One problem is that we have trained people to do (and are still training people to do) jobs which are being replaced by computers and technologists who can do the same job more productively. This is beginning to have a significant impact upon all industries.
The economy is doing great, productivity is doing great, but there are increasing numbers of people with obsolete skills who can't find work and are struggling to survive this improving economy, through no fault of their own. A small number of people are taking all the benefits of the new economy - entrenching inequality.
The replacement of muscle by automation was 20th century. In the current wave, we see a replacement of office workers with a mix of more productive office workers outsourced, online or in house.
I think we are seeing a restructure of skilled work generally as technology becomes able to do portions of skilled work. For example, look at education.
Interestingly, muscle jobs are more-or-less immune as they have already been automated as much as is reasonable.
The economy is doing great, productivity is doing great, but there are increasing numbers of people with obsolete skills who can't find work and are struggling to survive this improving economy, through no fault of their own. A small number of people are taking all the benefits of the new economy - entrenching inequality.
The problem is with people, not with the economy.