Stopping Outsourcing In It’s Tracks

1. Stopping Outsourcing In It’s Tracks Jane Carter, Labor Economist III jcarter@afscme.org

2. GOALS • Outsourcing 101 • Proactive fights • Best Practices and Executing a Plan • Coalition Building

3. Same Game… Different Name…

4. Why Are They Outsourcing? “Desperate government is our best customer. There will be a lot of desperate governments out there.” • Infrastructure: $100 billion. • Private waste: $50 billion • Chicago Parking LLC: $11.6 billion • Denver Northwest Parkway: 99 years • Indiana Toll Road: $447,000

5. Why Are They Outsourcing? 181 (2009) 3.6 million 1% = 1/3 8 $10 million 257 x YOU

6. Why Are They Outsourcing? $6,000,000,000,000

7. DifferentName… Same Game • Contracting Out • Outsourcing • Alternative Service Delivery • Contingents - Temporaries • Volunteers • Others?

8. TRENDS in PRIVATIZATION NOTHING NEW… • P3s – Public-Private Partnerships • Selling Public Assets • Water, lotteries, roads • Privatization of nearly every service provided by the public and for the public • Social Services, Prisons, IT, Clerical, Custodial, Food Service, Medical Care, and Sanitation

9. We Are All on the Track • Individual Job Loss • Union Membership Loss • Weakens Political Clout • Harder to Bargain • Encourages Other Employers A Good Fight Sends an Important Message

10. What’s At Stake? • Loss of public input and oversight of public services • Poor service quality for taxpayers and residents • Loss of taxpayer control of public services and assets to Wall Street Bankers and CEOs.

11. Threats: Where do they come from? • Federal Legislation and Regulations • State Legislation and Regulations • Local Government Service Delivery Decisions • Private Sector Subcontracting

12. 2013PrivatizationBills WA NH VT ME MT ND OR MA MN ID WI NY SD RI WY MI CT IA PA NJ NE NV OH IL IN UT DE WV CA CO DC KS VA MO MD KY NC TN OK AZ NM AR SC GA AL MS TX LA FL AK HI

13. Warning Signs at the Worksite • Financial Shortfalls • Service Problems - Complaints • Private Contractor Marketing • Consultant Studies – Reports on Operations • Outdated Technology and Equipment • Cut Backs in Maintenance • Unfilled Positions • New Services Without New Positions

14. Local Attacks:It Doesn’t Just “Happen” • Contractors are Aggressive Marketers • Push for “Smaller Government” • Tough Times = • “Core Mission” • Personnel Costs • Asset Sales/Leases – Quick Money • Avoiding Responsibility

15. Be Proactive:Know and Shape the Rules • Are there negotiated restrictions on contracting out? • Does the DM have the legal authority to act? • Are they following the required procedures? • Right of notification • What opportunities exist for input - influence? • Public Hearings • Votes to Proceed or Approve • Bidder’s Conference • Labor - Management Meetings

16. Stop it Before it Happens! • Keep the Union Strong, Educated and Alert • Fight for High Quality Public Services • Support Decision Makers that Support the Union • Develop and Maintain a Strong Network of Allies • Know Your Contract and the Law Take the Privatization Workshop at AFSCME 41st International Convention

17. Be Proactive: Limit the Threats Contract Language – Legislation – Policy • No Contracting (all or particular service) • Contracting Under Specific Limited Conditions • Legislative Authorization Required – Public Hearing • Advance Notice • Joint Labor-Management Alternative • Labor Only Alternative • Time and technical assistance

18. HERE THEY COME… WHAT NOW?

19. Develop and Execute a Plan • Identify Goal • Develop the Steps – Blueprint to Achieve Goal • Identify Leader to Manage and Drive the Plan • Assign Specific Responsibilities for Actions • Maintain Regular Communication • Hold People Accountable for Commitments • Be Flexible and Make Modifications As Conditions Change

20. Understand the Threat • What is being proposed? • Who is proposing it? • Why are they doing it? • Who will decide? • How can we influence the decision makers?

21. Evaluate Coalition Partners & Allies ID Coalition Partners and Allies • Service Users • Suppliers • Justice and Religious Organizations • Media: reporters, editorial boards, columnists, bloggers • Other Elected Officials • Constituents

22. Coalition/Network Benefits • Share Experiences and Successful Tactics • Increase Amount of Technical Expertise • Review Legislation and Rules, Bidding Materials • Communication Techniques • Increase Resources • “Boots on the Ground” • Access to Additional Communities of Interest • Puts a Different Face (non-union) on Message

23. Group Exercise: Finding Partners

24. Group Exercise: Finding Partners • Take 5 minutes and identify at least 3 possible coalition partners • Share your list with others at the table • Explain what they will bring to the fight • Table collectively picks five partners • Report out to us how these partners will help defeat the privatization

25. Follow-up Exercise Be proactive by working with your union to reach out to at least three potential coalition partners that you can work with to fight your own battles back home.

26. RESOURCES In The Public Interest A Resource Center on privatization and with the goal of ensuring democratic control of public functions. FoodandWaterWatch.org: Collection of materials, surveys, articles on the privatization of water AFSCME Research and Collective Bargaining Department • Tools on Bidding • Sample contract language • Privatization Toolkit and other resources