Farming out the care of our own to others doesn’t work.

Why would we think it could?

When governments award contracts to for-profit providers from overseas, who is the main stakeholder in the deal?

Not the employers, not the job seekers, not even the local economy. It’s shareholders. And in the case of several large Disability Employment Service (DES) contracts, it’s shareholders from overseas.

Having complained about the perverse incentive arrangement for Disability Employment Services (DES) in the past, I feel the need to explain the numbers behind the complaint.

Bear with me. It’s complicated and unbelievably silly.

Problem 1:

DES providers are not necessarily rewarded for finding full-time work, no matter how capable the job candidate. We’re rewarded according to the number of jobs found. This creates the next problem.

Farming out the care of our own to others doesn’t work.

Why would we think it could?

When governments award contracts to for-profit providers from overseas, who is the main stakeholder in the deal?