Economic Development Futures Journal

Sunday, April 11, 2004

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Michigan Says Stop Sending Government Business Offshore

The outsourcing of work for state government to other states and even other countries happens because companies that win state contracts with low bids are looking out for their own bottom lines. And that can mean moving the work to places where it can be done cheaply.

And it's a point of growing friction at a time when Michigan's unemployment rate is third highest in the nation.

Last month, Gov. Jennifer Granholm issued orders designed to bring more of the work back to Michigan. Her policies make Michigan jobs a factor in assessing competing bids.

There's more than low-end jobs at stake, said state Rep. Steve Bieda, D-Warren. He's concerned that work in areas such as information technology will move overseas without strict guidelines.

"It's our jobs; it's our future," said Bieda, who has introduced legislation that would require companies seeking Michigan contracts to certify that the work is being done in the United States.

State-government unions, whose members were angry about the loss of state-government jobs to private companies in Gov. John Engler's administration, say action is long overdue.

Here to read more.

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