The Big Fish Eat Everything

garbage truck

I just got a lesson in free market economics. My local garbage collection company was bought up by a huge multinational corporation. We’re told that economies of scale and market forces determine costs, while this may be true if you are operating the company it has little to do with what the consumer pays for services.

The first change we noticed that our pickup time started to move all over the place and we have two collections, one for recycle and one for waste and they could pick up one early in the morning and the other in the late afternoon. There was suddenly no consistency which forced a change in my schedule as I used to put the cans out when I took Theresa to work in the morning but now I had to put them out Sunday night to make sure wouldn’t miss the pickup.

Next change was the sudden arrival of a new recycle wheelie bin, it’s nice to have a clean new bin but this one also happens to be slightly smaller and since in our area we are limited to using this bin only it is a reduction in service or in other words an increase in our cost.

Finally I notice a couple weeks back that they have neglected to empty my new smaller recycle bin. A week later the bin is emptied but not the next week. I dig out a flyer they sent us and it stated that from now on we were only getting recyclables picked up every other week.

These changes mean that we’re getting more than a 25% reduction in service while paying the same fees. If this were an isolated event I might say it was just the unintended side effect of merging two systems but this happened when our local internet provider was bought out by a huge national carrier and when our local cable provider was bought out by a huge corporation.

Huge corporations are only more efficient when it comes to making money for themselves but when you’re a customer they take every advantage to leverage their huge size against you the tiny individual customer in what can be easily compared to a mafia style shakedown. There are few other advantages to companies growing this large, they don’t support my local area as the head office is way down in Texas and all the good paying jobs are there too all we have is the labor and they take the profits and things like the local professionals that used to service the old company are moved elsewhere.

 

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