Thursday, June 25, 2009

Gulp: A CMCer Now Runs OSHA

I can't post the entire article, but you should see this section from my column about Jordan Barab CMC '75 and his new role at OSHA on The Forum:

Don’t expect Barab to be persuaded that OSHA is a waste of money and beholden to the unions he formerly worked for. Barab, in the days since he became acting OSHA head, has promised that “OSHA is back.”

Back from where? And just what kind of OSHA can we expect from Barab? Here it is instructive to look at his record, but before we do that, it’s worth pointing out his Facebook (publicly accessible from here) where he lists himself as a fan of the so-called “Employee Free Choice Act” and George Orwell. I guess that I read 1984 as a warning and that he read it as an instruction manual. Ah, sometimes you cannot make this stuff up. Given that even the liberal, left-leaning, former presidential candidate, George McGovern has come out against an effort to eliminate the secret ballot from America’s workplaces.

Either Barab hasn’t looked into the actual track record of OSHA — or worse, he just doesn’t care. Had he, he would see OSHA’s record of utter and abysmal failure which he should have recognized when he worked with it from 1998 to 2001 when he served as special assistant to the Assistant Secretary of Labor for OSHA until 2001.

After spending two years on a request from an employer about complying with OSHA from at home — now that’s speedy regulation! — OSHA finally responded and told the employer community that OSHA standards applied to those working at home as well as those working at the office. Public outcry forced them to reconsider, but that was after employers wasted an estimated $1000 dollars per home getting them up to OSHA standards and after it took OSHA two years to respond. All of this stopped more flexible work arrangements by forcing employers and employees to bear the cost of a stupid regulation. Many of those who were adversely affected were women, who wanted to stay at home with their kids and still have a career from their home office.

Not egregious enough for you? Let’s look at what happened in 2000, when Barab was also working for OSHA. Many CMCers will go on to work in the for-profit sector and like me, have aspirations of working on your own start up. At first, many of your employees will be paid hourly wages if they work on a new firm, that is, of course, until you all make serious bank when the company goes public, thanks to your diligence and hardwork. But thanks to OSHA’s unclear and silly regulations in 2000 which mandated that stock options be included in overtime pay, many firms just turned around and refused to award stock options to their hourly employees. It was simply too complex and not worth the legal hassle. It wouldn’t be too far of a stretch to argue that some of the early programmers who were denied those stock options might not have been too incentivized to work their hardest on the new firms that had hired them. In the free lance economy of Silicon Valley, this couldn’t have been good for start ups looking for people to move through the ranks.

Of course, OSHA, being a government entity, doesn’t regulate one of the most unsafe workplace environments in the entire federal government, the totally wasteful, U.S. Postal service, which according to Reason Magazine, “accounted for 29 percent of all federal agency workers’ compensation claims in fiscal 1994. In the same year, it paid out over $521 million in workers’ comp, death benefits, and medical expenses.” Putting it simply, we’re not only paying for the 750,000 employees of the Postal service’s generous government benefits and subsidizing the whole government-run business, we’re ignoring the very real human costs that it puts on the workers out there who would undoubtedly be safer in competitive firms that had to compete on safety, wages, etc. for the best workers.

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