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Privatization is Killing Us: Dispatches from the Capitalist War on Society


Photo by Giuseppe Milo | CC BY 2.0

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Chris Wright, Counterpunch 2, 2018 | As the capitalist elite continues to pour ever more resources into its crusade to dismantle society, it’s important to keep a tally of the damage done—if only to direct popular attention to where it’s needed most, and to where the Left’s own resources are needed most. High on the list of capitalist priorities, and thus of priorities for left-wing resistance, is the goal to privatize everything from education to nature to policing and soldiering. With that in mind, here’s a list of some recent “negative externalities” of privatization that I’ve culled from news sources.

Children, teachers, and rat feces

Let’s start with Rahm Emanuel’s Chicago, jewel of neoliberalism. In February 2014, the Chicago Public Schools decided to outsource management of custodians to Aramark and SodexoMAGIC. The rationale for privatization is supposed to be that it cuts costs and improves “efficiency” or effectiveness. Left unsaid is the means by which costs are cut: primarily from the fact that private companies have a freer hand than government in treating employees viciously. It’s easier for corporations to lay off employees, reduce wages and benefits, degrade working conditions, and destroy unions than it is for governments to do so, since corporations are totalitarian institutions. Whether the overall deal is a net financial gain for government is a difficult question, to which studies have given conflicting answers. Some have found that it actually ends up costing more money in the long run, while others have concluded privatization may in some cases yield savings of about 10 percent. But these reports don’t factor in all the extra costs, such as the time and money it takes to review proposals by companies, negotiate contracts, review contract terms, deal with the inevitable lawsuits, etc.
And then there are the costs to the public, which, of course, don’t count.

Chris Wright has a Ph.D. in U.S. history from the University of Illinois at Chicago, and is the author of Notes of an Underground Humanist, Worker Cooperatives and Revolution: History and Possibilities in the United States, and Finding Our Compass: Reflections on a World in Crisis.

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