UN To Privatize?

THE United Nations has drawn up plans to privatise the bulk of its staff at its New York headquarters or have their work done more cheaply overseas. The move is in response to mounting demands for reform from the United States, its biggest paymaster.

The Business has learned that Kofi Annan, the UN secretary general, has commissioned a study into the outsourcing of the department for General Assembly and Conference ­Management, the main UN ­decision-making body whose officials issue about 200 documents a day in six languages.

The move comes as the UN grapples with the oil-for-food scandal in which officials have been accused of taking bribes from Saddam Hussein’s regime.

Annan will report by the end of February on management reforms to the General Assembly. According to an internal UN document previewing Annan’s report obtained by The Business, he will include “proposals to outsource or off-shore select administrative processes” – suggesting its New York headquarters may shed staff.

I should start by saying that cutting the bureaucracy at the UN must be done. The UN is a bloated bureaucracy that needs a serious housecleaning. However, it appears that Annan is simply reshuffling the deck chairs on the Titanic instead of making serious reforms.

Getting workers out of the US who might end up being investigated by New York and federal prosecutors? Check. Outsourcing the corruption? Check.

That's the direction this 'reform' or 'privatization' is headed. It may result in less oversight, not more.