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Javier E

How Boeing Favored Speed Over Quality for the 737 Max - The New York Times - 0 views

  • After the Max 8 crashes, Boeing and its regulators focused most on the cause of those accidents: flawed design and software. Yet some current and former employees say problems with manufacturing quality were also apparent to them at the time and should have been to executives and regulators as well.
  • Davin Fischer, a former mechanic in Renton, who also spoke to the Seattle TV station KIRO 7, said he noticed a cultural shift starting around 2017, when the company introduced the Max.
  • “They were trying to get the plane rate up and then just kept crunching, crunching and crunching to go faster, faster, faster,” he said.
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  • When the pandemic took hold in early 2020, air travel plummeted, and many aviation executives believed it would take years for passengers to return in large numbers. Boeing began to cut jobs and encouraged workers to take buyouts or retire early. It ultimately lost about 19,000 employees companywide — including some with decades of experience.
  • Current and former Boeing employees, most of whom spoke on the condition of anonymity because they were not authorized to speak to reporters and feared retaliation, offered examples of how quality has suffered over the years. Many said they still respected the company and its employees and wanted Boeing to succeed.
  • “For years, we prioritized the movement of the airplane through the factory over getting it done right, and that’s got to change,” Brian West, the company’s chief financial officer, said at an investor conference last week.
  • In late 2022, Boeing lost veteran engineers who retired to lock in bigger monthly pension payments, which were tied to interest rates, according to the union that represents them,
  • “We warned Boeing that it was going to lose a mountain of expertise, and we proposed some workarounds, but the company blew us off,” Ray Goforth, executive director of the union, said in a statement, adding that he thought the company used the retirements as an opportunity to cut costs by replacing veteran workers with “lower-paid entry-level engineers and technical workers.”
  • the International Association of Machinists and Aerospace Workers union, which represents more than 30,000 Boeing employees, said the average tenure of its members had dropped sharply in recent years. The proportion of its members who have less than six years of experience has roughly doubled to 50 percent from 25 percent before the pandemic.
Javier E

'Exhibit A': How McKinsey Got Entangled in a Bribery Case - The New York Times - 0 views

  • McKinsey says it advised Boeing of the risks of working with the oligarch and recommended “character due diligence.” Attached to its evaluation was a single PowerPoint slide in which McKinsey described what it said was the potential partner’s strategy for winning mining permits. It included bribing Indian officials.
  • The partner’s plan, McKinsey noted, was to “respect traditional bureaucratic process including use of bribes.” McKinsey also wrote that the partner had identified eight “key Indian officials” — named in the PowerPoint slide — whose influence was needed for the deal to go through. Nowhere in the slide did McKinsey advise that such a scheme would be illegal or unwise.
  • The story of McKinsey’s role in the episode has remained hidden from public view for 12 years. Even today the firm’s ultimate recommendation and how its client, Boeing, responded remain something of a mystery, cloaked in the secrecy of grand jury proceedings. But McKinsey’s reference to illegal acts has thrust the firm into a tangled international battle over the extradition of Mr. Firtash, who has been charged in the United States with bribing Indian officials in anticipation of getting titanium for Boeing
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  • Neither McKinsey nor Boeing was charged in the case, and Boeing has not been accused of paying bribes. But several employees of the two companies are believed to have testified before a grand jury. Boeing continued to pursue the venture even after being advised that its partner’s plans included paying bribes, records show
  • As orders flooded in, Boeing executives knew well what was at stake. In an article about the Dreamliner, The M.I.T. Technology Review quoted a manager saying, “If we get it wrong, it’s the end.”
  • But Boeing faced a more basic question: Should it even be doing business with this group — largely little-known figures from India, Sri Lanka and Hungary? The exception was the leader and leading financier, Mr. Firtash, who had expertise as the owner of titanium processing plants in Ukraine.
  • This was the business plan that McKinsey was brought in to assess, the plan that its report described as including the paying of bribes.
  • then there was the curious timing of the Americans’ pursuit of Mr. Firtash, which the judge suspected was linked to his influence in Ukrainian politics, especially his help in electing the president, Viktor F. Yanukovych, in 2010.
  • As soon as it became clear that Mr. Yanukovych, under pressure from Russia, was reconsidering signing the European Union agreement, the judge pointed out, an American delegation traveled to Kiev to bring him in line.Facing the prospect that Mr. Firtash might sway Mr. Yanukovych and use his connections to help him remain in power, the United States asked Austria to arrest the oligarch, the judge said.
  • Then, a few days before the planned arrest, the documents show, came another urgent message: “As part of a larger strategy, U.S. authorities have determined we need to pass up this opportunity.” No arrest. No explanation of the larger strategy.
  • To the surprise of American officials, the judge denied extradition on the grounds that the request was politically motivated, whether or not Mr. Firtash was “sufficiently suspected” of breaking the law.
  • In response to questions from The Times, Dan Webb, one of Mr. Firtash’s lawyers and a former United States attorney in Chicago, said his client had nothing to do “with the creation or presentation of the PowerPoint slide proposing bribery and used by U.S. prosecutors to support extradition of Firtash.” He accused prosecutors of falsely telling Austrian officials that the slide constituted “clear proof” that Mr. Firtash was behind the bribery scheme, adding that “U.S. prosecutors never withdrew their false statement.
Javier E

Grounding the Boeing 737 Max was a no-brainer. Trump's corporatocracy stood in the way.... - 0 views

  • Trump’s late uncle didn’t tell him to protect Boeing. That was Boeing’s chief executive, a frequent visitor to Trump properties, phoning Trump with a plea not to ground both the 737 Max 8 and Max 9.
  • That corporations make safety decisions for Trump (himself a failed airline owner) isn’t surprising. The acting head of the Federal Aviation Administration is formerly of American Airlines and of the Aerospace Industries Association, of which Boeing is a prominent member. Trump is expected to nominate a former Delta Air Lines executive for the top FAA job. His acting defense secretary is a former Boeing executive.
  • In Trump’s broader corporatocracy, a former oil-industry lobbyist acts as interior secretary, a former pharmaceutical executive is health and human services secretary, and a former coal lobbyist runs the Environmental Protection Agency. Fully 350 former lobbyists work, have worked or have been tapped to work in the administration
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  • The 24 at the Transportation Department lag behind only the 31 at HHS and 47 in the executive office of the president.
  • The swamp has overflowed, with lobbyists employed by Trump quintupling over two years. Boeing, American Airlines and 31 other corporate entities landed at least five former lobbyists apiece. Public Citizen reported that, five months into the administration, nearly 70 percent of top nominees had corporate ties.
  • In addition, the billions of dollars that corporate executives invest in lobbying and campaign contributions have generated healthy returns: a corporate tax cut, an assault on regulations and unrelenting efforts to shrink enforcement. The president, who previously attempted to privatize 30,000 FAA jobs, again proposed slashing the FAA in his budget this week.
  • Corporate victories keep coming. The Los Angeles Times just obtained emails showing that EPA officials moved to block NASA from monitoring pollution levels. Politico recently obtained data that showed that the Interior Department gave oil drillers nearly 1,700 waivers of safety rules implemented after BP’s Deepwater Horizon disaster in the Gulf of Mexico in 2010.
  • The Union of Concerned Scientists has documented more than 70 “attacks on science,” many benefiting corporations: censoring scientific language, suppressing studies, weakening advisory panels and such. The group suspects “inappropriate corporate influence” in rolling back fuel efficiency, chemical and methane standards, repealing the Clean Power Plan, suppressing known health risks, expanding oil and gas leasing and bailing out the coal industry, among others.
anniina03

Boeing 737 Plane Crash in Iran Prompts Conflicting Statements - The New York Times - 0 views

  • A Ukrainian airliner carrying at least 176 people crashed shortly after takeoff from Tehran on Wednesday, killing everyone on board. It was unclear what caused the disaster, but the aircraft, a Boeing 737-800, went down amid an escalating, violent conflict between the United States and Iran.
  • Though the evidence remained sketchy, aviation experts said that what was known indicated that the plane could have been attacked.
  • Experts say that is an extremely rare sequence of events, even in a catastrophic accident — and all the more unexpected in a relatively new plane, built in 2016, of a model with a very good safety record.
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  • “Planes just don’t blow up in mid air,” said Richard Aboulafia, vice president for analysis at Teal Group, an aviation consulting firm. “It doesn’t work like that.”
  • Iranian news organizations tied to the government referred to technical problems with the plane, but they did not elaborate or cite evidence.
  • After the crash, Ukraine’s embassy in Iran initially issued a statement ruling out terrorism or a rocket attack as a cause of the crash. But the statement was later removed from the embassy’s website and replaced by one saying it was too early to draw any conclusions.
  • An airliner should be able to fly even if one engine fails. An “uncontained” engine failure, in which parts of the engine disintegrate, can spray shrapnel that damages and even destroys the plane, but such events are rare.
  • After an accident, the “black boxes” are often sent to the plane’s maker for analysis, but Iran would not send the flight data recorders to Boeing, an American company, Mr. Abedzadeh said in an interview with Mehr. “We will not give the black box to the manufacturer and the Americans,” Mehr quoted him as saying.
  • President Volodymyr Zelensky of Ukraine said he had ordered the prosecutor general to open a criminal investigation into the crash and that the country’s entire civil aviation fleet would be checked.
  • On Tuesday, the Federal Aviation Administration barred American airliners from flying over Iran, citing a risk that commercial planes would be mistaken for military aircraft. Several non-American carriers rerouted flights on Wednesday to avoid Iraq and Iran, according to Flightradar24.
  • The airline said it was canceling flights to Tehran indefinitely and promised a full investigation into the causes of the crash, involving officials from Ukraine, Iran and Boeing.
  • The airline began in the 1990s as newly independent Ukraine’s state flag carrier but was subsequently privatized. Its website calls the business a “public private entity.”
ecfruchtman

Trump & Boeing: It's not about Air Force One, it's about China - 0 views

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    Many former and current Boeing executives say they're far more worried about Trump's antagonism toward China, the largest and most important growth market for the crown jewel of American manufacturing. "The vulnerability to China is pretty clear," said one former senior Boeing executive.
Javier E

Opinion | Boeing's Political Ties and the Decision to Ground the 737 Max - The New York... - 0 views

  • how do campaign donations that appear to be connected with Boeing manage to avoid violating this law? The answer is a loophole, cemented in the law in the 1970s, that permits government contractors to set up “separate segregated funds,” or political action committees, to make political contributions using money typically pooled from the contractors’ executives and major shareholders. Such funds are legal even if the parent company pays for their operating and fund-raising costs. This exemption — whose ostensible justification is the free-speech rights of contractors’ employees — is why political action committees like Boeing’s can exist.
  • The corporate PAC workaround is “clearly bad, policy-wise,” said Brendan Fischer, the director of federal reform at the Campaign Legal Center, a nonpartisan ethics watchdog
  • Boeing’s PAC is a “major player” Mr. Fischer said. The sum of its contributions is three times larger than the sum of any independent individual contributions from its employees
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  • Boeing correctly reports that the company itself does not directly fund super PACs (which are allowed to raise unlimited amounts of money). Doing so would be a violation of the contributor ban. However, it has ways around this
  • The company’s PAC may give up to $5,000 to a candidate’s campaign committee or use its funds for any other “lawful purpose” — which includes unlimited contributions to super PACs or “dark money” nonprofit groups as well. Last cycle, the company’s PAC gave $250,000 to the Mitch McConnell-aligned Senate Leadership Fund; $250,000 to Karl Rove’s dark-money group, One Nation; and $250,000 to the dark-money group American Action Network.
  • There is also, in effect, another even larger loophole for contractors looking to influence national politicians: the inaugural committee for a president-elect. Because inaugural committees are technically not connected to the political campaign, “all bets are off,
  • Boeing gave a million dollars to Mr. Trump’s inaugural committee
nataliedepaulo1

Trump pivots to economic message in Boeing visit - CNNPolitics.com - 0 views

  • Trump pivots to economic message in Boeing visit
  • North Charleston, South Carolina (CNN)President Donald Trump credited his young presidency Friday with creating a business climate that is incentivizing American companies to keep their businesses in the US and invest in American manufacturing.
  • Trump also vowed to "very strongly enforce our trade rules and stop foreign cheating," though he has not yet taken steps to label countries he decried during the campaign -- such as China -- as currency manipulators, which he could do by executive action. Trump has also floated imposing a tariff on imports from countries where he believes the US is at a trade disadvantage, though he did not specifically address those plans on Friday.
Javier E

Trump was the face of the 737 probe - The Washington Post - 0 views

  • In public and in private, Trump presented himself as a key arbiter in deciding whether the Boeing 737 Max 8 and 9 planes would be able to keep flying, according to White House and administration officials
  • Rather than simply being briefed on the FAA’s findings in the days after the crash, Trump played an active role, participating in phone calls with Boeing chief executive Dennis Muilenburg and other stakeholders, and offering his thoughts about the aviation industry. Asked by reporters about the decision to ground the plane, Trump left the impression that he had taken the lead, saying it was a “very tough decision.”
  • The disagreement offers a window into the broader dysfunction that can result when the highly technical realm of crash investigations is made political. After Trump jumped in, some of the signature features of his presidency washed over the process. The typically plodding, data-driven forensic work of figuring out what caused an airplane to fall from the sky has given way to attention-grabbing tweets, administration infighting and questions of government competence
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  • “Of all the years of building aircraft and certifying them, how can something like that slip through the cracks? That was a failure of leadership,” LoVecchio said.
  • An administration official argued that the FAA had originally been dismissive of the satellite data, reflecting the agency’s strong push to defend well-connected Boeing’s safety record.
  • After telling reporters the planes were being grounded “effective immediately,” Trump went off script, indicating it was not solely a safety-based decision. “We didn’t have to make this decision today. We could’ve delayed it,” Trump said. “We maybe didn’t have to make it at all, but I felt — I felt — it was important, both psychologically and a lot of other ways,” Trump said.
katyshannon

Nasa seeks new class of astronauts as US nears return to crewed space missions | Scienc... - 0 views

  • A new class of astronauts is being sought by Nasa, now that a return to crewed missions from American soil is on the horizon.
  • The US space agency said it would accept applications for its astronaut corps from 14 December to mid-February 2016 and announce the successful candidates in mid-2017.
  • Since the space shuttle was mothballed in 2011, the only way to get into space has been to secure a seat aboard the three-person Russian Soyuz capsule and fly from Baikonur in Kazakhstan. While the Soyuz will continue to ferry people to and from the International Space Station, other vessels are on course to take over some of the trips. Boeing and Elon Musk’s SpaceX are developing the CST-100 Starliner and Crew Dragon spacecraft, respectively. Meanwhile, Nasa is building the Orion deep space exploration vehicle.
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  • Nasa’s chief administrator, Charles Bolden, said the new class of space-farers would work on missions that will pave the way for putting humans on the surface of Mars. The agency last advertised for astronauts in November 2011.
  • “This next group of American space explorers will inspire the Mars generation to reach for new heights, and help us realise the goal of putting boot prints on the Red Planet,” he said.
  • Before they can hope to join the 47 active astronauts in the corps, candidates need a bachelor’s degree in maths, engineering, biological or physical sciences, but preferably an advanced degree too. On top of that, to meet the basic requirements, at least three years’ professional experience is needed, or at least 1,000 hours piloting a jet plane.
  • Flights on the Boeing and SpaceX vessels are expected to allow a seventh person to live on the International Space Station, meaning the equivalent of one astronaut can work full time on scientific research in space. One priority of space station science is to understand more completely how long duration space travel takes its toll on the human brain and body. Two crew members, Scott Kelly and Mikhail Kornienko, are taking part in the One Year Mission on the station, the results of which could help devise ways of keeping astronauts healthy on the way to and from Mars.
  • Nasas new rocket, the space launch system, along with its Orion capsule, are expected to take astronauts into lunar orbit for missions that will act as stepping stones for the far more ambitious, and technologically challenging, trip to Mars.
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    Nasa is now hiring astronauts for a manned mission to Mars in the near future.
Javier E

Opinion | A Shaky Start in Brazil - The New York Times - 0 views

  • Mr. Bolsonaro’s promise of change, any change, was enough to sweep him into office with 55 percent of the vote in October. The language of his inaugural address — “I come before the nation today, a day in which the people have rid themselves of socialism, the inversion of values, statism and political correctness” — was music to the ears of his reactionary base, investors and Mr. Trump, who shares his values and his bluster. The stock market soared to record highs and the Brazilian real strengthened against the dollar.
  • Mr. Bolsonaro has drawn liberally on the playbook of the likes of Rodrigo Duterte of the Philippines, Viktor Orban of Hungary and Recep Tayyip Erdogan of Turkey. He has also been dubbed the “Trump of the Tropics” for his outrageous remarks and political base of evangelical Christians, moneyed elites, craven politicians and military hawks.
  • While his economy minister, Paulo Guedes, a University of Chicago-educated neoliberal economist who taught economics in Chile during the Pinochet era, promised to reform Brazil’s unwieldy pension system, Mr. Bolsonaro made unscripted comments suggesting a minimum retirement age well below what his economic team was mulling.
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  • He also alarmed various constituencies when, contrary to campaign pledges, he spoke of increasing taxes and when he questioned a proposed partnership between the Brazilian airplane manufacturer Embraer and Boeing, and when he suggested he would allow an American military base on Brazilian soil. His chief of staff said the president was “wrong” on the tax increase, Embraer stock tumbled and generals were reportedly unhappy.
  • Much will also depend on Mr. Bolsonaro’s ability to deliver on sorely needed economic reforms. That test begins in February, when the new Congress convenes — the president commands only an unstable coalition of several parties, and he is bound to encounter strong opposition to his reforms. A fateful year has begun for Brazil.
brickol

Seattle race between socialist and Amazon-backed candidate too close to call | US news ... - 0 views

  • A Seattle city council race between socialist Kshama Sawant and business-backed Egan Orion that saw unprecedented financial contributions from the local corporate giant Amazon and some of its top executives was too close to call early Wednesday
  • Amazon funneled $1.5m into the local city council elections by way of the Seattle Metropolitan Chamber of Commerce’s political action committee, which backed Orion
  • Orion said he was excited about the initial results and while he thought the funds from Amazon may have had a very minor impact, he considered them unnecessary.
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  • “From my perspective, I think that the Amazon money was a big distraction when we were trying to make our closing arguments with voters,” said Orion.
  • ome top local-based global giants such as Amazon, Boeing and Microsoft also contributed to Orion’s campaign.
  • “We have run a historic grassroots campaign, with working people, community members rejecting Amazon and billionaires’ attempt to buy this election, and that doesn’t mean we’re going to win every battle against the billionaires,” said Sawant..
  • At a time when many Seattleites are already critical of Amazon’s influence in the city – with many pointing to the role it has played in Seattle’s rising cost of living and growing income inequality – the contributions left an unsavory taste in some residents’ mouths.
  • “It’s supposed to be a democratic process and it’s not a democratic process when Amazon can contribute that much to basically a small election,” she said.
  • But her battle against the influence of big business came to a head with her push last year for the Head Tax. The proposal would have implemented a per-employee tax on corporations making more than $20m each year to fund housing and services for the homeless in a city that has the third largest homeless population in the US, according to a 2018 federal report. With about 45,000 workers in Seattle, Amazon would have probably had to pay millions each year through the tax.
  • The nine-member council unanimously approved the tax. But after Amazon, another locally based global giant, Starbucks, and other companies contributed financially to the campaign to kill it, called No Tax on Jobs, all but two members of the council then quickly voted to repeal it.
criscimagnael

China Eastern Pilots Were Experienced, Adding to Mystery of Crash - The New Y... - 0 views

  • The pilot of the China Eastern Airlines flight that crashed in southern China with 132 people aboard was an industry veteran with more than 6,000 hours of flying time.
  • His co-pilot was even more experienced, having flown since the early days of China’s post-Mao era, training on everything from Soviet-model biplanes to newer Boeing models.
  • How they piloted the Boeing 737 will be closely examined as investigators seek to explain what is probably China’s worst air disaster in more than a decade. Experts have said it is unlikely that anyone survived the crash.
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  • On Thursday, rescuers said they had found engine components, part of a wing and other “important debris” as they searched the mountainside in a rural part of the Guangxi region for a fourth day.
  • Mr. Zhang, who was born in 1963, was one of China’s most experienced pilots,
  • A day earlier, the workers had found a black box, believed to be the cockpit voice recorder, which could provide investigators with crucial details. Officials said it was damaged but that its memory unit was relatively intact. The plane’s second black box, which records flight data, has yet to be recovered.
  • Their past performance was “very good,” Sun Shiying, the chairman of China Eastern Airlines’ Yunnan branch, said on Wednesday. When reached by phone, an airline representative declined to answer further questions about the crew.
  • At the main crash site, a state broadcaster showed the workers digging with shovels around a large piece of wreckage that the reporter described as a wing, which bore part of the China Eastern logo and was perched on a steep, barren slope fringed by dense thickets of now-flattened bamboo. Heavy rains had left the roads slick and inundated the earth with muddy pools.
  • Over his career as a commercial pilot with China Yunnan, which later merged with China Eastern, Mr. Zhang flew four different models of aircraft and accumulated 31,769 hours of flight experience.
  • The airline commonly paired young pilots with older pilots, and Mr. Zhang had mentored more than 100, CAAC News said. Mr. Yang was one of them.
  • Experts said that investigating the crash, which involved a sudden dive from cruising altitude in good weather, would require a close look at both the aircraft and the pilots, including the possibility that the plane was deliberately brought down. But they stressed that the cause was far from determined.
  • “Certainly an intentional downing is always a part of any investigation, and especially with this particular flight profile,” said Hassan Shahidi, chief executive of the Flight Safety Foundation, a nonprofit organization created after World War II to promote aviation safety. But he cautioned that it was “premature to jump onto any possibilities.”
  • “If the captain were intending to commit suicide, they’d have to overcome the other flight crew members,” Mr. Marks said.
drewmangan1

U.K. Economy Can't Shrug Off Brexit Forever - WSJ - 0 views

  • The U.K. economy hasn’t been knocked off course by Brexit yet. That will curb the Bank of England’s appetite for action for now.
  • That is likely to push inflation up further and faster than the BOE had been expecting. It is also likely to lead to real wages being squeezed again in 2017—a painful prospect for U.K. consumers. The lack of clarity over the shape and form of Brexit is likely to weigh on investment too.
alexdeltufo

U.S. Policy Puts Iran Deal at Risk - The New York Times - 0 views

  • If an Iranian hard-liner returns to power in the presidential election next year, replacing President Hassan Rouhani, the likelihood of the deal unraveling will increase
  • The growing cry in Tehran is that Rouhani and his foreign minister Javad Zarif were had by Washington because Iranian concessions
  • From a risk-reward standpoint no European bank can make enough revenue in Iran to offset the possibility of being slapped with a big fine.
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  • But the ownership structure of Iranian corporations is often opaque, making it difficult for European companies to be sure there is not, for example, a Revolutionary Guard Corps interest. Knowing exactly who the customer is may be arduous.
  • A bank may be located in Europe but unable to demonstrate that a proposed Iran contract does not involve its United States subsidiary at some level.
  • In an earlier conversation, Biglari told me, “The irony of the nuclear deal is that we did the heavy lifting in terms of the negotiation and then opened it up to European companies to do business with Iran” while blocking American firms.
  • On the American side, Kerry needs to keep pressing his message encouraging European banks. The Department of the Treasury’s Office of Foreign Assets Control (OFAC) needs to be aggressive in granting licenses of the kind that has enabled Boeing to hold talks with Iran.
  • That in turn will put Obama’s biggest foreign policy achievement at risk.
Javier E

The Plight of the Overworked Nonprofit Employee - The Atlantic - 0 views

  • Many nonprofit organizations stare down a shared set of challenges: In a 2013 report, the Urban Institute surveyed over 4,000 nonprofits of a wide range of types and sizes across the continental U.S. It found that all kinds of nonprofits struggled with delays in payment for contracts, difficulty securing funding for the full cost of their services, and other financial issues.
  • Recent years have been especially hard for many nonprofits. Most have annual budgets of less than $1 million, and those budgets took a big hit from the recession, when federal, municipal, and philanthropic funding dried up. On top of that, because so many nonprofits depend on government money, policy changes can cause funding priorities to change, which in turn can put nonprofits in a bind.
  • The pressure from funders to tighten budgets and cut costs can produce what researchers call the “nonprofit starvation cycle.” The cycle starts with funders’ unrealistic expectations about the costs of running a nonprofit. In response, nonprofits try to spend less on overhead (like salaries) and under-report expenses to try to meet those unrealistic expectations. That response then reinforces the unrealistic expectations that began the cycle. In this light, it’s no surprise that so many nonprofits have come to rely on unpaid work.
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  • Strangely, though nonprofits are increasingly expected to perform like businesses, they do not get the same leeway in funding that government-contracted businesses do. They don’t have nearly the bargaining power of big corporations, or the ability to raise costs for their products and services, because of tight controls on grant funding. “D.C. is full of millionaires who contract with government in the defense field, and they make a killing, and yet if you’re a nonprofit, chances are you aren’t getting the full amount of funding to cover the cost of the services required,” Iliff said. “Can you imagine Lockheed Martin or Boeing putting up with a government contract that didn’t allow for overhead?”
  • When faced with dwindling funding, one response would be to cut a program or reduce the number of people an organization serves. But nonprofit leaders have shown themselves very reluctant to do that. Instead, many meet financial challenges by squeezing more work out of their staffs without a proportional increase in their pay:
  • nonprofits like PIRG, for example, have a tradition of forcing employees to work long, unpaid hours—especially their youngest staff. “There’s a culture that says, ‘Young people are paying their dues. It’s okay for them to be paid for fewer hours than they’re actually working because it’s in the effort of helping them grow up and contribute to something greater than they are,’” Boris says.
  • These nonprofit employees are saying that their operations depend on large numbers of their lowest-paid staff working unpaid overtime hours. One way to get  to that point would be to face a series of choices between increased productivity on the one hand and reduced hours, increased pay, or more hiring on the other, and to choose more productivity every time. That some nonprofits have done this speaks to a culture that can put the needs of staff behind mission-driven ambitions.
  • In the 1970s, 62 percent of full-time, salaried workers qualified for mandatory overtime pay when they worked more than 40 hours in a week. Today, because the overtime rules have not had a major update since then (until this one), only 7 percent of workers are covered, whether they work in the nonprofit sector or elsewhere. In other words, U.S. organizations—nonprofit or otherwise—have been given the gift of a large pool of laborers who, as long as they clear a relatively low earnings threshold and do tasks that meet certain criteria, do not have to be paid overtime.
  • Unsurprisingly, many nonprofits have taken advantage of that pool of free work. (For-profit companies have too, but they also have the benefit of being more in control of their revenue streams.) B
  • “There is this feeling that the mission is so important that nothing should get in the way of it,”
  • “Too often, I have seen the passion for social change turned into a weapon against the very people who do much—if not most—of the hard work, and put in most of the hours,” Hastings recently wrote on her blog. “Because they are highly motivated by passion, the reasoning goes, they don’t need to be motivated by decent salaries or sustainable work hours or overtime pay.”
  • A 2011 survey of more than 2,000 nonprofit employees by Opportunity Knocks, a human-resources organization that specializes in nonprofits, in partnership with Jessica Word, an associate professor of public administration at the University of Nevada, Las Vegas, found that half of employees in the nonprofit sector may be burned out or in danger of burnout.
  • . “These are highly emotional and difficult jobs,” she said, adding, “These organizations often have very high rates of employee turnover, which results from a combination of burnout and low compensation.” Despite the dearth of research, Word’s findings don’t appear to be unusual: A more recent study of nonprofits in the U.S. and Canada found that turnover, one possible indicator of burnout, is higher in nonprofits than in the overall labor market.
  • for all their hours and emotional labor, nonprofit employees generally don’t make much money. A 2014 study by Third Sector New England, a resource center for nonprofits, found that 43 percent of nonprofit employees in New England were making less than $28,000 per year—far less than a living wage for families with children in most cities in the United States, and well below the national median income of between $40,000 and $50,000 per year.
  • Why would nonprofit workers be willing to stay in jobs where they are underpaid, or, in some cases, accept working conditions that violate the spirit of the labor laws that protect them? One plausible reason is that they are just as committed to the cause as their superiors
  • But it also might be that some nonprofits exploit gray areas in the law to cut costs. For instance, only workers who are labelled as managers are supposed to be exempt from overtime, but many employers stretch the definition of “manager” far beyond its original intent.
  • even regardless of these designations, the emotionally demanding work at many nonprofits is sometimes difficult to shoehorn into a tidy 40-hours-a-week schedule. Consider Elle Roberts, who was considered exempt from overtime restrictions and was told not to work more than 40 hours a week when, as a young college grad, she worked at a domestic-violence shelter in northwest Indiana. Doing everything from home visits to intake at the shelter, Roberts still ignored her employer’s dictates and regularly worked well more than 40 hours a week providing relief for women in crisis. Yet she was not paid for that extra time.
  • “The unspoken expectation is that you do whatever it takes to get whatever it is done for the people that you’re serving,” she says. “And anything less than that, you’re not quite doing enough.
johnsonma23

Pentagon Seeks Easing of Ban on Russian Rockets for U.S. Space Missions - NYTimes.com - 0 views

  • Pentagon Seeks Easing of Ban on Russian Rockets for U.S. Space Missions
  • Congress passed legislation that forced the Pentagon to stop buying Russian rocket engines that have been used since 2000 to help launch American military and intelligence satellites into space.
  • Only five months after the ban became law, the Pentagon is pressing Congress to ease it
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  • The ban applies only to national security missions, but the Pentagon’s request has also frustrated those who have pressed to end American reliance on Russia for NASA and commercial spaceflights, at a time when relations between the two countries have become tenser than in any other period since the Cold War.
  • “I don’t know what the Pentagon’s position can be, except for them and the Obama administration trying to placate Putin,
  • The Pentagon’s position, however, has powerful support from the nation’s intelligence chief and two of the most influential defense contractors, Boeing and Lockheed Martin.
  • When the House passed its annual defense authorization bill, it approved language that would ease the ban.
  • The debate is an example of the seismic shift in relations between the United States and Russia, ending a quarter century of tentative and sometimes strained efforts to cooperate.
  • The arrangement attracted opposition because of Energomash’s majority state ownership and, according to an article by Reuters last year, a minority share tied to one of Mr. Putin’s closest friends, the billionaire Yuri V.
  • “Certainly we cannot have Vladimir Putin and his cronies profit from the sale of rocket engines,”
  • The debate over the Russian engines has become entangled in an emerging rivalry among the companies vying for the lucrative business of space launches, amounting to $70 billion in contracts for military and intelligence missions alone
Javier E

France Decapitated - NYTimes.com - 0 views

  • the French dislike modernity. They mistrust modernity. That is the nub of the problem. They dislike and mistrust it for two reasons. Modernity has redefined space and relegated the state.
  • “Boeing shortens distances; new technologies annul them.”This is troubling in France because nowhere else is the particularity of place and the singularity of a person’s attachment to it more important. That bond is expressed in the word “terroir,” at once the land, its special characteristics, the nature of its soil, its climate, and the unique human relationship to it. A great Burgundy and an indifferent one may come from properties a hundred yards apart. The soil is not the same, nor the slope of the land. Distance matters. Yet modernity has contempt for it
  • Humanity has also changed its relationship to the state. The French place deep faith in the state. It is the righter of wrongs, the mediator of human affairs, the source of social justice, the object of duty, and the repository of power. The very word deregulation is odious to the French.
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  • But technology has shifted power from the state to stateless individuals living in a borderless cyberworld.
redavistinnell

America's iconic war machine - BBC News - 0 views

  • America's iconic war machine By James Morgan
  • Her name is "Cajun Fear" - painted on her nose with a snarling alligator.
  • This bomber was built in 1960 - the year JFK won the US presidential election, Hitchcock's thriller Psycho was released in cinemas and the USSR successfully sent two dogs into space.
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  • The pilots joke that if you flew upside down "chicken bones from Saigon would fall out."
  • "It is a symbol of American might," says Capt Erin McCabe. "Wherever we go in the world, people take notice."
  • In the era of drones, stealth aircraft, and cyberwarfare, a chunky old behemoth sketched out on a napkin three years after the end of World War Two still strikes fear into the enemy.
  • "Knocking down doors" in an aircraft this size - 159ft (48.5m) long, and with a wingspan of 185ft (56.4m) - is a team sport, performed by a crew of five.Sitting downstairs in the dark, with no windows, targeting and r
  • We hear a roar and look up. A dark bird is looming heavily over us, blocking out the sunlight.Plumes of smoke from eight engines fill the sky and eardrums vibrate to a distinctive sound. Not just a rumble but almost a scream from the turbofans. "The sound of freedom" as Schultz likes to say.
  • It can refuel in mid-air - giving it a potentially unlimited strike range. This created a "nuclear umbrella" for the United States during the Cold War, back in the era of Mutually Assured Destruction.
  • The Boeing B-52 Stratofortress
  • But internally, over the years it has been refitted with computers and GPS/INS (Inertial Navigation System).
  • The pointy tip of the spear
  • "You can't even stand upright, except on the ladder if you want to stretch your back. Though if you're creative you can sling up a hammock, he says.The ejection seats are "like sitting on a concrete sidewalk".
  • "Every B-52 I flew in smelled like stale sweat, piss and engine oil," he writes.
  • From this sleepy corner of Louisiana, Ward took part in one of the longest and most devastating bombing raids of the 20th Century.
  • He and 56 other crew entered seven bombers - his was the Grim Reaper, with a painting of Bugs Bunny carrying a sickle on its nose - and flew 14,000 miles to Baghdad to drop a wave of cruise missiles, which obliterated Saddam Hussein's air defences.
Javier E

Tech Is Splitting the U.S. Work Force in Two - The New York Times - 0 views

  • Phoenix cannot escape the uncomfortable pattern taking shape across the American economy: Despite all its shiny new high-tech businesses, the vast majority of new jobs are in workaday service industries, like health care, hospitality, retail and building services, where pay is mediocre.
  • automation is changing the nature of work, flushing workers without a college degree out of productive industries, like manufacturing and high-tech services, and into tasks with meager wages and no prospect for advancement.
  • Automation is splitting the American labor force into two worlds. There is a small island of highly educated professionals making good wages at corporations like Intel or Boeing, which reap hundreds of thousands of dollars in profit per employee. That island sits in the middle of a sea of less educated workers who are stuck at businesses like hotels, restaurants and nursing homes that generate much smaller profits per employee and stay viable primarily by keeping wages low.
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  • economists are reassessing their belief that technological progress lifts all boats, and are beginning to worry about the new configuration of work.
  • “We automate the pieces that can be automated,” said Paul Hart, a senior vice president running the radio-frequency power business at NXP’s plant in Chandler. “The work force grows but we need A.I. and automation to increase the throughput.”
  • “The view that we should not worry about any of these things and follow technology to wherever it will go is insane,”
  • But the industry doesn’t generate that many jobs
  • Because it pushes workers to the less productive parts of the economy, automation also helps explain one of the economy’s thorniest paradoxes: Despite the spread of information technology, robots and artificial intelligence breakthroughs, overall productivity growth remains sluggish.
  • Employment in the 58 industries with the lowest productivity, where it tops out at $65,000 per worker, grew 10 times as much over the period, to 673,000.
  • The same is true across the high-tech landscape. Aircraft manufacturing employed 4,234 people in 2017, compared to 4,028 in 2010. Computer systems design services employed 11,000 people in 2017, up from 7,000 in 2010.
  • To find the bulk of jobs in Phoenix, you have to look on the other side of the economy: where productivity is low. Building services, like janitors and gardeners, employed nearly 35,000 people in the area in 2017, and health care and social services accounted for 254,000 workers. Restaurants and other eateries employed 136,000 workers, 24,000 more than at the trough of the recession in 2010. They made less than $450 a week.
  • While Banner invests heavily in technology, the machines do not generally reduce demand for workers. “There are not huge opportunities to increase productivity, but technology has a significant impact on quality,” said Banner’s chief operating officer, Becky Kuhn
  • The 58 most productive industries in Phoenix — where productivity ranges from $210,000 to $30 million per worker, according to Mr. Muro’s and Mr. Whiton’s analysis — employed only 162,000 people in 2017, 14,000 more than in 2010
  • Axon, which makes the Taser as well as body cameras used by police forces, is also automating whatever it can. Today, robots make four times as many Taser cartridges as 80 workers once did less than 10 years ago
  • The same is true across the national economy. Jobs grow in health care, social assistance, accommodation, food services, building administration and waste services
  • On the other end of the spectrum, the employment footprint of highly productive industries, like finance, manufacturing, information services and wholesale trade, has shrunk over the last 30 years
  • “In the standard economic canon, the proposition that you can increase productivity and harm labor is bunkum,” Mr. Acemoglu said
  • By reducing prices and improving quality, technology was expected to raise demand, which would require more jobs. What’s more, economists thought, more productive workers would have higher incomes. This would create demand for new, unheard-of things that somebody would have to make
  • To prove their case, economists pointed confidently to one of the greatest technological leaps of the last few hundred years, when the rural economy gave way to the industrial era.
  • In 1900, agriculture employed 12 million Americans. By 2014, tractors, combines and other equipment had flushed 10 million people out of the sector. But as farm labor declined, the industrial economy added jobs even faster. What happened? As the new farm machines boosted food production and made produce cheaper, demand for agricultural products grew. And farmers used their higher incomes to purchase newfangled industrial goods.
  • The new industries were highly productive and also subject to furious technological advancement. Weavers lost their jobs to automated looms; secretaries lost their jobs to Microsoft Windows. But each new spin of the technological wheel, from plastic toys to televisions to computers, yielded higher incomes for workers and more sophisticated products and services for them to buy.
  • In a new study, David Autor of the Massachusetts Institute of Technology and Anna Salomons of Utrecht University found that over the last 40 years, jobs have fallen in every single industry that introduced technologies to enhance productivity.
  • The only reason employment didn’t fall across the entire economy is that other industries, with less productivity growth, picked up the slack. “The challenge is not the quantity of jobs,” they wrote. “The challenge is the quality of jobs available to low- and medium-skill workers.”
  • the economy today resembles what would have happened if farmers had spent their extra income from the use of tractors and combines on domestic servants. Productivity in domestic work doesn’t grow quickly. As more and more workers were bumped out of agriculture into servitude, productivity growth across the economy would have stagnated.
  • The growing awareness of robots’ impact on the working class raises anew a very old question: Could automation go too far? Mr. Acemoglu and Pascual Restrepo of Boston University argue that businesses are not even reaping large rewards for the money they are spending to replace their workers with machines.
  • the cost of automation to workers and society could be substantial. “It may well be that,” Mr. Summers said, “some categories of labor will not be able to earn a subsistence income.” And this could exacerbate social ills, from workers dropping out of jobs and getting hooked on painkillers, to mass incarceration and families falling apart.
  • Silicon Valley’s dream of an economy without workers may be implausible. But an economy where most people toil exclusively in the lowliest of jobs might be little better.
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