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High-tech capitalism

Y2K glitch shows labor power is still key

By G. Dunkel

The Year 2000--or Y2K--computer glitch is potentially one of the costliest and most widespread technical problems ever faced by the capitalist class. To solve it, the developed countries are going to spend an estimated $600 billion to $900 billion, most of it on the human labor power the capitalists would like to believe is no longer so important.

The problem exists because many computer programs read only the last two digits of a date. Those programs will malfunction when the calendar turns over to the year 2000. The two-digit date was originally used to save time and money, but it means that many critical programs will not work properly unless they are changed to a four-digit date.

To get an idea of the complexity and cost of fixing this problem, consider what was done at the Social Security Administration. The SSA began planning its Year 2000 conversion in 1980. Programmers began coding and testing in 1988. They didn't finish until 1998. Of course, not every conversion will be that long or complicated, but this gives an idea of what is involved.

In addition to the large mainframe computers that banks, insurance companies, the government, the military and other large institutions use to keep track of their transactions, computers are also found in VCRs, cars, elevators and machines of all kinds--from pumping stations in reservoirs to mobile telephones. These latter types of computers are often called embedded chips. All must be checked to guarantee they will run in the year 2000.

Lots of work, but no
new commodities

While billions are being spent to update the computer systems, no new surplus value is being generated. The source of surplus value is the unpaid labor of the workers. Karl Marx showed that capitalist profits come out of the surplus value.

But fixing existing computer software doesn't create new commodities to be sold. It's kind of like when the automobile companies must recall faulty cars and pay workers to repair them. The capitalists see fixing the Y2K problem as a cost that is cutting into their profit margins--which isn't to say that there won't be capitalists who find a way to make profit out of it.

What the capitalists will get out of fixing the problems is an economy that will still be running on Jan. 3, 2000. It won't be more profitable, more competitive, less expensive or more powerful. It will just run.

This has driven the bosses into a tizzy. They invest to make more money and be more profitable, while trying to keep maintenance to a minimum. They don't want to spend megabucks on paying programmers to spend megahours reading code, making changes and then testing, changing, testing, changing and so on.

If they refused to spend to fix the problem, however, the capitalists would face widespread economic chaos. Telephone systems, electric transmissions and thousands of other essential services would be vulnerable to massive disruptions.

History of the problem

When modern computers were developed in the mid-1950s, computer memory and disk space were thousands of times more expensive than they are today. One kilobyte of memory in 1954 cost $25,000. Today you can buy 16,000 times as much for $40 to $60.

Programmers then tried to save space and compress data in every way possible. Lopping off the first two digits of the years--for example, writing 60 instead of 1960--was a natural step. The first time this would create a problem was 40 years away.

At that time most information was entered into computers through punch cards that were limited to 80 characters, making the two-digit date most practical. However, even after the cost of disks and memory started to fall and punch cards were no longer in use, programmers kept using two-digit dates, partly because all existing programs used them.

Dates are important in most computer programs, even ones that may not appear to need them. For example, when should a computer controlling a bank of elevators send spare cars to the ground floor? During the morning rush, most likely. When should it shut most of them down? Weekends. These functions are dependent on dates in the computer software.

Banks use dates to calculate how much money is owed on loans, how much interest is owed on savings accounts, when a check was deposited, when funds were transferred and so on.

Bank programs typically verify data by checking dates. For example, a program would check to see that the date a loan comes due falls after the current date. What a program does when it finds an "error" is up to those who designed and wrote the program. At the very least, it would refuse to process that record.

Programmers started running into problems with two-digit dates by the mid-1970s. For example, a 30-year loan taken out in 1975--written 75--would not be repaid until 2005--written 05. Using all four digits, 1975 comes before 2005. Using only two digits, 5 comes before 75, and the calculation is messed up. But two-digit dates were so ingrained into data processing that they were still in use in some databases created in the mid-1990s.

Importance of human labor
in computing

Computers have been used to automate millions of jobs out of existence and to de-skill millions more. In the major capitalist countries, computers are omnipresent--everywhere from a loading dock in a warehouse, where they are used to prepare lists of what is to be loaded and unloaded, to the core operations of every Wall Street bank.

But without the programs that tell computers what to do, they are just chunks of iron and silicon. Programs direct the flow of current through the various components, connect the components and even direct other programs that process data from external sources.

Human beings had to write all these programs. They are the products of human labor. Even though the technology embodied in computers and programming was used to automate millions of jobs, the process itself was not automated. It has been constantly improved and made easier. Tools have been developed to inspect the code that programmers produce. But the work still requires programmers.

To modify a program to accept a four-digit year, a programmer must read the code, make the changes and test them. For most of the Year 2000 problems, the changes are not very complicated. However, programs interact and pass data to each other, so that if a record is now four characters instead of two, it might create an error if another program expects only two characters. Testing changes is what really takes time and effort.

The capitalists were so enamored with technology that well into the mid-1990s they believed that some whip-smart 15-year-old was going to invent a magic program/potion that would solve all their Y2K problems. IBM didn't even produce Y2K-compliant operating systems until the mid-1990s.

While the cost of computer hardware has dropped tremendously, and continues to drop at the same rate, the cost of producing software has remained basically the same, if not increased.

However, programs have an unusual property. They don't wear out.

The machines they run on, which the programs direct, do wear out.

Programs become obsolete. For example, they don't recognize the correct date and have to be changed. They may be incorrect. For example, some programs don't believe Feb. 29, 2000, exists because they use the wrong definition for a leap year. No matter how many times programs are used, they remain the same unless changed by programmers.

IBM's big technological advance in the 1960s exploited this property. IBM developed a technique that let programs created on older machines run a new machine. They called it "backward compatibility." It is not at all unusual to find programs running on modern computers that were written in the 1970s or even the late 1960s. "If it ain't broke, don't fix it" was the motto.

The capitalists like to pretend that technology and computers can and will replace human labor. They propose that the constant process of technological innovation will solve all their technical problems sooner or later--even though making so many skills obsolete under capitalism means discarding many human beings onto the margins of society.

The Year 2000 problem has shown that these pretensions are foolish. The programmers now enjoying flush times while fixing this bug realize that, sometime early in the next millennium, most of them will be discarded.

This article is copyright under a Creative Commons License.
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