What a simplistic view of the Petroleos de Venezuela conflict!

<a href=www.vheadline.com>Venezuela's Electronic News Posted: Wednesday, May 21, 2003 By: Carmelo Blanco

Date: Wed, 21 May 2003 07:29:05 +0100 From: Carmelo Blanco cblanco@competencebuilders.com To: Editor@VHeadline.com Subject: Oscar Heck's latest article

Dear Editor: This is in response to Oscar Heck's latest article <a href=www.vheadline.com>"Where did the money go? Hummm … Let’s see, 18,000 x US$10,000. (Benefits?)"

What a "simplistic" view of the PDVSA conflict!

This is simply "yellow journalism," period! In order to make a point, Mr. Heck engages himself in "selective journalism." His disdain for PDVSA former employees is so obvious that he doesn't even try to hide it.

If he wants to be fair, why doesn't he talk about "productivity" in PDVSA?

How much, in $$$$ did each one of these employees produce for the company?

I don't care if an employee gets paid a high salary as long as he produces, i.e., if his productivity is high. According to some analysts, PDVSA had one of the lowest costs per barrel of oil produced in the world (don't quote me on that but this information comes from PDVSA and foreign experts). Yes, it may even be true that they were being paid high salaries but it is also true that they were also producing at higher levels of productivity.

Do you know how much it costs PDVSA to produce a barrel of oil? Compare this to companies in Mexico, Saudi Arabia, Russia, etc. I would like for Mr. Heck to compare PDVSA productivity versus Mr. Chavez government's productivity or versus any "gobernacion, alcaldia o ministerio's" productivity! How about the productivity of Plan Bolivar 2000?

Mr. Heck, please don't insult my intelligence!

If you are going to make an analysis of the PDVSA situation or if you are going to criticize PDVSA's employees' salaries, do your homework first! Hint: start with the word "productivity" ... don't just quote some "imaginary" Venezuelan with some complains about huge salaries in PDVSA ... don't be so simplistic!

And please, don't even suggest that anybody can do the job of 5 people in PDVSA. ("....Give me a break! I tell you ... I could do the job that 5 people would do in PDVSA-Caracas."). What an ignorant statement! Your thoughts are guided by hate!

Granted, I can accept that there were irregularities in PDVSA, and that there were some employees that were being paid huge salaries and benefits. But this is also true of almost all public institution in Venezuela? Irregularities occur all across the federal government in Venezuela. Tell me of any "ministerio, alcaldia, o gobernacion" free of irregularities and corruption? At least, in the PDVSA case, they were "producing results."

And last, what do you have against the "education of PDVSA employees"?

Why this "resentment?

If PDVSA has the means to send some of its employees overseas to study or work, why not?

The survival of an oil company (or for that matter, of any company) depends on having a workforce well-prepared, well-educated. To do this, successful companies understand that they have to pay "top dollars" to send employees to the best universities or learning institutions. Unfortunately, the majority of these institutions are overseas ... so, if you are PDVSA, what do you do?

• As I said before, I can to a certain point accept Mr. Heck's criticism regarding huge salaries and benefits for PDVSA employees, but this isn't the whole story!

It seems to me that Mr. Heck feels some "pleasure" by bringing down PDVSA former employees! His article expresses certain degree of "satisfaction" knowing that 18,000 people are out of work. What a pity!

Regards, Carmelo Blanco cblanco@competencebuilders.com