TRADE UNION OPPOSITION TO PRIVATISATION

Kirkcaldy and District Trades Union Council held a public meeting on Wednesday 22nd May 2002 to discuss the topic of privatisation. The guest speakers were Mary Senior, a research officer with Unison in Scotland, and Fife Councillor Willie Clarke. Unfortunately, although an invitation had been sent, the ruling Labour group on Fife council were unable to send a representative.

Mary spoke on the broader picture of privatisation and the detrimental effect it has on the provision of services. Private sector projects were funded with more costly borrowing than would be available to the public sector. But the need to satisfy shareholders always meant that the private sector cut costs to raise dividends. This led to poorer services and worse conditions for workers. Not-for-profit Public Interest Companies were becoming a popular idea. But they sub-contracted many of their services out to private companies. This brought the profit motive back in.

Mary went on to point out the high level of failures of privatised contracts. Many contacts were now being brought back into the public sector, because of these failings. Yet the European Union and the World Trade Organisation were pressing for privatisation on a global scale. This would involve privatising services such as water and healthcare in even the poorest countries in the world.

Willie focused on the private sector projects in Fife with particular emphasis on the new schools being built under the private finance initiative. He said that because of commercial confidentiality Councillors were not allowed to know the details of private contracts. There was no democratic accountability with regard to the private sector involvement.  He also referred to the problems the private sector had delivering the services they were supposed to provide.

In the debate which followed there was discussion covering the failings of Railtrack as highlighted by the recent crash at Potters Bar. The health risks caused by poor cleaning standards in hospitals under private contracts and the problems in Air Traffic Control were also covered.

The meeting concluded by resolving to continue to campaign against privatisation and the worsening of public service. There would be ample opportunity to debate the issues, particularly in the run up to elections for the Scottish Parliament and the local councils next year.

Submitted by Ian Waddell (Kirkcaldy Trades Council)