Resolution Continuing the fight against privatization
By the American Federation of State, County, and Municipal Employees
(AFSCME)
Posted January 14, 2003
Resolution No: 8 (combined with #32 and #53)
35th International Convention
June 24 - 28, 2002
Las Vegas, NV
CONTINUING THE FIGHT AGAINST PRIVATIZATION
WHEREAS:
Increasing awareness of the false promises of privatization, combined
with a healthy economy, were taking their toll on the privatization
movement by the end of the nineties. However, current fiscal difficulties
are leading to renewed pressure to contract out public services; and
WHEREAS:
Many federal, state, local government, and not-for-profit corporation
executives and managers, when confronted with the complex problem of
delivering quality services at the most appropriate market established
price, have been unwilling to do the tough work of engaging workers
in the dialogue of redesigning work, modernizing their operations, and
guaranteeing the citizen/customer quality products and services, and
have chosen to out source, contract out, or privatize those products
and services; and
WHEREAS:
Workers and leaders in AFSCME, its councils, and local unions have
been able to show their manager partners and their public constituencies
that contracting out public services is extremely risky in that the
promised cost savings often fail to materialize, the quality of services
can deteriorate, public accountability is compromised, the likelihood
of corruption increases, and the government's flexibility to respond
quickly to changing needs is reduced when services are switched to a
subcontractor; and
WHEREAS:
Privatization is once again being touted as a way of saving money,
in spite of mounting evidence to the contrary. Examples abound. The
attempted privatization of Connecticut's information technology services
was a spectacular failure, as was the attempt to privatize Ohio's family
and income support services. The privatization of highway maintenance
in Oklahoma was in turmoil almost before it began and private vehicle
inspection in New Jersey has been a disaster. A private wastewater treatment
agreement in Bridgeport, Connecticut was terminated early; and
WHEREAS:
Privatization has not been proven a more effective means of delivering
public services. Serious problems associated with contracting out include
higher costs, deterioration of service quality, loss of government accountability
and flexibility, negative impacts on the economy and economic dislocation
of displaced workers; and
WHEREAS:
Privatization impoverishes communities. The local economy and tax base
suffer as relatively good paying jobs with benefits are replaced with
low-wage, no-benefit jobs provided by companies that may be located
in another part of the country, or even overseas. Women and minorities
are particularly vulnerable to this displacement of good jobs; and
WHEREAS:
The Bush Administration is setting arbitrary quotas on the number of
jobs to be privatized by federal agencies. President George W. Bush
ordered federal agencies to "compete or convert" a total of
425,000 federal jobs by the end of 2004. A quarter of all federal employees
will be in danger of losing their jobs. Experts agree that "privatization-by-numbers"
is a terrible idea. In addition, the Commercial Activities Panel, a
pro-contractor panel studying the federal competitive bidding process,
has recommended changes in the process that will heavily favor contractors;
and
WHEREAS:
Multinational agreements, like the North American Free Trade Agreement
(NAFTA) and the General Agreement on Trade in Services (GATS) are slowly
taking the decision whether or not to privatize out of the hands of
state and local government officials and giving wide-ranging powers
to private corporations. The Metalclad Corporation is using provisions
of NAFTA in a case against Mexico concerning the operations of a hazardous
waste facility. A decision in favor of the corporation, currently being
appealed, will have far-reaching implications for the provision of public
services by private corporations, particularly foreign corporations.
Similar provisions are currently being negotiated in the GATS; and
WHEREAS:
Alternatives to privatization, such as worker-initiated work process
improvements, protections from layoffs and labor-management cooperation
have demonstrated they can improve service quality while lowering costs,
without causing the economic and social disruption of privatization;
and
WHEREAS:
AFSCME and AFSCME affiliates have taken the lead in fighting privatization
by mobilizing members, building coalitions and getting our message out
in the media. Following the mandate of the 33rd International Convention,
AFSCME established a headquarters action team to address privatization
and headquarters-affiliate collaborations achieved numerous victories
against privatization.
THEREFORE BE IT RESOLVED:
That AFSCME will continue to lead the fight against the contracting
out of public services. We will promote high quality, accountable public
services and we will fight to help low-wage, no-benefit contract workers
improve their position; and
BE IT FURTHER RESOLVED:
That AFSCME continue to aggressively oppose contracting out by educating
the membership, elected officials and the general public about the problems
related to contracting out; and
BE IT FURTHER RESOLVED:
That AFSCME continue to develop an aggressive communication strategy
that underscores the value of public service and exposes the practices
of private contractors; and
BE IT FURTHER RESOLVED:
That AFSCME will oppose attempts by the Bush administration and Republicans
in Congress to privatize federal, state and local government services
merely to achieve quotas without regard to quality or costs. AFSCME
will also oppose questionable changes in the federal competitive bidding
process that favor contractors; and
BE IT FURTHER RESOLVED:
That AFSCME will monitor international developments which threaten
to give private corporations too much power in privatization decisions
and will fight this global expansion of privatization; and
BE IT FURTHER RESOLVED:
That AFSCME locals and councils will seek the best possible safeguards
and protections against contracting out in contract negotiations and
legislation. Where services are contracted out, AFSCME will work to
ensure that contractors are held accountable by advocating that the
cost of contracted services is fully and accurately calculated and disclosed,
including the cost of public oversight of the contractor; that contractors
are subject to the same public disclosure, reporting and oversight as
public agencies; that any violations of laws and regulations by the
contractor are disclosed; and that the costs and performance of the
contractor are compared with the previous public employee cost and performance
and disclosed to the public; and
BE IT FURTHER RESOLVED:
That AFSCME, its councils and local unions make every effort to work
in coalition with other concerned groups to educate and mobilize our
members and communities to oppose all efforts to sub-contract or privatize;
and
BE IT FURTHER RESOLVED:
That, where appropriate, AFSCME, its councils and local unions initiate
and/or participate in joint labor-management quality initiatives or
other similar partnership efforts to improve the quality and cost-effectiveness
of services by developing and utilizing the decision-making skills,
ideas, problem-solving abilities and expertise of workers and by eliminating
costly and outdated management barriers to efficient and effective delivery
of services; and
BE IT FURTHER RESOLVED:
That AFSCME councils and locals when possible will work to negotiate
appropriate successor clauses in their collective bargaining agreements
which would require new employers of contracted work to assume the terms
of the collective bargaining agreement currently in effect and continue
the strong representation of the workforce; and
BE IT FINALLY RESOLVED:
That AFSCME, its councils, and local unions are prepared to follow
the work and organize workers of any subcontractor or created entity
and establish social and economic justice in that workplace, except
in cases, such as corrections, where representing employees performing
security functions is contrary to longstanding AFSCME policy.
SUBMITTED BY:
Patricia Moss, President and Delegate
AFSCME Local 2681, Council 8
John Lyall, First Vice President and Delegate
AFSCME Local 2729, Council 8
Ohio
Ronald C. Alexander, President and Delegate
Vanessa Tolliver, Secretary/Treasurer and Delegate
OCSEA/AFSCME Local 11
Ohio
J. Claude Fort, President and Delegate
Milton Lovett, 1st Vice President and Delegate
AFSCME Local 375, Council 37
New York
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