March 23, 2017
March 23, 2017
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One of the giant pitfalls to privatizing state-run services is that Vermont and other states must depend on the private company to install the software necessary to safely secure its online functions. VTDigger reports yesterday that a third-party, private, for-profit vendor called America’s Joblink Alliance–which operates a nationwide web-based database called Joblink- was recently hacked. Vermont is one of 10 states using Joblink.
The Tribune News Service published a story about the hack’s impact on Maine, which also uses the private company, and determined that the switch from state-run to private saved Maine a whopping $48,000 a year. Is that paltry amount really worth allowing thousands of Maine job applicants’ personal information to be exposed? Or thousands of Vermont job applicants?
Don’t believe the hype about privatization’s cost savings. Remember, Governor Shumlin said privatizing the state’s Risk Management Division last year would produce 10% savings (the threshold required to be eligible by statute to privatize a service) but the savings in year one were determined to be just 7%.
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