Siemens: A Portrait of Corporate Corruption
I’m sure many of you recall the Siemens contract (read:giveaway) Monroe County entered into last year (as well as other contracts in earlier years). Well, we alluded to an interesting side story in our previous coverage. Here’s the relevant portion:
In 2004, Siemens Building Technologies, Inc. was found in violation by the National Labor Relations Board regarding their operation of the Iola Power Plant.
The National Labor Relations Board’s (NLRB) decision in the Siemens’ case is available here. Apparently, Siemens refused to recognize or negotiate with the International Union of Operating Engineers, local 832. Here’s what the NLRB had to say:
The Respondent (Siemens) contends that it refused to recognize and bargain with the Union because the Union had lost majority support.
(snip)there is persuasive evidence that the Respondent (Siemens) decided not to recognize or bargain with the Union for reasons other than a good-faith reasonable doubt of the Union’s majority status.
(snip)the reasons advanced by the Respondent (Siemens) for its claim of doubt of the Union’s majority support do not withstand scrutiny.
(snip)We therefore conclude that the Respondent has not demonstrated that it had a good-faith reasonable doubt regarding the Union’s majority support, let alone evidence of the Union’s actual loss of majority support, at the time the bargaining obligation attached. Accordingly, the Respondent’s withdrawal of recognition violated the (National Labor Relations) Act.
As if these facts weren’t damning enough, we’ve also learned of more investigations into alleged public corruption by Siemens and it’s subsidiaries. The following data are from documents filed with the SEC on November 28, 2007. Unfortunately, there are too many investigations to list them all here, but feel free to go to the SEC link and look under the “Legal Proceedings” section.
Some highlights (lowlights?) include:
…the U.S. Department of Justice (DOJ) is conducting an investigation of possible criminal violations of U.S. law by Siemens in connection with the matters described above and other allegations of corruption. During the second quarter of fiscal 2007, Siemens was advised that the U.S. Securities and Exchange Commission’s (SEC) enforcement division had converted its informal inquiry into these matters into a formal investigation. The Company is cooperating with these investigations.
The SEC and the DOJ are also investigating possible violations of U.S. law by Siemens in connection with the Oil-for-Food Program. The Company is cooperating with the SEC and DOJ. A French investigating magistrate commenced a preliminary investigation regarding the participation of French companies, including Siemens France S.A.S., in the Oil-for-Food Program. German prosecutors also began an investigation in this matter and conducted searches of Company premises and private homes in Erlangen and Berlin in August 2007. Siemens is cooperating with the authorities in France and Germany.
There’s more, much more. I strongly encourage everyone to go to the Siemens SEC filing (linked to above) and see what this company is truly all about. It’s a disgrace that we are supporting them with out tax dollars.



[...] voting County o’ Corruption in favor of an unprecedented 12-year, $13 million contract with the corrupt Siemens corporation. For what? Copier management. For all the recent GOP bloviating about “hiring locally”, [...]