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Viewpoint
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Business New Haven
2/9/1998
By: BNH
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More Affirmative Action - Not Less
We believe it is necessary to join the discussion surrounding the recent settlement of an affirmative-action lawsuit before it reached the U.S. Supreme Court.
The case stemmed from a cost cutting-inspired termination of a white New Jersey school teacher. The school board decided to terminate the white teacher, instead of an equally qualified black teacher, in the interests of racial diversity. Whether the decision was in the best interest of the school district or “political correctness,” no one can say. By helping to settle the case, the civil-rights groups bought time to advance the dialogue on affirmative action and to a choose a court test that better clarifies its goals.
In support of that dialogue, we urge readers to maintain an open mind about affirmative-action law and business practices and to avoid a conservative knee-jerk reaction to calls to eliminate it.
Affirmative action as the primary tool to combat discrimination or promote economic advancement is inadequate. Readers of this publication know well our support for private sector-generated opportunity as the most reliable economic problem-solver.
Nevertheless, when we look at the continuing condition of minority communities in Connecticut, it is plain that more affirmative action - not less - is needed. To be sure, much of that action should be voluntary and fueled by self-interest. Businesses in particular continually need larger markets and a better workforce that can result only from an improvement in the quality of economic life for minority communities in Connecticut.
One doesn't need a history degree to understand the struggle that qualified blacks in Connecticut had, and often still have, to obtain employment in, for example, in many municipalities. Those who would dispense with paltry minority “set-asides” should themselves set aside that notion and think more practically. The unfairness and favoritism in the awarding of government business, for example, is far less about race than about political connections.
Affirmative action can be good for business. It's time that business people made that clear.
Are You a Believer Yet?
We remember a dozen years ago when management gurus, the media and the public at large were in awe of the great Japanese economic miracle. The success of Japanese companies as exporters was seen as proof of the superiority of that nation's economic and management approach.
You remember the basic themes: lifetime employment, government investment in key industries and savings vs. consumption. American industry was reviled for its stubborn unwillingness to adopt or encourage these themes.
Instead, industrial titans and entrepreneurs simply asked government to reduce costs and to open up markets. They went to work on restructuring their companies to be more competitive.
Today, the results are in. The aggregate value of Japanese companies is less than it was a dozen years ago and is falling. American companies are growing increasingly strong and are dominating technological innovation. The Japanese government is only now deciding which of its charges it should allow to fail.
True, Japan remains a powerful exporting economy. Unfortunately, that may yet prove its biggest error. Where did its surplus profits get invested? Apparently in excessive real estate values - not a higher quality of life for the average citizen.
Here in Connecticut, many in government and economic-development groups ignore this lesson. They are still looking to generate jobs by enforcing “corporate responsibility” and by choosing economic winners and losers. They call them “clusters,” and they want you to fund them.
Since these folks are still stuck on Eastern notions, here's our mantra for business development in Connecticut: Lower costs - and get out of the way.
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