The number of jobs created by Lockheed Martin’s production of the F-35 aircraft have been “greatly exaggerated,” according to a report released Wednesday.
Lockheed Martin has touted the F-35 as the “single largest job creator” for the Pentagon, with an estimated 125,000 jobs across 46 states. But the Center for International Policy’s William Hartung reports that the total number of jobs created ranges from 50,000 to 60,000.
It’s not the first time the fighter jet has been placed under a negative spotlight. The Pentagon, the Government Accountability Office, and others have criticized the F-35 for its cost and safety issues.
Hartung references studies by the University of Massachusetts and George Mason University to get his lower estimate for jobs created. For every direct job created by Pentagon spending, 1.5 and 1.92 indirect jobs are created, respectively, according to the studies.
But Lockheed Martin estimates that for every direct job created by F-35 production, four indirect jobs are created, according to the report, citing the company’s figures that 32,500 direct jobs have been created and 92,500 indirect jobs have been created, for a total of 125,000 jobs.
“This multiplier is far higher than the ones generated by other studies of Pentagon spending,” Hartung writes, adding that until the company is more transparent about how it calculates its jobs numbers, they “cannot be considered credible.”
The report also criticizes Lockheed Martin’s claim that F-35 production creates jobs in 46 states, noting that approximately 70 percent of the jobs are located in five states, and that 11 states have fewer than a dozen jobs.
But Lockheed Martin is pushing back against the report. Michael Rein, a spokesperson for the company, told Bloomberg that Lockheed uses a 3-1 ratio on indirect-to-direct jobs created, based on standard methodology.
“This is an art more than a science,” he said, but he added that the figures would be “conservative” if worldwide jobs were included.
What We're Following See More »
The Signal app is fast becoming the new favorite among those who are obsessed with the security and untraceabilty of their messaging. Just ask the Democratic National Committee. Or Edward Snowden. As Vanity Fair reports, before news ever broke that the DNC's servers had been hacked, word went out among the organization that the word "Trump" should never be used in their emails, lest it attract hackers' attention. Not long after, all Trump-related messages, especially disparaging ones, would need to be encrypted via the Snowden-approved Signal.
The Republican Study Committee may lose several members of the House Freedom Caucus next year, "potentially creating a split between two influential groups of House conservatives." The Freedom Caucus was founded at the inception of the current Congress by members who felt that the conservative RSC had gotten too cozy with leadership, "and its roughly 40 members have long clashed with the RSC over what tactics to use when pushing for conservative legislation." As many as 20 members may not join the RSC for the new Congress next year.
"The U.S. Food and Drug Administration on Monday issued emergency authorization for a Zika diagnostics test from Swiss drugmaker Roche, skirting normal approval channels as the regulator moves to fight the disease's spread." Meanwhile, the Wall Street Journal reports that a new study in Nature identifies "about a dozen substances" that could "suppress the pathogen's replication." Some of them are already in clinical trials.
According to 37 newly released audits, "some private Medicare plans overcharged the government for the majority of elderly patients they treated." A number of Medicare Advantage plans overstated "the severity of medical conditions like diabetes and depression." The money has since been paid back, though some plans are appealing the federal audits.
"GOP leaders and House Democrats are already laying the groundwork for a short-term continuing resolution" on the budget this fall "that will set up a vote on a catch-all spending bill right before the holidays." As usual, however, the House Freedom Caucus may throw a wrench in Speaker Paul Ryan's gears. The conservative bloc doesn't appear willing to accept any CR that doesn't fund the government into 2017.