More on Privatization of Federal Jobs

by Edith T. Carper

What is government work? And who should do the work and get paid for doing it? The Bush administration’s plan to permit private sector contractors to compete with civil servants to perform a quarter of the government’s civilian work has cheered contractors. White House philosophy tilts toward the private sector and away from “government.” The Director of the Office of Management and Budget often asks the rhetorical question about why the government should perform any function listed by private companies in the yellow pages. President Bush is often quoted as being enthusiastic about cutting taxes and shrinking the role of government.

In 2002, the Congress itself ratified a major reorganization — the consolidation of 22 government agencies into the Department of Homeland Security. The change allows the department to overhaul pay and personnel rules. Other agencies — DOD and NASA — propose to modify pay and hiring procedures. Thus, Congress accepted the need for “improving” the system.

A report submitted last year by a bi-partisan commission headed by former Treasury official (Paul Volcker) proposed reorganizing the government into “super-departments” to consolidate operations based on mission. Members of Congress with an interest in — and responsibility for — government organization regard the Volcker report as a guidepost. However, Congressional Democrats oppose changes that would undermine civil service protections for Federal employees. This group is also concerned about the Bush administration plan to turn more Federal work over to contractors. But, the group also goes along with the Volcker argument that key parts of the government operate under outmoded rules, pay inequities and poor systems for recruiting talented government employees.

Washington pundits, writing in local newspapers, say government contractors are “salivating” over the prospect of getting a bigger piece of the contract pie. The Professional Service Council, the industry lobby group, claims the private sector will be able to do much of the work better and cheaper. Government union officials see things in a different light. The president of the American Federation of Government Employees predict that many “loyal, hardworking civil servants will be out on the street if the President turns government over to well-connected profiteers.” That official, Bobby Harnage, says the chief reason these private firms win contracts is that they “low-ball bids and pay their workers less than a living wage.”

The same pundits content that government pay scales are “out of whack.” The system allows for “overpaying lower-skilled workers and underpaying those with higher skills.” Under the system “the private sector tends to win work done by maintenance workers and security guards; that’s why the government can’t hold on to computer programmers.”

---

Edith T. Carper is a special correspondent to IEEE-USA Today’s Engineer.