Regular readers of this column know that I’m fascinated by the economics of the American craft brewing industry. (OK, fine: Casual readers also probably know this.) It’s important stuff! Beer is a wonderful beverage, but as a commercial product it’s also the result of an enormous amount of coordinated economic activity, from agricultural logistics to light manufacturing, and more. Which is to say, beer is a result of labor. For every freshly poured pint or ice-cold stovepipe to reach your lips, workers across the country, supply chain, and brewery organizational chart have done mind-boggling choreography. Take it from me: You don’t have to be a fan of market fundamentalist Leonard Read’s famous “I, Pencil” essay to enjoy the fruits of that work.
But just as important as marveling at the modern beer industry and savoring its liquid wares and cultural contributions is scrutinizing the actual labor that makes all that happen. Even in the craft brewing industry, which has in the past held itself out as a more progressive antidote to cutthroat corporate macrobreweries, this is a tough ask. But it’s a necessary one. There’s no guarantee that individual independent breweries are paying their workers fairly, nor that enough workers will have the wherewithal and flexibility to ensure that the “magic of the market” will force lower-paying firms to raise wages and offer better benefits to compete.
If markets — in this case, American brewing’s labor market — are to function as the Milton Friedmans of the world insist they