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Success Story: City Of Maywood Cut All Employees, Outsourced Everything

As the city of Los Angeles remains locked in lucrative contracts for workers' unions that have put L.A. on the financial edge during the last two fiscal years, one smaller municipality in the county has learned to get its financial house in order -- and save taxpayers cash -- by outsourcing. Everything.

The 1-square-mile city of Maywood has seen some success by getting rid of all of its workers, including its police force, and contracting out for all services, according to the New York Times. Some workers have even been rehired as contract workers through third parties.

States the Times:

While many communities are fearfully contemplating extensive cuts, Maywood says it is the first city in the nation in the current downturn to take an ax to everyone. ...

"We don't want to be the model for other cities to lay off their employees," said Magdalena Prado, a spokeswoman for the city who works on contract. "But our residents have been somewhat pleased."


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