Privatization Sucks!

In 1980 with the election of Reagan and the defeat of Carter a new way of running the government came into being…..privatization…..and since it has become the “thing” the country has lost bunches of cash paying these contractors to do the jobs that use to be handled by civil service employees.

When I left the Army I became a civil servant ( not a private contractor) doing the same job that I was doing in the military.

Most jobs in the Defense Department are cheaper with civilian employees as compared to contractors, according to an internal Pentagon report, though the cost comparisons differ based on location, pay grade and job function.

Civil service workers are most likely to be less expensive than contractors performing the same work in the Washington, D.C. region and in the Southeastern United States, the report compiled by the Office of the Secretary of Defense found. More than 75 percent of comparisons in the Southeast the Pentagon ran between government and contract workers showed a higher cost for the private sector, and the capital region was not far behind. Government Executive obtained the never-before reported on document through a Freedom of Information Act request.

https://www.govexec.com/management/2018/12/civilians-are-cheaper-contractors-most-defense-jobs-internal-report-finds/153656/

There has always been waste and fraud in the process of issuing contracts…but it seems to have gotten much worse after privatization…..

I believe that a whole new way of dealing with contractor needs implementing…..ear plugs that are not safe…the Pentagon needs to fine them the total cost of the contract and not allow the company to bid again for 5 years.

But does privatization really work?

According to privatization’s supporters, this shift from public to private management is so profound that it will produce a panoply of significant improvements: boosting the efficiency and quality of remaining government activities, reducing taxes, and shrinking the size of government. In the functions that are privatized, they argue, the profit-seeking behavior of new, private sector managers will undoubtedly lead to cost cutting and greater attention to customer satisfaction.

https://hbr.org/1991/11/does-privatization-serve-the-public-interest

But make up your own mind……https://www.governing.com/topics/mgmt/pros-cons-privatizing-government-functions.html

As you may have guessed…I do not think the privatization has produced all the benefits that the Reagan bunch promised in the 1980s.

Just thinking out loud.

8 thoughts on “Privatization Sucks!

  1. Of course, we had Margaret Thatcher going around privatising everything. The railways, roads, airlines, utilities, even the telephones, and Royal Mail. Everyone in the know jumped on the bandwagon of buying shares, and made fortunes. Now we have Boris Johnson talking about privatising the NHS. More profit for big business, at the expense of ordinary people.
    (Two days ago, he was quoted as saying that a salary of £147,000 a year was ‘not enough to live on’. What an insult to people working full-time for less than £15,000 a year. Disgraceful.)
    Best wishes, Pete.

      1. Lobotero, let’s use medical care as an example. Why should illegal aliens get medical care for free and the rest of us pay thousands of dollars if we have no insurance?

      2. I have heard that….when they sneak into country they are given a checkup to be sure there are no infectious ddisease…..if the ones already here….I think that is BS for the most part…I am an old fart and have health issues so I spent a lot of time in the ER recently and never saw or heard Spanish or any other spoken….so if they are getting free then I am unaware of where it is….chuq

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