dissects the progress and occasional regress of this country’s "Mayberrys" and farming communities in his detailed report called "Demographic Trends in Rural and Small Town America." Looking at why some formerly moribund towns have blossomed, Johnson finds that "A variety of factors have contributed to the growth of some rural areas. Technological innovations in communications and transportation have given people and businesses more flexibility to locate in more areas." Those of us who live in big metros should give this report a scan. Not all of the news is good, but it will challenge some of your assumptions about what’s happening out there.
 Heifer International Center wins EPA’s Phoenix Award for excellence in brownfield redevelopment.
Successful redevelopment of so called "brownfield" sites is one reason some rural areas have held their own, or even experienced mini-booms. In support of the process of re-using or re-purposing old plant sites, the Institute of Brownfield Professionals has published a manual called "The Brownfields Tax Incentive." This consolidates three U.S. Environmental Protection Agency documents into a single user-friendly document that describes the brownfield tax incentive and how to qualify for it.
Summaries of court rulings in recent construction related cases provided by constructionchannel.net can be great references for corporate real estate professionals and their service providers. Whether it’s a redevelopment or a new facility on a virgin site, construction issues are common, and a few end up in court. Law suits pitting construction companies against their clients still happen in spite of the increasing use of arbitration. Scan these for issues similar to those you are facing. There are some great lessons to be learned that could save money, time and goodwill for both potential parties to a suit.
If the above article on construction related court case summaries caught your attention, here’s a great conference to consider called "Building Projects & Resolving Disputes." It’s put on by the Associated Owners & Developers (AOD) and takes place October 15-16, 2007, so you have plenty of time to make plans to attend. A few of the excellent workshop topics include "Dealing with Major Construction Defects," "Trying A Complex Construction Case," and "Analyzing the Impact of the Key Contract Provisions." There’s an online registration form at the end of the program description.
 The Texas Blind Salamander, an endangered species
Further on construction issues, if you need to build at a location inhabited by a legally protected species, here’s an article entitled "Ensuring Regulatory Compliance for Threatened and Endangered Species" on how one company manages the challenge. The article says, "Ensuring regulatory compliance for the client while delivering the project goal can be achieved when potential issues with protected species are proactively addressed during the project planning phases."
 Ross Moore, Senior VP, Research, Colliers International
That largely unprotected species, the automobile commuter, will face growing financial stress due to an up trend in U.S. parking fees, says Colliers International’s annual "Parking Rate Survey." Downtown parking in large metropolitan areas is very expensive. In an article on the survey, Colliers’ Ross Moore writes, "Leading the U.S. was Midtown Manhattan, whose median rate was a remarkable $630.00 per month to park." Following Manhattan on the list of most expensive place to park are Boston, San Francisco and Philadelphia. On the other end of the scale, drivers can park in Reno, NV; Fresno, CA; and Santa Rosa, CA; for about $50 a month.
 2007 NAM Labor Day Report: Wages on the Rise Image
The National Association of Manufacturers' (NAM) 2007 "Labor Day Report" is guardedly positive, saying, "the housing downturn has been offset partially by improvements in other areas, namely international trade and business investment in structures. As a result, while the pace of economic growth and job creation has moderated over the past year, the overall state of the economy, and the U.S. worker, remains fundamentally sound." NAM’s 2007 report repeats a concern it has become well known for: U.S. manufacturers face a serious high-quality labor shortage. Bringing a statistic to bear on this point, the report says, "With more than 97 percent of those in the labor force with at least some college or an associates degree already employed, the availability of skilled labor is in short supply."
This insightful analysis, entitled "Bringing Best Practice to China," proposes that China probably is destined to become the core of most global manufacturing companies’ operations. If this is so, every company must take pains to ensure that its China-based operations are as good as or better
than its operations elsewhere. If not, the company will be at a competitive disadvantage to those companies whose Chinese operations are their best. The authors see special challenges to companies already in China, saying that "Because manufacturing-labor costs in China are a fifth of their levels in Europe and the United States, for instance, many multinationals have been running plants in China less efficiently than at home, and are still coming out way ahead." Looking at possible causes of underperformance for companies in China, the report says, "Managers don’t under-perform in China intentionally. Waste is endemic to manufacturing plants there partly because some multinationals have inherited, through partnerships or acquisitions, legacy processes, employee mind-sets, and manufacturing approaches."
-- Joel Parker
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