The High Cost of Private Contractors Compared to Federal Employees
The private sector has had a very bad month. Its most widely publicized failure occurred when UPS and FedEx fumbled their Christmas deliveries while the U.S. Postal Service scored a touchdown…
…Washington now spends about $500 billion on private contractors, more than double what it spent in 2000 even though the evidence is overwhelming that hiring contractors is more costly and less accountable than keeping the work in-house.
A thorough investigation by the Project on Government Oversight (POGO) found that Washington pays private contractors almost twice as much as federal employees. In 33 of 35 occupational classifications, federal employees were less expensive.