Government Goes Corporate

If we truly are concerned about homeland security, we need to go after others of his ilk before they ruin more hard-working Americans, their pension plans, their dreams and their hopes, like Enron did to IBEW members and others.

President Bush and Vice President Cheney say that bagging Skilling is proof of the Administrations commitment to justice. Hogwash! They bagged no one; Enron was such a monumental screw-up, they had no choice but to get tough.

But now, lets talk about Halliburton, the colossus formerly led by Vice President Cheney, the guy who still insists that weapons of mass destruction are somewhere in Iraq. Halliburton was nailed for overcharging the Defense Department $61 million for fuel in Iraq. Then two Halliburton employees were caught in a $6 million kickback scheme.

One of Halliburtons largest subsidiaries is Houston-based Brown and Root, the construction giant that is the leading anti-union force in the industry. The Defense Department devised a plan to contract work formerly performed by military personnel to Brown and Root. The Atlanta Constitution says that the work involves: everything from repairing oil fields, to building and running bases to serving meals and washing dishes. The Pentagon says it will save money. Listen to what Professor Steve Schooner, a contract expert from George Washington University says about the deal: The more money [they] spend, the more profitable the contract isnobody in their right mind would enter into a contract that basically says: Come up with creative ways to spend my money and the more you spend the happier Ill be.

Brown and Root has an infamous track record. In 2000, the General Accounting Office, Congresss oversight group, reported that Brown and Root charged for over $17 million more electricity than was necessary in Kosovo. It gets worse. The firm ordered $5.2 million worth of furniture for camps in Kosovo; they spent $377,000 just processing the order.

Its more than the wasted money that gives me heartburn. Its the subversion of our democracy by men who claim to be patriots. Back to Dick Cheney. He was Secretary of Defense in the first Bush administration when the plan to privatize military support services was conceived. He gave Halliburton the go-ahead to write the plan. When Cheney re-joined the private sector, Halliburton paid him back with the job of President and Chief Executive Officer. As for Cheneys claims to patriotism, maybe some of you saw a segment on CBSs 60 Minutes. The show reported that, during Cheneys tenure as Halliburton CEO, he established a Halliburton Products and Systems in the Cayman Islands. The purpose was to circumvent a law that restrains U.S. companies from doing business in Irana state sponsor of terrorism. Halliburton had no office and no workers in the Cayman Islands, just a mail drop. Cheney used this subterfuge to supply millions of dollars of oil-field work for Iran. Cheney shielded Halliburton from U.S. tax liability. A true patriot, yessiree.

As much as I say it, and as much as a few of our members disagree, the Bush Administration has to go.

The Halliburtons or the working folks? Thats what the 2004 election comes down to. Yes, we need a strong defense. Yes, we need to protect our country against terrorism. We dont, however, need leaders who manipulate our fears for their own self-interest. Thats what is happeningwhile overtime and unemployment benefits are cut; while public works projects are curtailed; while costs for college education skyrocket; while U.S. factories shut down; while new union-busting deregulation and privatization schemes are in the making.

The IBEW is in the fight for the future of our country. We are in this fight to win. Get mad. We need to elect a president who will look out for us, not the Halliburtons and Enrons.

Jeremiah J. OConnor

International Secretary-Treasurer

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March 2004 IBEW Journal