Democrats and many Republicans complain that U.S. corporations are raking in huge profits as blue-collar jobs disappear. The reality is the opposite, a new Conference Board business survey reports. Corporate profits have been declining as employers increase wages to hire scarce blue-collar workers, but hold the champagne.

Eighty-five percent of blue-collar businesses report recruiting difficulties versus 64% of white-collar employers. One reason is the working-age population without a college degree is shrinking as baby boomers...