Abstract

http://ssrn.com/abstract=1785520
 


 



Ethics, Employees and Contractors: Financial Conflicts In and Out of Government


Kathleen Clark


Washington University in Saint Louis - School of Law

February 19, 2011

Washington University in St. Louis Legal Studies Research Paper No. 11-02-03
Alabama Law Review, Vol. 62, No. 5, 2011

Abstract:     
In recent decades, the federal government has greatly expanded its use of contractors to perform services, and now purchases more than $260 billion in services every year. The government has increasingly turned to contractors to accomplish its programmatic goals, and contractor personnel are now performing tasks that in the past had been performed by government employees.

While government employees are subject to strict ethics standards, most of these standards do not apply to contractor personnel. If a federal employee makes a recommendation on a matter that could affect her financial interest, she could be subject not only to administrative discipline but also to criminal prosecution. In most cases, a contractor employee who has that same financial interest and makes the same recommendation is not subject to any consequences. In fact, the government does not have any systematic way of even finding out when contractor personnel have such conflicts of interest. The personal conflicts of interest of contractor personnel are largely unregulated.

This article the disparity between the strict regulation of employees and the lax regulation of contractor personnel; explores possible explanations for the wide disparity in standards for these two groups; and suggests several research questions that should be answered prior to deciding whether to impose strict financial conflict standards on contractor personnel.

Number of Pages in PDF File: 40

Keywords: corruption, ethics, fiduciary duty, public law, conflict of interest, bailouts, public procurement, government contract, outsourcing, acquisition workforce

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Date posted: March 17, 2011 ; Last revised: February 16, 2012

Suggested Citation

Clark, Kathleen, Ethics, Employees and Contractors: Financial Conflicts In and Out of Government (February 19, 2011). Washington University in St. Louis Legal Studies Research Paper No. 11-02-03; Alabama Law Review, Vol. 62, No. 5, 2011. Available at SSRN: http://ssrn.com/abstract=1785520

Contact Information

Kathleen Clark (Contact Author)
Washington University in Saint Louis - School of Law ( email )
Campus Box 1120
St. Louis, MO 63130
United States
314-935-4081 (Phone)
314-935-6493 (Fax)
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