Posts Tagged ‘Outsourcing’

Vote for Corbyn to Stop the Work Capability Tests

June 8, 2017

This is the text of another of my table-top pamphlets, this time against the notorious Work Capability Tests. These were also introduced by New Labour at the behest of Unum and other private healthcare providers.

These are not objective tests to assess who is well enough to support themselves. They are simply a callous, bureaucratic mechanism for throwing people with disability off the benefits they need to support themselves. These have included severely disabled people, including terminal cancer patients in comas!

This iniquitous system has been retained and expanded by the Tories – David Cameron and his Lib Dem lackey, Nick Clegg, and now Theresa May.

It is killing people. As I’ve mentioned far too many times before, about 600 + people have died in misery and despair after having their benefit withdrawn due to these tests. Stilloaks, Johnny Void, Mike at Vox Political and DPAC have put together lists and videos putting names to faces, to show the human reality of these statistics – whose mothers, fathers, sons, daughters, brothers and sisters were killed thanks to the Thatcherite insistence of cutting down on welfare.

The number of people, who have died after having been assessed as ‘fit for work’ is well above ten thousand, though the true figure may never be known. Mike and the other disability activists, who tried to get the figures were blocked by IDS and the DWP at every turn when they tried to get them.

Jeremy Corbyn has also promised to end workfare.

So vote for him. Don’t let the Tories kill more disabled people under the pretence of saving money.

Stop the Work Capability Test –
Before More People Die

by David Sivier

One of the very worst policies introduced by various governments as part of their campaigns to dismantle the welfare state over the past decade has been the Work Capability Test. This was introduced by New Labour in October 2008 along with a new benefit for the disabled and long-term sick, the Employment Support Allowance, which replaced Incapacity Benefit. The Work Capability Test is intended to show if the person claiming benefit really cannot work. It consists of questionnaire, in which boxes are to be ticked in answer to particular questions about the claimant’s health and disability. 2Ten of these tests were on the claimant’s physical health, and another ten are on their ‘mental, cognitive and intellectual’ fitness. There may also be a brief physical examination. The tests are performed by medical doctors working on behalf of a government outsourcing company. This was given to the French company, Atos, but the company was forced to terminate its contract a year early in 2014 following public anger at the system’s incompetence and maladministration. The contract was then given to an American company, Maximus. The tests may be repeated as often as the JobCentre Plus decides. If the disabled person scores low in the tests, they are judged fit for work. They lose their ESA and are told to apply for Jobseeker’s Allowance.

The tests are based on a monograph, The Scientific and Conceptual Basis of Incapacity Beneft, by Gordon Waddell and Mansel Aylward, of 2005 and a succeeding work, Is Work Good for Your Health and Wellbeing? By Gordon Waddell and Kim Burton. They were also strongly influenced by a 2001 New Labour conference, in which Aylward was a contributor, Malingering and Illness Deception. These led in turn to the publication of a Green Paper in 2006, A New Deal for Welfare: empowering people to work – an independent assessment of the arguments for the proposed Incapacity Benefit reform. Both Waddell and Aylward were professors at the Unum Provident Centre for Psychosocial and Disability Research at Cardiff University, which was funded by the American insurance giant from 2004-9. The Work Capability Test uses a form of Bio-Psychosocial model of assessment, developed in America by Unum Provident. This model of assessment is considered to have been devised by George Engel in 1977. In 2006 a paper produced by Professor Christopher Butler and his colleagues attacked the model as ‘wanting’ and inadequate. Waddell and Aylward’s 2006 paper has also been attacked and discredited by Emeritus Professor Alison Ravetz.

Unum, and pseudo-medical testing actually became part of the disability benefits system twelve years or so prior to the Waddell and Aylward’s paper, in 1993, when the-then Conservative Health Secretary, Peter Lilley, introduced tougher testing designed to evaluate whether claimants were totally incapable of work. They had previously been awarded benefit if they were unable to do their job. Lilley considered that this approach was to open to sentimental interference by doctors, and so set up an ‘Incapacity benefit medical valuation group’, whose members included Dr John Le Cascio, the second vice-president of Unum Corporation. Lo Cascio had recently been seconded to its British branch, Unum Ltd, based in Dorking in Surrey. In 1994 Lo Cascio was appointed to train the British doctors charged with carrying out the tests by the Benefits Agency Medical Services. New Labour claimed that the purpose of the Work Capability Tests has been ‘to get people back into work’. This was always a misleading claim. New Labour had a ten-year plan to remove one million people from the 2.8 million receiving disability benefits. Their Secretary of State for Health declared ‘We know that being in work can be good for your wellbeing’, echoing the title of the paper by Waddell and Burton. 13 Years before that, Lilley introduced the tests with the aim of cutting £2 billion from the benefits bill.

And Unum itself regarded the benefit cuts as a great commercial opportunity. In their report in 1994, Chairman Ward E. Graffam was enthusiastic about ‘exciting developments in Britain’, saying ‘the impending changes to the State ill-health benefits system heralded in the November 1993 Budget will create unique sales opportunities across the entire disability market and we will be launching a concerted effort to harness the potential in these.’

Atos immediately decided that three-quarters of those in receipt of benefit were fit for work.16 Between the introduction of the tests in October 2008 and February 2012, the Department for Work and Pensions made over 1.36 million decisions on whether to award ESA following the administration of the tests on claimants. It declared 794,000 sick and disabled people ‘fit for work’. From the very beginning, the tests were criticised as being vastly inaccurate, and the treatment of claimants under it as cruel and degrading. ‘We Are
Spartacus’, a network of disability researchers and campaigners, denounced the way claimants were ‘wrongly assessed, humiliated and badly treated’. In response to repeated requests by disability campaigners, the DWP finally released the figures for the number of people dying over 11 months in 2011 while in receipt of ESA. 10,600 people in total had died. Of these, 1,300 had died after being taken off benefit following the decision that they were ‘fit to work’. Some of the people, who have died, committed suicide in despair at having their income terminated. One of these was a 47 year old man, who took a drug overdose. Others experienced a deterioration in their mental health due to the stress of assessment. Between 2008 and 2014, there were 600,000 appeals. This constitutes a third of all assessments, and in 2012-13 there were 465,000 appeals, with a success rate of 39 per cent. In some areas, lawyers had a success rate of over 80 per cent overturning decision by Atos against the claimant receiving benefits. 60 per cent of those, who had successfully appealed had scored zero. That is, Atos had declared them entirely fit for work. In 2013, however, the Conservative government took the decision to end legal aid for claims for welfare payment, which meant that fewer people would be able to afford to take the government to court.

In America, Unum Provident was fined $31.7 million in a class action lawsuit in California in 2003 for running ‘disability denial factories’. Two years later in 2005, John Garamendi, the California Department Insurance Commissioner, fined the company $15 million, declaring ‘Unum Provident is an outlaw company. It is a company that has operated in an illegal fashion for years’. The insurance commissioners of 48 American states had made a settlement with the company by 2006 that required it to review 200,000 claims and pay a $15 million fine. In 2008 the American Association of Justice declared that the company was the second most discredited insurance provider in America.

Despite public anger at Atos’ conduct of the Work Capability Test for ESA, the government in 2012 awarded the company another contract, worth over £400 million, for assessing whether disabled people were suitable for the Personal Independence Payment that was scheduled to replace the Disability Living Allowance in 2013. The Disability Living Allowance provided the handicapped with up to £130 per week to help them look after themselves. This was mostly awarded to help people cook, wash, and assist those with mobility problems. In the three years from April 2013 to 2016, this is to be phased out and replaced with the PIP, which is designed to get people back into work. The government was determined to cut spending on the PIP by twenty per cent during these three years, after the number claiming DLA rose by 30 per cent to 3.2 million people between 2002 and 2011. This was expected to throw 500,000 people off disability benefit.

As with their administration of the ESA fitness to work tests, Atos has proved to be less than efficient in its administration of the PIP. Those applying for the benefit may have to wait months before being notified that they are entitled. The cancer charity, MacMillan Cancer Support, stated that there were serious delays in the approval of payments. As well as leaving the terminally ill without this benefit, it also meant that they were unable to claim other vital benefits with which PIP was linked. As a result, some were forced in their desperation to take out loans from payday loan companies, which have a truly exorbitant interest rate. The number of problems with ESA dealt with by Citizens Advice rose by 54 per cent from 2011 to 2012, when the bureaux dealt with 450,000 of them.

Paul Farmer, the head of the mental health charity, Mind, criticised the tests for failing to consider the effects of mental health on people’s ability to work. In an interview with the Guardian in 2012, he said

The system is based on assumptions that claimants need to be forced back to work, rather than supported on their own terms, and that those not well enough to go back to work are somehow perceived as scroungers. These attitudes only serve to further damage individuals’ mental health and increase the time until they may be ready to return to work.

Richard Hawkes, the chief executive of Scope, another disability charity, stated that the tests ‘should be more than an exercise in getting people of benefits. It should make sure disabled people get the specialist, tailored and flexible support they need to find and keep a job.’ The House of Commons Work and Pensions Committee condemned the tests, stating that the system was so flawed it needed to be completely overhauled.

Guy Standing in his A Precariat Charter states that governments have been able to cut benefits for the disabled far more than for other groups, because they are a minority and so there is likely to be fewer objections to their treatment and lost votes. He also recommends that any firm hired by the government to provide services for the disabled should be bound by three commitments. The first should be to the disabled themselves; the second should be to the government; and the third should be to the whole of society, as the rest of us could be next. The employment contract awarded to such outsourcing firms should include penalty clauses requiring them to compensate the disabled claimant directly when they do not award them the correct benefits. This compensation should be much more than the benefits the disabled person did not receive. They should also be penalised for their mistakes. This would be a start, but it is not enough. The problem lies not with the companies administering the tests, but with the whole system of tests itself. The cause of the problem is attitude of successive governments, from John Major’s Conservatives, through Blair and Brown’s New Labour and then the Conservative-led governments of David Cameron, that the disabled should automatically have their benefits reduced, regardless of the poverty and hardship involved. The goal should be to provide benefits to support the poor and disabled, rather than cuts intended to reduce the tax burden for the rich. The Work Capability Test and the poverty and stress it inflicts should be stopped. Now.

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Theresa May Plans to Stop Children Having Free School Meals

May 20, 2017

Along with her other vile policies – like ending her promise not to raise VAT, taxes and national insurance, ending the triple lock on pensions, bringing back fox hunting, opening more grammar schools, May also wants to end free school meals for infants.

Maggie Thatcher tried something similar way back in the 1970s. She wanted to end free school milk as Heath’s education secretary. This earned her the soubriquet ‘Maggie Thatcher, the Milk Snatcher’. Mike in one of his articles on her vile policies has posted a very nice gif from EL4C, which shows a picture of Maggie with that chant, followed by May and the slogan ‘Theresa May takes your lunch away’.

http://voxpoliticalonline.com/2017/05/19/at-last-britons-are-uniting-against-theresa-may/

Historians of the ’70s have argued that Thatcher’s stopping of free school milk was, in itself, a minor issue, which became a political battleground because people were fed up with the Tories generally.

But the stopping of free school meals for infants is a very different story.

We now have a society in which a hundred thousand people or more have been forced through Tory welfare cuts to use food banks. According to statistics, seven million people life in ‘food insecure’ households. Which means that they don’t know if they’re going to have enough to eat tomorrow.

Mothers are starving themselves in order to give food to their children.

This isn’t scaremongering by the ‘cultural Marxist left-wing media’. And people don’t go to food banks, ’cause it’s free food, as spouted by Tory liars like Edwina Currie.

It’s documented fact.

This will make the situation worse. It will mean more children going to school hungry, where they won’t be able to learn because of the hunger pangs. And if they can’t learn, they can’t pass exams, and so won’t get a proper, paying job. If any are still around after they’ve all been either automated away or outsourced.

And so we’ll go back to the 19th century, when there was real famine and malnutrition amongst the Labour poor.

This is what the Tories want. This is what May intends to give the ‘hard working people’ her party claims to be defending.

All to give her friends and paymasters in big business more tax breaks, and a cowed labour force so desperate they’ll work for literal starvation wages.

Don’t put up with it.

Kick and them out.

Vote Labour June 8th.

Wartime Conference on Science, Philosophy, Religion and Democracy

March 12, 2017

I found a copy of the 1942 book, Science, Philosophy and Religion: Second Symposium, over a decade ago now in a secondhand bookshop in Totnes in Devon. As the above title page states, this comes from a conference on science, philosophy and religion and their relation to the democratic way of life, held in New York in 1942. The conference was held at Columbia University and was the successor to the first symposium, held a year earlier. The book was a collection of papers by leading members of the above disciplines, edited by Lyman Bryson and Louis Finkelstein. These were intended to show how these areas of research and experience supported democracy against the advance of the totalitarian regimes in Europe.

The volume has the following contents

I Democracy’s Challenge to the Scientist, by Caryl P. Haskins;
II Democracy and the Natural Science, Karl F. Herzfeld;
III Some Comments on Science and Faith, Hudson Hoagland;
IV The Comparative Study of Culture of the Purposive Cultivation of Democratic Values, by Margaret Mead;
V The Basis for Faith in Democracy, Max Schoen.
VI Pragmatism, Religion and Education, John L. Childs;
VII Liberal Education and Democracy;
VIII A Philosophy of Democratic Defense, Charles Hartshorne;
IX The Role of Law in a Democracy, Frank E. Horack, Jr.
X Pluralism and Intellectual Democracy;
XI, Empiricism, Religion and Democracy, Charles W. Morris;
XII Philosophical Implications of the Prevalent Conception of Democracy;
XIII The Spiritual Basis of Democracy, by the Princeton Group;
XIV Thomism and Democracy, by Yves R. Simon.
XV Democracy and the Rights of Man, Paul Weiss.
XVI The Stake of Art in the Present Crisis, George Boas.
XVIII An Approach to the Study of History, William G. Constable;
XIX Literature and the Present Crisis, Joseph Wood Krutch.
XX How Long is the Emergency, Mark Van Doren.
XXI Democratic Culture in the Light of Modern Poetry.
XXII Democratic Aspirations in Talmudic Judaism, Ben Zion Bokser.
XXIII Democracy in the Hebrew-Christian Tradition; Old and New Testaments, Millar Burrows;
XXIV Christianity and Democracy from the Point of View of Systematic Christian Theology, Nels F.S. Ferre;
XXV Philosophical Foundations of Religion and Democracy, Willliam O’Meara;
XXVI The Patristic Christian Ethos and Democracy, Albert C. Outler.

There is also a section of addresses. These are

I The Faith and Philosophy of Democratic Government, A.A. Berle, Jr.
II The Function of Law in a Democratic Society, Charles E. Clark.
III The Artist and the Democratic Way of Life, Walter Pach.
IV Democracy in Our Times, M.L. Wilson.
V The Religious Background of Democratic Ideas, Simon Greenberg, Clarence Mannion, Luther A. Weigle.

I’ve dug it out again as I believe very strongly that this symposium and its wisdom is needed again with the current stagnation of democracy and the rise of Trump in America, UKIP in Britain and the parties of the extreme right in Europe. The basis of democracy in the West has been gradually undermined over the last 30-odd years, ever since the election of Thatcher and Reagan. Successive governments in Britain and America have been determined to work for the benefit of rich, corporate paymasters against the poor and middle class. There has been a massive redistribution of wealth upwards, as welfare services have been slashed and outsourced, industries privatised and closed down, and public utilities sold off. As wages have stagnated, the corporate elite have seen their pay grossly inflated. Their taxes have been cut, while those for the poor have actually been increased.

As a result of this concentration on the demands of corporate political donors, recent studies by Harvard University and the Economist have concluded that America is no longer a full democracy. It is a ‘flawed democracy’, or even oligarchy.

At the same time governments in Britain and America have also supported the massive expansion of the surveillance state under the pretext of countering terrorism. At the same time, the rights of workers to strike, and ordinary people to protest, have been curtailed. David Cameron’s Tory administration tried to introduce a series of reforms to block street demonstrations and protests under the guise of preventing residents for suffering the nuisance caused by them.

We also have Tory and Republican administrations that insist that only their view of history should be taught in schools. Michael Gove a few years ago made a ridiculous speech complaining about the ‘Blackadder’ view of the First World War taught in schools, while the educational authorities in Arizona withdrew studies of slavery and the civil rights movement from the school syllabus. Instead, pupils in that state were to be taught the speeches of Ronald Reagan.

Donald Trump’s administration is overtly anti-immigration, particularly of Latinos and Muslims. It includes members of the Alt Right, like Steve Bannon and Curtis Ellis, who hold bitterly racist views. Many of Trump’s supporters are White supremacists and Nazis. UKIP and Brexit in Britain have also led to an increase in racism and racist violence against ethnic minorities. At the same time, these movements have also promoted hatred towards gays and the transgendered. And similar movements are attempting to take power or increase their gains across Europe, from Marine Le Pen’s Front National in France, the Alternative Fuer Deutschland in Germany, Beppe Grillo’s Five Star Movement in Italy, Jobbik in Hungary, and other extreme right-wing parties in Switzerland, Austria and Scandinavia.

Democracy, tolerance, pluralism and the rights of the poor are under threat. The threat in America and western Europe isn’t as overt and violent as it was when the Fascists seized power from the 1920s onwards. But it is there, and desperately needs to be resisted.

Scottish Economist Mark Blyth’s on Neoliberal Economic Cause of Trump and Global Fascism

December 3, 2016

Mike early today put up a piece about a speech by Jeremy Corbyn, in which the Labour leader correctly described the extreme right-wing parties and their leaders as ‘parasites’, feeding off the despair and poverty that had been created through Conservative economic policies. They blamed their economic problems on immigrants, racial minorities and the poorest and weakest members of society. What was needed was for centre-left parties to reject the political establishment, and devise policies that would help people take power for themselves.

The report cited by Mike quoted Corbyn as saying:

“They are political parasites feeding off people’s concerns and worsening conditions, blaming the most vulnerable for society’s ills instead of offering a way for taking back real control of our lives [from] the elites who serve their own interests.

“But unless progressive parties and movements break with a failed economic and political establishment, it is the siren voices of the populist far right that will fill the gap.””

Mike makes the point that this effectively damns New Labour and its legacy. Blair’s espousal of neoliberal, Thatcherite economics allowed the country’s remaining state assets to be sold off by the Tories and Lib Dems, and made the country ready for the rise of far right politicians such as Theresa May and Nigel Farage.

See: http://voxpoliticalonline.com/2016/12/03/far-right-politicians-and-their-supporters-are-parasites-says-corbyn-calling-for-rejection-of-the-establishment/

Jeremy Corbyn isn’t the only person making this point. Over a week ago Michael Brooks, filling in for Sam Seder as the anchor on the left-wing internet news show The Majority Report, discusses the economic causes behind the rise of racist authoritarianism around the world. And it is global. Trump has been elected the next president of the United State, Marine Le Pen’s Front National is leading the polls in France, the neo-Fascist Fidesz party is in power in Hungary, and Brexit in England is part of this pattern.

Mark Blyth, a Scottish political economist and professor of international political economy at Brown University gave a speech at the university’s Watson Institute for International and Public Affairs which laid bare the roots of the origins of these illiberal, Fascistic movements in the massive poverty and social inequality created by neoliberal economics. Brooks plays a clip from his speech, and then adds his own comments afterwards.

Blyth states that from 1945 to 1975, the world’s governments were concentrating on full employment. He states that there is an economic law called the Lucas Critique, which states that in any economic policy, someone will try to game it to serve their ends. And in the case of the strategy of creating full employment, both unions and employers tried to game the system, with the result that inflation increased massively. This principally hurt the creditor class – the financial sector – who decided to hit back by liberating the banks from government control and creating an integrated global economy. This included globalising labour, so that they could not demand fair wages. If they did so, their jobs could be closed down and moved overseas. He also makes the point that the international trade agreements concluded during this period have been made with little regard for the interests of ordinary people themselves. You can see this in the Trans-Pacific trade agreement. If you look this up on the web, you will find a 700 page document negotiated between governments and major corporations, but with little input from civil society. Ditto for the treaties of the European Union. People have realised that for the past thirty years from 1985 onwards, massive amounts of money has been made, but these have all been passed upwards to an infinitesimally small number of people.

The result is massive poverty. He makes the point to his audience at the uni that they don’t have to go very far to see the consequences. All they have to do is go to north-west Providence, in Rhode Island. There they can see the stores offering to cash cheques on demand, or selling or fixing goods cheaply. People are fed up, and use every opportunity to show it. This was demonstrated with Brexit in England and Wales, and in the Constitutional Referendum in Italy.

And there is also a macro-economic underpinning to these movements here. Successive governments have targeted inflation, and Blyth states that he can see no reason why the Lucas Critique should not also apply here. We now have a situation in which 3 trillion euros have been dumped into the money supply through quantitative easing, and it has not caused inflation. This has caused other problems. When banks have been bailed out and taken over by governments, so that they have been dumped on the public, the creditors fight even harder to get their money back. This can be seen in the case of Germany versus the rest of the Eurozone. This has set up a conflict between creditors versus debtors. On the left, it’s produced Podemos in Spain. On the right, it’s created the Front National in France. Trump’s part of this trend. Misogyny and racism are part of the mixture that has thrust him to power, but if you look at areas like America’s rust belt, you also see that part of it is also economic.

Brooks adds that this is true, and like Corbyn, he makes the point that if there is no serious left-wing response which deals with an economic system that has been created to serve a tiny elite, it will open the door to the ugly things that are also present in the system.

In America, this is White Supremacism. He states that it’s in America’s DNA. The country was founded on genocide, slavery, apartheid and racism, of which there are different kinds, including discrimination against Asians and Hispanics. It is a profoundly racist country. The situation has also been made worse through the misalignment in the Democrat Party. There is a split between those who want social liberation, and those who want to reign in the corporate interests and break up the big cartels. This wasn’t quite so pronounced twenty years ago under Bill Clinton, who was willing to use racial demagoguery. Brooks states that the only way to tackle the rise of racism in America is to combine the two goals of creating greater opportunities for women and minorities, and attacking the power of the big corporations. The Third Way, neoliberal nonsense is unable to do this. The age of neoliberalism is over. The reign of neo-Fascism is now in.

Blyth, Brooks and Jeremy Corbyn are all exactly right. But you won’t hear it from the establishment press, or the Beeb, or any of the mainstream news outlets, which are there to serve corporate interests. And those interests want to prop up neoliberalism as long as possible. Hence we have the supposedly liberal press – the Guardian and Independent, viciously attacking Jeremy Corbyn and demanding his removal in favour of a safe Blairite leader. There’s a piece in today’s I newspaper by Janet Street-Porter asking why Ed Balls can’t be leader of the Labour party. She makes the point that he’s a fellow of Harvard University, and so intelligent. Balls academic qualifications aren’t in question here. All of the New Labour clique were well educated men and women, and the majority of them had spent periods studying in America. That’s the problem. They are the products of the British-American Project For the Successor Generation, a Reaganite programme set up to influence rising politicians in the 1980s so that they followed the Atlanticist line. And you can see the effects in the case of Tony Blair. When he started out, he was for unilateral nuclear disarmament. They he spent four weeks in America as a guest of the think tanks involved in the programme, and came back a convinced supporter of Britain’s nuclear deterrent. And Balls was an integral part of New Labour, and the Thatcherite/ Reaganite policies it pursued.

And that’s exactly what Janet Street-Porter and the other, supposedly left-wing hacks want: Thatcherism, but under a left-wing guise, which is essentially no different from that of the Tories.

It’s why Tony Blair has also returned, and is talking about his plans to set up an institute to promote ‘centrist’ politics next year. His politics aren’t centrist, as Mike’s pointed out: they’re far right, neo-liberal. They punish the poor, the ill, the unemployed and disabled for the profit and big businessmen like David Sainsbury. I’ve no doubt Blair is genuinely afraid of the rise in racism across the Continent. But he’s also terrified of the re-emergence of genuine socialism and of ordinary citizens taking back power from the corporations and the bankers. Hence his stupid and misguided plans for the institute. He hasn’t realised that his policies are part of the long chain of causes of the present political crisis, going all the way back to Thatcher. His institute isn’t going to solve the problem of racism and authoritarianism across Europe. It’s going to make it worse. If it ever gets going, of course.

Vox Political on Blair’s Proposed New Institute for Centre Ground Politics

December 2, 2016

Mike today put up a piece, which asked rhetorically how we should receive Tony Blair’s statement that he is setting up a new institute to promote centre-ground policies. Blair, apparently, is concerned about the resurgence of left- and right-wing populism. The new institute will be launched in the New Year, but will not be party political.

Mike in his comment to the story makes the point that Blair is a creature of the reactionary right. Margaret Thatcher, who began the decades-long destruction of this country, its institutions and industries, and the impoverishment and immiseration of its working people, considered Blair and New Labour her greatest achievement. And when Cameron came to power, he began by consciously modelling himself on Tony Blair’s mixture of neoliberalism and social reform.

Mike comments that the best reaction to the news is probably that put out on Twitter by Matt Turner. This shows Jeremy Corbyn having a dam’ good laugh.

See: http://voxpoliticalonline.com/2016/12/02/how-should-we-react-as-tony-blair-announces-new-institute-for-centre-ground-politics/

Actually, you could go a bit further than Mike in the characterisation of Tony Blair. He is indeed a creature of the reactionary Right. He is also a crook of almost Reaganite dimensions. Reagan, remember, implemented Thatcher’s policies in America as a reaction to the liberalism of the 1960s. He was a thug who supported right-wing Fascist death squads all over south and central America, who committed appalling atrocities in order to keep the peoples of that continent in thrall to their upper classes and American corporate and political interests. Just as Tony Blair fully and heartily cooperated with Bush in launching an illegal invasion of Iraq, an invasion that has similarly seen the rise of death squads armed and supported by our allies in Washington.

Reagan and Blair also deregulated the financial sector. In Reagan’s case, this was the savings and loans societies – the American equivalent of our building societies. And the results were identical. Massive greed and mismanaged by the financial whizzkids resulted in financial crashes in which some of the very poorest lost their money. This included the cowboys, the remaining agricultural workers on America’s ranches, who Reagan’s supporter, Clint Eastwood, claimed symbolised sturdy Republican values – self-reliance, and having a piece of land of your own. Thanks to Reagan in America, millions of Americans had the opportunity to own a piece of property of their own taken away from them. Just as, decades later, Tony Blair did it to the working people over here.

And then there’s the whole process of the mass privatisation of industry. Reagan started that off, along with the attacks on the American welfare system, using arguments that were also repeated over here by the Blairites in the Labour party. He also flagrantly violated the American Constitution with the Iran-Contra affair, although he managed to escape and it was Oliver North who ended up going to the slammer. Blair’s backing of the Iraq invasion was similarly illegal, but under international law, as our country doesn’t have a written constitution like the US. He was also responsible for some of the policies that are chipping away at our liberties as free citizens. Like Major, Blair was a fan of the surveillance state, wishing to introduce mandatory identity cards, for which we, the ordinary citizens, would have to pay for the privilege of having. He also wanted to expand the powers of the surveillance state and introduce secret courts. These have also been taken over by the Tories and Lib Dems. Blair was also a liar, in that his government was determined to privatise the NHS, but like Thatcher, knew that actually telling people they were doing so would lose them the election. And so, like the Tories before and afterwards, he carefully hid what he was doing.

And then there’s the man’s personal character. He and his wife, Cherie, were massively greedy. They took money from businessmen in a series of sleaze scandals of the type that disgraced John Major’s administration. Corporate donors were given favours and places on government committees and quangos. Cherie Blair, who tried to pass herself off as a human rights lawyer, was quite prepared to work for some of the most brutal and reactionary nations and dictators the world over, if the money was right.

And what kind of left-winger, never mind Socialist, spends his holidays enjoying the hospitality of Berlusconi, whose ruling right-wing coalition included the post-Fascist Alleanza Nazionale, and the Northern League. The latter were so right-wing, they despised the Italian south as foreigners, sneeringly referring to it as ‘Egypt’. Their dream was an independent state in the north of Italy. And the core of their supporters were Fascists. There’s a documentary on YouTube by an Italian journalist, who went in search of the Northern League in his home country. He found them, and they’re very scary. They were, as you’d expect, militantly anti-immigrant. And there’s one scene where he filmed them in a café singing the old Fascist squadristi songs, and reminiscing about the old days under Il Duce. The documentary’s in English, so there’s no problem for Anglophone viewers seeing for themselves how unpleasant these rightists were.
And Blair’s greed was so much that the Italians nicknamed him ‘the scrounger’.

He then followed this up a year or so ago, by being George Dubya’s guest at a Republican Convention, though he wouldn’t say whether or not he was a Republican.

As for being aghast at the rise of populism on both right and left, Blair’s neoliberalism, his attacks on the welfare state and wars in the Middle East are directly responsible for this. His destruction of Iraq, which subsequent regimes have expanded into Syria and Libya, have displaced millions, who can see no future in their home countries. Hence they try to get into western Europe, where they believe they will have safety, jobs and prosperity. At the same time, Blair attacked the welfare state over here, as well as trying to destroy the unions further, and reduced employment rights and working conditions. The result is that millions of Brits are now plunged in precarity, making a meagre living from insecure, low-paid, and often temporary jobs, and saddled with debt. Their scared, and resentful of a corporatist elite, which only offered sanctimonious platitudes about civil rights and racial and gender equality, while making living conditions for ordinary people much worse. And people frightened for their jobs, and acutely afraid that they are being denied welfare payments, are going to be resentful of the immigrants they fear may take those things away from them. Hence the massive xenophobia that has spread alarmingly across Britain in the wake of Brexit.

Blair’s responsible for all that. But he stupidly believes that the answer to this fear and poverty is going to be, well, more of what he stood for: more neoliberalism, more rationed welfare services, more privatised healthcare, more tax cuts for the obscenely right. But somehow made palatable by mellifluous verbiage and lies about increasing opportunity, personal choice, and greater opportunities for women and minorities.

But working people, women and minorities ain’t buying it. There’s an long article in Counterpunch by two of their female columnists discussing why a very large number of American women voted for Trump against Hillary. This was even after it had become abundantly clear that The Donald was a boorish misogynist, who had no qualms about sexual assault. These two women, who both were staunch feminists, made the point that American women were largely unimpressed with Killary’s claim that they should vote for her, because it was about time a woman was in the White House. This didn’t impress the female electorate, who reasoned that Killary’s victory would not be a triumph for all women, but only entitled, rich women. Ordinary, middle class and blue collar women, were still faced with the fear of keeping their jobs and providing for their families in an economic regime in which they could be laid off and their jobs moved halfway around the world. They were faced with the harsh realities of paying the bills and finding affordable medical care when wages hadn’t risen in decades. The two authors made the point that the kind liberalism promoted by Clinton’s establishment Democrats, and Tony Blair and his ilk in Britain, doesn’t actually care about looking after the poor. They care about making sure a fair proportion of those enjoying the top jobs and position are women and members of ethnic minorities, while doing their level best to make sure the majority of people remain in poverty and insecurity for the benefit of the corporate elite.

The reason why Trump and Farage are on the rise on the Right, and Bernie Sanders and Jeremy Corbyn on the Left, is for the simple reason that ordinary people have got sick and tired of the lies uttered by people like Blair and the Clintons, that provide an egalitarian cloak for a harshly unequal and exploitative system.

Blair’s intention to launch this new institute also reveals something else about him as well: not only did he take over Thatcher’s politics, he also shares her egotism. Thatcher couldn’t accept that her time was over either when the Tories ditched her in favour of John Major. She kept trying to come back, interfering like a back seat driver. Private Eye made this point on one of their covers, where they showed Thatcher apparently trying to get her way once more by twisting Major’s hand. Plus all the sketches on the latter series of Spitting Image, which showed her as a sad, embittered old woman, constantly saying, ‘I used to be Prime Minister, you know.’

The same thing’s now happened to Blair. He can get used to the fact that he is now politically irrelevant, if not actually a liability.

So let’s treat him like one, and give his institute the derision it deserves.

Secular Talk: Bernie Sanders Proposes ‘Outsourcing Prevention Act’ to Make Trump Keep Election Promise

November 30, 2016

Here’s another great idea from Bernie Sanders, the self-declared ‘democratic Socialist’, who should definitely be the one to go to the White House next year, rather than Trump.

Remember how Trump was telling everyone at his rallies that if he got into power, he was going to stop the corporations outsourcing their jobs abroad to create more poverty and unemployment in America? Aside from the racism and the islamophobia, it was this promise which may have helped him gain the votes of middle class and blue collar workers, whose jobs are threatened by the neoliberal outsourcing policies championed by the establishment Republican and Hillary Clinton and her clique in the Democrats.

Now Bernie Sanders has come up with a proposal to try and keep Trump to his promise. In this piece from Secular Talk, Kyle Kulinski discusses the report in the Huffington Post that Sanders has put forward the outlines of an ‘Outsourcing Prevention Act’. If this was passed, it would punish companies moving jobs out of America. Those corporations that did so would be banned from receiving federal tax breaks, grants or loans, and demand the repayment of any federal perks. The offending companies would also have to pay a tax equal to the amount they saved through the outsourcing, or 35 per cent of their profits, whichever is the greatest amount. The executives would also be banned from receiving bonuses, stock options or golden handshakes.

Kulinski makes it clear that Democrats and progressive should not be prepared to give an inch of cooperation to Trump when he trying to pass any of the massively unjust or racist measures he’s promised, such as deporting undocumented immigrants, registering Muslims and building that wall with Mexico. Kulinski recognises, however, that the latter is rapidly being played down, with Trump himself now claiming that it was mainly metaphorical. When Trump does propose something that will benefit all Americans, rather than just the corporate elite, or racist Whites, they should be prepared to work with him. This proposal is Bernie’s attempt to make sure Trump doesn’t go back on his promise, and actually does something positive for the American people.

We need something similar in this country. Executive pay has massively outstripped ordinary people’s wages and salaries, and companies are outsourcing jobs abroad, including elsewhere in the EU. It has been something of a local issue here in Bristol, where the local chocolate factory, Cadbury’s in Keynsham, a small town between Bath and Bristol, was closed down after it was taken over by Kraft foods. I’ve got a feeling the company then moved the jobs to a new factory in Poland.

I’m not sure how much chance Bernie’s proposal actually has of ever becoming reality. Trump is now very rapidly going back on all of his election promises, appointing Washington insiders and establishment bankers to important cabinet posts. These include some of the very people he personally attacked at his rallies. And even if it had his backing, neoliberal and corporate interests are now so entrenched in both sides of Congress that it would be bitterly attacked and voted down.

And you can imagine how the Conservatives and their paymasters in the CBI would scream and holler if Jeremy Corbyn promised anything similar in the Labour party. They’d almost certainly be joined by the Blairites. After all, Tony Blair said that his administration was ‘extremely relaxed’ about becoming rich, and did so much to promote businessmen to important and lucrative government posts. And vast numbers of MPs, possibility the majority, are managing directors or senior executives of companies, and therefore stand to benefit personally from government policies that boost business at the expense of domestic jobs.

We need to clean up parliament, and remove the corporate interests so that it starts to represent the British people as a whole, and not wealthy businessmen and women. And we do need to prevent further jobs being lost abroad, and punish the firms that make big profits from creating unemployment here in Britain.

Let’s Get Fascist with Neoliberal Corporatism

August 1, 2016

By which I certainly don’t mean supporting racism, xenophobia, genocide and the destruction of democracy, or vile, strutting dictators.

British and American politics are now dominated to an overwhelming extent by the interests of corporations and big business. Corporations in America sponsor and donate handsomely to the campaign funding of congressmen and -women, who return the favour, passing legislation and blocking other acts to the benefit of their corporate sponsors. I put up a piece a little while ago from the radical internet news service, Democracy Now!, reporting on how funding by the Koch brothers has resulted in policies that massively favour the oil industry, against the Green movement and efforts to combat climate change. Hillary Clinton, the wife of former President Bill Clinton, is also part of this corrupt web. She sits a number of leading American companies, and was paid something like a quarter of a million dollars for speeches she made to Wall Street. This has had a demonstrable effect on her policies, which strongly favour big business and, naturally, the financial sector. This corruption of American democracy ultimately goes back to the 1970s, when a court ruled that sponsorship by a corporation constituted free speech under the law, thus undermining the legislation that had existed for over 150 years against it. After about forty years of corporate encroachment on the res publica, the result is that America is no longer a democracy. A recent report by Harvard University concluded that the nation had become an oligarchy. This is reflected by the low rating of Congress in polls of the American public. These have shown that only about 14% of Americans are happy that their parliament represents them.

This situation is no different over here, although the corruption has been going on for much longer. ‘Gracchus’, the pseudonymous author of the 1944 book, Your MP, detailed the various Tory MPs who were the owners or managers of companies. Earlier this evening I posted piece about the recent publication of a book, Parliament Ltd: A Journey to the Dark Heart of British Politics, which revealed that British MPs have about 2,800 directorships in 2,450 companies. It’s blurb states that MPs are not working for the general public. They are working for these companies. Nearly a decade or so ago, George Monbiot said pretty much the same in his book, Corporate State, as he investigated the way outsourcing, privatisation and the Private Finance Initiative meant that the state was increasingly in retreat before the encroachment of corporate power, which was now taking over its functions, and official policies were designed to support and promote this expansion. This has meant, for example, that local councils have supported the construction of supermarkets for the great chains, like Sainsbury’s, despite the wishes of their communities, and the destructive effects this has on local traders, shopkeepers and farmers.

In America, there is a growing movement to end this. One California businessman has set up a campaign, ‘California Is Not For Sale’, demanding that Congressmen, who are sponsored by corporations, should wear sponsorship logos exactly like sportsmen. In my last blog post, I put up an interview between Jimmy Dore, a comedian with The Young Turks, and David Cobb, the Outreach Officer with Move to Amend, a campaign group with 410,000 members across America, working to remove corporate sponsorship.

As I’ve blogged before, we desperately need a similar campaign in Britain. But it would be strongly resisted. Tony Blair’s New Labour was notorious for its soft corruption, with Peter Mandelson’s notorious statement that the party was ‘extremely relaxed about getting rich’. The Tories are no better, and in many ways much worse. When this issue was raised a few years ago, a leading Tory dismissed it with the statement that the Tory party was the party of business. David Cameron pretended to tackle the problem of political lobbying, but this was intended to remove and limit political campaigning by charities, trade unions and other opposition groups, leaving the big lobbying companies and the Tories’ traditional corporate backers untouched.

This corporate domination of politics and the legislature has been termed ‘corporatism’. This also harks back to the corporate state, one of the constitutional changes introduced in Italy by the Fascists under Mussolini. This was partly developed from the Italian revolutionary syndicalist tradition. The corporations were supposed to be a modern form of the medieval guilds. They consisted of both the employer’s organisations and the trade unions for particular industries, and were responsible for setting terms and conditions. Parliament was abolished and replaced with a council of corporations. Mussolini made much of this system, arguing that it had created social peace, and that it made Fascism a new political and economic system, neither Socialist nor capitalist.

In fact, the corporate state was nothing more than ideological camouflage to hide the fact that Fascism rested on brute force and the personal dictatorship of Mussolini. The power of trade unions was strictly subordinated to the control of the industrialists and the Fascist party. The Council of Corporations had no legislative power, and was really just there to rubber stamp Musso’s decisions.

But if the Tories and big business want a corporate state, perhaps they should get a corporate state, though following the more radical ideas of Fascist theorists like Ugo Spirito. Spirito was a philosophy professor, teaching at a number of Italian universities, including Genoa, Messina, Pisa and Rome. At the Ferrara Congress on Corporative Studies, held in May 1932, he outraged the Fascist leadership and conservatives by arguing that the Corporate state had resulted in property acquiring a new meaning. In the corporations, capital and labour would eventually merge in the large corporations, and their ownership would similarly pass from the shareholders to the producers, who manage it based on their industrial expertise. It was attacked as ‘Bolshevik’, and Spirito himself later described it as ‘Communist’. Despite the denunciations, it was popular among university students, who wanted the Fascist party to return to its radical Left programme of 1919.

If we are to have a corporate state with industrialists represented in parliament, as so promoted by neoliberal politicians, we should also include the workers and employees in those industries. For every company director elected to parliament, there should be one or more employees elected by the trade unions to represent the workforce. And as another Fascist, Augusto Turati argued, there should be more employee representatives elected than those of the employers because there are more workers than managers.

And as the outsourcing companies are performing the functions of the state, and those captains of industry elected to parliament are also representatives of their companies, these enterprises should be subject to the same public oversight as state industries. Their accounts and the minutes of their meetings should be a matter of public record and inspection. Considerations of commercial secrecy should not apply, because of the immense responsibility they have and the importance of their duties to the public, particularly as it affects the administration of the welfare state, the health service, and the prison and immigration system.

On the other hand, if this is too ‘Socialist’, then industry should get out of parliament and stop perverting democracy for its own ends and inflicting poverty and hardship of the rest of us.

May Refuses to Release Rape Figures at Detention Centre for Commercial Reasons

July 31, 2016

This shows the hollowness of the Tory Claims that somehow they are pro-feminist, and that the installation of Theresa May in No 10 is somehow an advance for this country’s women.

Mike yesterday put up a piece reporting that the Independent had made a request for the official figures of the number of rapes that had occurred at Yarl’s Wood detention centre, where immigrants are held while their cases are decided. The Indie noted that many of the women held their had been fleeing rape and war in their countries of origin. The detention centre is operated by Serco, one of the government’s favourite outsourcing contractors, along with G4S. Current legislation means that public bodies have to disclose information when it is in the public interest. But the Home Office turned down this request for information as it would harm the commercial interests of the companies running the centre.

Mike asked the obvious question: When did it become acceptable to use ‘commercial interest’ as an excuse to hide rape?

The question is rhetorical. Of course it isn’t. Mike makes the point that the framing of the request for information makes it clear that it has gone on more than once. he also states that as May was the minister in charge of the Home Office, she has the overall responsibility for what occurred there. And if she is indifferent to the crimes and abuse that happened there, what does this show about her concern for the rest of this country’s population?

See http://voxpoliticalonline.com/2016/07/30/when-did-it-become-acceptable-to-use-commercial-interest-as-an-excuse-to-hide-rape/

The Conservative party has repeatedly used the excuse of ‘commercial interests’ to justify their refusal to release details of the failures of private government outsourcing companies, including private hospitals and clinics. I distinctly remember Mike reporting a few years ago on the way requests for information on the standard of care at the private hospitals and hospital management companies contracted in to perform operations and manage PFI hospitals as part of the government’s privatisation campaign, were similarly turned down for the same reason. Yet similarly confidential information about the costs of running public hospitals were to be given to private companies. This was a naked display of the government’s intention to privatise the Health Service, by giving every advantage to the private sector, while covering up their failures. It is exactly the same here.

The excuse that the information must be protected for reasons of commercial confidentiality while the state’s must be public is easily dismissed. If a private company is performing work for the state, then it effectively becomes part of the res publica, and it is in the public interest to examine how efficient and trustworthy that company is, for exactly the same reasons governing the release of information about public bodies. Part of the rationale for employing private companies is that competition leads to higher standards than possible in a bureaucracy. But competition depends on there being competitors, who are aware of the faults of their rivals, and can correct these to offer better services.

The fact that the Tories don’t want to release such information suggests that they’re not interested in genuinely promoting competition. They’re just interested in promoting private companies. It also suggests that the supposed superior performance of the private sector is a myth. If the number of rapes in Yarl’s Wood detention centre was actually lower than those in state management, then I don’t see how there could be any objection to releasing them. It also suggests to me that, outside of the usual recidivists, there are no other outsourcing companies bidding to take over such services. The government has got to stick with Serco, or G4S, or whoever, because nobody else is going to do the job, and if they go, the whole project fails.

This is exactly similar to the government’s promotion of private healthcare and privatisation of the NHS. Jacky Davis and Raymond Tallis in their book, NHS-SOS make the point that there is no market for private healthcare in this country, and that private hospitals themselves aren’t efficient compared to state healthcare. The result is that the government, in the form of New Labour and the Tories, has had to resort to continuous intervention in order to do so. And it’s very obvious that’s also the case here.

Private healthcare doesn’t work, and the NHS should be renationalised.
Private prisons and detention centres don’t work, and should be renationalised.

As for what the government’s refusal to release figures specifically about the incidence of rape shows about May’s feminism, it shows that she has little interest in women’s welfare, or at least, in the welfare of women who don’t belong to the upper and upper middle classes. Rape, and violence against women in general, is the quintessential feminist cause. Yet here, May shows that she has no interest in combating it, if it means that her precious companies don’t make a tidy profit. Capitalism first, women’s safety second. After Angela Eagle’s leadership campaign collapsed, one of the female hacks in the I newspaper lamented the absence of strong, charismatic women in the Labour party, and pointed to the Tories’ election of May as their second female prime minister. But this ignores the fact that Maggie Thatcher did not see herself as a feminist. Her public persona was so aggressively masculine that one of the feminists in the Observer dubbed her ‘the best man in the Tory party’. Much the same has been said recently about Hillary Clinton, who is as aggressively militaristic as any of the male hawks with which she surrounds herself. And the same is true of Theresa May. She represents the ability of middle and upper class women to break through the glass ceiling and take senior positions in politics and management. But she has no interest in protecting the interests, rights, dignity and welfare of the people below her, including women.

Mike says of this incident that it’s about time the honeymoon with her was over. I agree. She will do nothing for the poor, and vulnerable, and will just carry on with Cameron’s policies. The fact that she is a woman is merely a piece of liberal camouflage hiding the harshly, exploitative Tory policies underneath.

Secular Talk: Harvard Poll Shows 51 Per Cent American Millennials Don’t Support Capitalism

April 28, 2016

In this piece from Secular Talk, Kyle Kulinski discusses the astonishing news that according to the Washington Post, just over half of American young adults don’t support capitalism. The papers reports that a poll by Harvard University of young people aged between 19 and 29 found that 51% of them did not support capitalism. Only 33% said they supported Socialism, however.

Kulinski states that this finding made him wonder if they were even more liberal than he was. He states that he’s not a Communist, and is largely opposed to it, although many of his viewers are Communists. He’s in favour of the mixture of Socialism and capitalism found mainly in the Scandinavian countries, and to a lesser extent elsewhere in Europe. He then goes on to consider that maybe most of the people polled are also in favour of such a mixed economy, but that the questions were badly worded so as to make them sound like they were in favour of total nationalisation when they weren’t.

America is one of the most capitalist nations on Earth, so it’s amazing how far leftward the country has moved. This might have something to do with the fact that for decades, the free market capitalism espoused and so militantly promoted by Reagan, Bushes snr and jnr, Bill Clinton et al hasn’t delivered. Unemployment is growing. The TPP has resulted in more jobs being exported abroad. 20 per cent of Americans could not afford healthcare before the introduction of Obamacare, and the Republicans have fought tooth and nail to repeal that. In many ways, Obama’s a Conservative politician. He receives much of his funding from Wall Street, Obamacare was originally a Conservative idea from Richard Nixon’s administration, supported by Newt Gingrich, amongst others. On gun control he’s hardly more restrictive than George Dubya. But that hasn’t stopped the Republicans screaming that he’s everything from a Communist to a Nazi to a radical Muslim. The accusations are ridiculous, and so are they for making them.

And much of this corruption come from the corporate funding of politics. Corporations fund politicians’ campaigns, so that their policies reflect those of their big business sponsors, rather than the American people. 80 per cent of Americans want gun control. Very many others don’t want to see cuts to Medicaid and social security. But the politicians don’t want gun control, and are doing everything they can to cut the Medicaid and social security budget.

And as a result of all this, the approval rating for Congress fluctuates from 9% to 20%. And a Harvard study declared that America was an oligarchy, rather than a proper, functioning democracy.

This has no doubt got America’s corporate masters hopping mad. You can expect even more of them to start putting pressure on our politicos in Britain to start privatising even more stuff, like the Health Service, so they have a few more nice little earners should Bernie Sanders, or someone very like him, get in. Which now seems increasingly possible.

And I dare say that the Tories over here are also worried. After all, they’ve taken much of their free market ideology from the American Republicans and Libertarians. The same goes for the Blairites in the Labour party. They took over the Chicago school’s nonsense, and followed Bill Clinton’s line in refashioning the Democrat party to look like a slightly paler version of the Republicans. Blair and the leading lights of New Labour were a part of the Reaganite network, the British-American Project for the Successor Generation. If capitalism, or at least, its free market variant is looking increasingly rocky in the American homeland, then you can bet that its cheerleaders and supporters are grimly contemplating the fact that this anti-free market mood might just cross the Atlantic and come over here.

And that will be no bad thing. Frankly, the day can’t come soon enough.

Three Reforms for the Outsourcing Industry

April 2, 2016

Earlier today I put up a piece about how the members of the Nazis’ industrial advisory had to swear an oath of eternal loyalty to Adolf Hitler, and to use their industries and its profits to building up the Volksgemeinschaft, and so serving the whole community, rather than their own private interests. Well, the Nazis had a kind of outsourcing, in that they appointed the head Allianz, the biggest of the German insurance companies, to head the economics ministry. Hitler also sought the active co-operation of big business, deliberately toning down the anti-capitalist rhetoric and moving to stop the SA and the Nazi ‘left’ wing from doing anything radical like socialising industry.

I do wonder, however, how popular outsourcing would be if the heads of the industries involved had to swear a democratic version of the oath, in which they vowed to serve the democratically elected prime minister and parliament, and to devote their profits and energies to the whole of the British people, conceived on a non-racist basis, rather than on their own corporate profit. To some it probably wouldn’t matter, but I can others complaining at the presumption of having to swear such an oath. Florence in her comment to the post also made the point that, more importantly, the Freedom of Information Act should also be extended to cover them. It’s a good idea, and one many others have made before. It would allow the British public to know what they’re doing, and also allow the firms and sectors we wish to keep nationalised to continue to compete against them. At present the system works in the privatisers’ favour. They can use the FOI to see what the nationalised industries intend, and then try to undercut them. It doesn’t work the other way, of course. If you try to get a peek at what they intend to do, you find it’s prohibited on the grounds of company confidentiality. It’s commercially sensitive information, and so not to be divulged to the public. Even though the nationalised industries have to release it, and the private industries are competing for state business. But nevertheless, that’s how the Tories give work to their paymasters in big business.

I’ve thought about three reforms which might bring about a much needed change in the predatory and exploitative culture of the outsourcing sector.

1. Introduce worker’s representation in the boardroom.

A company’s workforce also have a solid interest in the performance of their company, and can introduce much needed financial stability. Han-Joon Chang points out that businesses in those European countries, Germany and Austria, which have such a system of workers’ representation, are much more stable and profitable financially, than industries which are run exclusively for the profit of the shareholders. Furthermore, for sometime employees in the civil servants had something like this in the Whitley Councils. These were set up during the First World War to compensate workers for the lost of the right to strike. They were dismantled in favour of a less authoritarian system in the rest of British industry after the war, so that they trade unions could carry on bargaining for the workers. Such a system should be revived, and introduced into the outsourcing sector as these have replaced the traditional civil service organs.

2. Boardroom representation of the unemployed ‘clients’ on the boards of workfare companies.

Welfare to work providers exist by exploiting the unemployed as cheap labour, under the guise of retraining workers to help them back into the labour market. However, in order to prevent the gross exploitation of such cheap labour by profiteering companies like Tesco, Sainsbury’s and charities like the Salvation Army, the actual people taken on by these companies to be retrained should also have their interests represented at the management level. This would stop abuses like that Mike covered in Scotland, where one council started a system of fining the people sent to them on the welfare to work course for such trivial offences as tutting, talking back or walking around with your hands in your pockets. Failure to pay the fines could lead you to being thrown off the course, and consequently off benefit. See Mike’s article at: http://voxpoliticalonline.com/2016/04/01/jobseekers-on-council-run-course-face-cash-fines-for-tutting-or-answering-phones/.

3. Part nationalise these companies. As these companies are working on government business, it is right that the state should also have a hand in them to make sure they are properly regulated and managed. Han-Joon Chang has also pointed out that this also has beneficial effect in providing financial stability, as shown by some of the part-nationalised firms in France. Of course, this would also mean streamlining some of the management structure, as private enterprise has many tiers of bureaucracy that is redundant under state management.

Or we could scrap outsourcing altogether.

As an alternative to all the above, we could just get rid of the ludicrously expensive, bureaucratic and profiteering Private Finance Initiative and Public-Private Partnerships, to renationalise those industries and services that should never have been put out to private tender in the first place, like schools, prisons and hospitals. And then we could set up unemployment retraining schemes that would work for the unemployed, not the overpaid heads of the outsourcing companies, like G4S, Serco, Maximus and the other wasters.