Privatization of the federal workforce was a goal of Ronald Reagan during his administration. He convened the Grace Commission to look into how best to do just that. Now, more than thirty years later, the number of contract employees compared to career federal employees approaches a five to one ratio.
Clearly, there are some benefits to contracting out some very skill-specific functions, but the value of a properly staffed and experienced federal workforce should not be taken lightly. Nor should a dedicated federal workforce that is sworn to uphold the Constitution and not the profit motive of the company winning a federal contract be something that is taken for granted.
Placing the burden of the federal deficit on the shoulders of the federal workforce is doing exactly that and is certainly not cost effective.