More Thoughts on The Political Economy of the Shutdown

October 3rd, 2013 at 4:47 pm

Over at the NYT Economix blog.

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2 comments in reply to "More Thoughts on The Political Economy of the Shutdown"

  1. Chris says:

    >”One government contractor (United Technologies) just announced 2,000 temporary layoffs starting Monday.”

    FWIW, I work for UTC. (UTC is huge – on the order of 200k people. Sikorsky is one of many UTC companies.) Sikorsky will be affected in the near-term. Pratt & Whitney shortly thereafter. Other business units, including my own, on the timescale of weeks or months after that if the shutdown were to continue. I understand though that HR 372, a discharge petition which would enable a straight vote on a clean CR, could end the shutdown as soon as Oct. 14. Link =

    A factoid: Among other things, my co-workers and I support “assets” which the government operates in conflict regions and elsewhere around the world. The military flies the plane and analyzes the information which comes from the sensor flying on the plane but we – a private contractor – maintain the sensor and turn the raw data into the data products which the government analysts use in their work. When the current slug of funding we have from the government to support this work expires there’s a handshake agreement that UTC will keep paying their employees working in the field and be paid back later. How long they’ll be agreeable to that is anyone’s guess. More significant I think is that there’s a private contractor in the critical path. It would be extremely challenging (I’ll stop short of saying “impossible”) for the government analysts without us performing the steps we do in the collect-thru-analysis chain. That’s not to say that govt shutdown = no new intell. That’s certainly not the case. But our situation is hardly unique.

    • Jared Bernstein says:

      Very interesting–such granular info is hard to come by. Good luck with this mess! Believe me, there are lots of us down here trying to end the shutdown in a way that doesn’t incentivize more of them.