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19/08/2004When the risk becomes too high

The lucrative private contracts to help rebuild Iraq have meant big pay checks for even relatively unskilled workers. But as the reports of civilians being attacked, kidnapped, mutilated and murdered grow more frequent, are companies reconsidering their decision to participate in the reconstruction process?

"I don't think anybody predicted early on that the situation following the war was going to be as dangerous as it's become," said Bill Cobb, director of human resources for Vinnell Corporation, a Northrop Grumman Company that has several hundred employees in Iraq training new Iraqi soldiers. "I suspect more and more people [and companies] will bail out and more and more will decide not to go over there."

No firms have pulled entirely out of Iraq and representatives for most private military firms insist their companies will finish the job they started. But there are indications that some companies are scaling back their work.

It was reported in April that Siemens AG, the German engineering company, and United States-based General Electric Co. and Bechtel suspended their work, at least temporarily. Employees for Siemens stopped repair on an electrical plant in southern Baghdad while the American firms also halted some of their work, particularly in central and southern Iraq.

"We have had delays in some of our work in Iraq because of the security measures that have been put in place," GE spokesman Gary Sheffer told the Associated Press. "Work is continuing in some cases. In some other cases the work has been delayed."

Halliburton and its subsidiary KBR have had 34 employees die in Iraq-Kuwait in the last year and there were some news reports that top Halliburton executives were considering a withdraw from Iraq. Halliburton officials emphasized to Expatica HR that they are committed to completing their contracts.

"Our employees and subcontractors understand the danger in Iraq, and — with very few exceptions — they are steadfast in their dedication to complete the job in Iraq," said Patrice Mingo, a spokesperson for KBR. "KBR is monitoring the security environment in Iraq, and we will continue to work with coalition authorities regarding the safety and security of all personnel in the region.

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