Angst About Movement Between Government and Defense Contractors

Although the headline of this piece is misleading as it discusses in a non-partisan way the movement between contractors and government service this article in the Pittsburgh Tribune-Review does discuss an important issue with government contracting. One of the problems that faces efficient contracting is that often a person will serve in a job with the government and then leave to work with contractors either as a lobbyist or in some leadership role. The reverse is true as well as to find people with experience in the business government will often hire people who worked for contractors. That means it can be hard for some to trust a former senior executive to deal fairly with his former employer. Mr. Obama has already run into that issue with his choice of Mr. Lynn to be a senior defense acquisition official. He had to get a waiver from the new administration’s rule of not hiring lobbyists within two years of working for a company.

The article also points out that former Congressman and Senators also become lobbyists or serve on boards of companies that may do business with the government. Former Senator Daschle’s wife was a senior lobbyist for Boeing and other aerospace companies. This sets up further chances of conflicts. Not surprisingly many former Congressman, Senators and civil servants make a great deal of money through these positions. It also extends to retired senior civil servants and service personnel. Many generals and admirals end up running companies or serving on boards again due to their experience, knowledge and personal contacts. Unfortunately due to the requirements of the jobs on both sides and the amount of money involved in defense and other government contracting don’t expect to see major changes or solutions with this issue.