Unions maintain that without the right to form “most
efficient organizations” employees are not allowed a
fighting chance to compete when their functions are up
for competition. Indeed, “an argument for requiring an
MEO is that government employees should have an
opportunity to prepare an agency tender that is
competitive,” says a report – RL32833 – on competitive
sourcing for Congress by the Congressional Research
Service.
Instructions for standard competitions under the 2003
A-76 circular require MEOs and factoring in the
“conversion differential,” a measure of less-quantifiable
factors such as a decrease in productivity due to service
interruption — neither of which are required for
streamlined competitions.
MEOs allow employees to draft a more efficient and
effective staffing plan that incorporates new practices
and the use of new or different equipment — and without
an MEO, the agency simply bases its agency tender on an
estimated cost of the current activity, said the report.
It noted that while private sector parties have been
allowed to protest competition outcomes with the
Government Accountability Office, federal employees have
not, although amended rules have made it possible for an
agency tender official to file a protest on behalf of
agency employees whose function is before the chopping block.
