Tuesday, June 3, 2008

Wheels Wobble on Nuclear Lab Privatization Train


The Associated Press ran a story on fired American nuclear workers and the risk of their gaining employment from other nations, even those unfriendly to the U.S. The last line of the piece stated:

Congress cut $100 million from Lawrence Livermore's budget in the fiscal 2008 budget, and the lab has been hit with an additional $180 million in unexpected costs from its transfer last year to a new management company.

Translation, jobs have been eliminated as a result of privatization. A new management company, Lawrence Livermore National Security, LLC, began operating the lab October 1, 2007. The new management team includes Bechtel National, University of California, BWX Technologies (BWXT), Washington Group International, and Battelle. The team also includes Texas A&M University. So, these six organizations combined to miss that additional $180 million in costs? Or did the polymanagement arrangement contribute to the unexpected costs?

The crew already knew fewer jobs and less benefits were on the way. George Miller and his team have been preparing for months to assume this tremendous responsibility and provide as smooth a transition as possible for the employees, their families and the community.” Hash is chairman and president of Bechtel Systems and Infrastructure, Inc., Bechtel Corporation’s government services unit. No one says "provide as smooth a transition as possible" unless cuts are in the works.

It looks like they targeted the pension benefit first. Next LLNS set up a separate salary and benefit scale for old vs. new employees. The operating entity went after low cost student labor at Texas A & M. Finally, they eliminated 440 employees.

Now our nation faces concerns as to how highly intelligent professionals will respond to the prospect of not having steady employment. This is the face of privatization, so roundly cheered by Democrats and Republicans. But they did donate to charity, promising to take the money out of their management fee! That should make everyone feel better. Right?