Plan to Contract for Cargo Handling Being Done by Government Employees

LCD-77-318: Published: Apr 25, 1977. Publicly Released: Apr 25, 1977.

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The Army Military Traffic Management Command's plan to contract for cargo handling presently performed by government employees at the Military Ocean Terminal in Bayone, New Jersey, was reviewed.

No reasonable basis was found for challenging the Army Audit Agency's analysis of the contracting plan. Use of the private sector was concluded to be more economical. The Audit Agency's standards and performance were acceptable, and no deficiency significant enough to reject the analysis was found. Only 93 employees received early retirement as a result of the plan. In the interest of maintaining harmonious relations with labor, the government decided not to replace Longshoreman's Association stevedores with a government work force. A possible impact on unemployment and discrimination against older employees in hiring practices was noted.

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