Privatizing Social Services in the U.S.A.

Governmental and private sector social services organizations have traditionally shared important roles for provision and delivery of social services in the United States. Over the past fifty years, however, a predominant position has developed for the public sector, especially through federal funding for social service programmes. Recent challenges to the prevailing role of public sector dominance have been expressed by the proponents for privatization at a time when decreasing federal funds are made available for social service programmes. The analysis presented here examines the potential and problems associated with the privatization strategies offered through load shedding, limited-government arrangements, fee charging and competition. As a macro level approach for a comprehensive system of social service provision and delivery, these privatization strategies raise more questions than immediate solutions. A more optimistic view is taken if privatization leads to a more meaningful balance with increased co-operation between public and private social welfare auspices.