- Several Olympics of the last two decades have faced questions over vote-buying, including the upcoming 2020 Games.
- In the past two decades, both the overt and hidden costs to host the games have ballooned, with host cities picking up the tab.
- Although corruption allegations appear to be consistent, with the increasing costs, in the last couple of years, many cities and countries have pulled out of bids for the games.
Authors Note: During the research for this piece about the Olympics, I found more information than I couldn’t fit into the video. I wanted to share some of those details with you, so what follows below is a more detailed version of the video we have produced! Thanks for watching.
What It Takes To Host The Olympics
The Olympic host city is determined by a multi-year bid process that involves significant planning from the prospective host city. International Olympic Committee (IOC) members visit the potential cities and evaluate the plans and visions of the cities. In the case of the 2024 Olympics candidature process, the IOC required a total fee of $250,000. The planning phase alone typically accounts for tens of millions of dollars in expenditures from host cities. Chicago spent around $100 million in a failed bid for 2012, and Tokyo spent upwards of $150 million in their failed 2016 bid, according to Transparency International.
The bid process most recently changed in December 2014, governing bids for the 2020 Olympics and onwards. The IOC claims their new process is designed for cities to create a Games that “fits their sporting, economic, social and environmental long-term planning needs” while also “reducing costs for bidding…and providing a significant financial contribution from the IOC.”
That process lasts about two years in total, with cities sometimes dropping out of the bid at one of the three stages of the process. Stage one encompasses mostly planning and the vision for the Games, while Stages two and three focus more on the concrete: legal considerations, venue funding, how the Games interact with government, and of course, delivering the Games. The IOC Candidature page states, “Olympic Agenda 2020 has highlighted the need for a shift in the candidature process in order to accommodate different solutions to meet Games needs within different cities’ contexts. To enable this the IOC has placed even further emphasis on sustainability and legacy.”
The History of Olympic Corruption
The reality is that the newest policies do little to address what appears to be continued vote-buying in the Olympic bid process – vote-buying that was perhaps most prominently exposed in 1998 over the 2002 Salt Lake City Olympics. After multiple investigations, including one chaired by a former U.S. Senator, what was exposed was an extensive vote-buying scheme where roughly $1.2 million of cash, scholarships, jobs, medical treatment, shopping sprees, and other expenses made their way into IOC delegates’ hands from the Salt Lake City Olympic Committee. In total, 10 IOC members either resigned or were forced out, and several indictments were levied against bid committee members.
In the midst of the investigations into Salt Lake City, Japan’s 1998 Nagano Games came under question. According to Japanese media, the bid committee for the 1998 Nagano Olympics spent an average of $22,000 on 62 visiting IOC members, but the records were conveniently destroyed. Richard Pound, head of one of the independent investigations and former vice-president of the IOC, claimed, to the credit of the IOC, that it neither fostered nor encouraged corruption in its delegates.
Even though the IOC allegedly didn’t encourage corruption, they still responded to the scandal by instituting significant reforms that include a still-extant Ethics Commission and a special commission to write a new Code of Ethics. Part of the IOC’s reforms included prohibiting from visiting potential host cities. Andrew Zimbalist, Professor of Economics at Smith College and author of several books on the Olympic games, told Rogue Rocket that the bid process for the 2002 Olympics had great potential for bribing IOC members, especially when visiting cities.
“The potential host cities had open game to lavish all sorts of extravagant entertainment on these people, in some cases to give them cash bribes, in other cases to give the children of the members of the IOC free college tuition, in other cases to take them to massage parlors, qua prostitution venues,” Zimbalist explained.
An investigation of the 2000 Sydney Olympics found that two IOC members received paid trips to European sports events. In 2000, the New York Times reported that “About 30 of the I.O.C.’s 114 delegates have been linked to improprieties in bidding processes for those Games.”
In 2004, the BBC’s Panorama team aired an investigative report detailing their efforts to pose as local consultancy firm interested in helping bring the Olympics to London in 2012. The team connected with representatives who claimed they knew how to bribe certain IOC members – some members were susceptible to gifts, while others “just believe in sport.” One IOC member, Ivan Slavkov, met with the Panorama team and was eventually suspended for it. Slavkov claimed that he was posing as a double-agent, actually there to catch the vote-buyers, telling the BBC, “Whatever I could say during the meeting was intended to trap the ‘corruptors’.”
Despite the fact that less IOC members visit host cities today, Zimbalist told Rogue Rocket that “it doesn’t really do anything to stop vote buying or backstage dealing among members of the IOC.”
Carlos Nuzman, President of Brazil’s Olympic Committee was ensnared in a vote-buying scandal in 2017. The IOC suspended Nuzman for allegedly coordinating a two million dollar payment to an influential Senegalese athlete, Lamine Diack, to secure votes from delegates of African nations. Hundreds of thousands of dollars were found in Nuzman’s home. In Japan, Takeda Tsunekazu, the head of the Japanese Olympic Committee, is facing allegations that he also coordinated with Diack to buy votes through a separate channel – and perhaps most tellingly, for the same amount of $2 million. Takeda announced that he will resign this summer.
The Costs & Benefits of The Olympics
Yet even with the consistent peppering of vote-buying allegations plaguing the IOC, there is little question that the Games are perhaps the greatest stage for athletes, countries, movements, and ideas. What price can you put on the triumph of the U.S. Ice Hockey team over the perceived “Soviet Menace” in the 1980 Olympics? Is a bought vote outweighed by the symbolic gesture of Cathy Freeman, a member of Australia’s subjugated native population, lighting the Olympic torch in her own country’s Olympics?
The IOC seems highly attuned to the idea that the Olympics promote something intangibly more, highlighting the nebulous term “legacy” in promoting how past games have lived through to today. In fact, the Olympic YouTube channel has an entire series of videos dedicated to legacy, frequently using rhetoric like “touching millions of people” in the case of Beijing in 2008. Sometimes developmental achievements are highlighted, like when the IOC describes Barcelona in 1992 as an example for the Games “to transform [a city’s] urban landscape, strengthen its position on the world map, and create broader social and environmental benefits.” The IOC’s website and promotional materials for hosting the Games are littered with such lofty ideas.
The IOC website also spotlights more distinct economic stats from specific games: The Sydney games are estimated to have boosted GDP by around $5 billion, created more than 100,000 new jobs, and boosted tourism. The 2016 Rio Games, perhaps most known for their now-abandoned venues and stagnant water reportedly boosted foreign tourism by about 4.8 percent the year of the Olympics.
However, there is more than ample evidence that suggests the Olympics are exceptionally costly for the cities and countries that host them. Costs have grown enormously in the last decade, with no profit benefit for the host cities and countries’ governments. The 2004 games in Greece cost around $11 billion, and has even been credited with pushing Greece into a spiral of financial instability. The 2018 Pyeongchang games cost about $13 billion dollars, and one stadium will reportedly have been used just four times before being demolished. Authoritarian governments have been even more willing to pay top dollar for the exercise in theater that the Games have become: 2008 in Beijing cost roughly $40 billion with only about $3.6 billion in revenue; 2014 in Sochi, Russia cost about $50 billion, with a recurring maintenance bill of nearly $1 billion per year for taxpayers.
When speaking with Professor Zimbalist, he explained that part of the reason for this explosion of cost is how the Games have changed. “They were supposed to be athletic events, they were never supposed to be construction events.” The Games have “become very focused on this false notion of promoting economic development, of promoting infrastructure development, and paying attention to construction profits.” The IOC did not respond to our request for an interview.
Besides the monetary cost of the Olympics, the production of the Games has engendered less visible costs like displacement and ecological damage. “In most urban environments where land is scarce, and millions of people are living in the areas, people have to be moved,” Zimbalist said. For Beijing, Rio, and 1996 in Atlanta, thousands, and in some cases, millions were pushed out of their homes to make way for facilities. Producing the Sochi games amounted to declining biodiversity. The 2018 Pyeongchang games destroyed a forest of around 58,000 trees and displaced a village for a ski course.
But amidst the enormous costs that the Olympics have spawned, the 1984 Los Angeles games stands out as a trend-breaker. While those games took place before the more recent trend of increasing costs, they were the only to generate a budget surplus. The reasons are multiple: it was a privately funded games that benefited from the expertise of Peter Ueberroth, a business and marketing executive who would become MLB’s commissioner in 1984; a plethora of infrastructure already existed to support the Games, including hospitality and athletic stadiums; and Los Angeles received financial concessions from the IOC since interest in hosting the Games had been waning leading up to the bid for the 1984 games.
However, opponents of the upcoming 2028 Los Angeles Olympics believe there are plenty of reasons to reject the Games. Steve Ducey, an Organizer for NOlympics LA told Rogue Rocket that “displacement and gentrification” in Los Angeles communities, the “militarization of our police force” and the “diversion of public resources” are front of mind. “We see time as one of the most valuable resources that our city officials have. And how much time are they spending trying to welcome the world for 2028 when they could be spending that time addressing the things that are problems in the city right now.” Los Angeles suffers from a notoriously sticky homeless crisis that Cody Snell from our team examined earlier this year, highlighting that nearly 50,000 people were homeless in 2018. LA 2028 did not respond to our request for an interview.
Despite the costs that have become increasingly obvious in recent years, vote-buying scandals have not ceased to plague the Games. It is almost a wonder that a two-week celebration of sport that brings cities to a screeching halt could still be sought after.
Growing Disinterest in Hosting The Olympics
As these costs have become more evident to prospective host cities, protests and referendums have erupted in opposition to potential host cities’ bids for the Games. Hamburg, Boston, Innsbruck, Rome, Norway, and Calgary have all rejected the Olympics in varying capacities over the last couple years. Thus, a move away from the Olympics was born – and not for the first time. “There was a trend away several decades ago. In 1978, countries and cities were not interested in bidding,” on the back of disasters like the Munich Massacre at the 1972 games, Zimbalist explained.
The IOC is “at the precipice of having basically destroyed the interest around the world in hosting the Games because of what a heavy burden it has been in a financial way, in an environmental way, and in a social way,” Zimbalist told Rogue Rocket. Perhaps the IOC is awaiting another savior in Los Angeles for the 2028 games. But the IOC will have to grind through the scandal of the Tokyo Olympics, another fight with pollution in Beijing in 2022, a potentially underprepared Paris in 2024, and an as-of-yet unknown contender for 2026, before getting to their poster child – Los Angeles.
200 Children Seeking Asylum in the U.K. Are Missing
The missing include at least 13 children under the age of 16.
Children Missing From Hotels
There are 200 asylum-seeking children missing from government care in the United Kingdom according to the parliamentary undersecretary of state at the Home Office.
When children are seeking asylum in the U.K. alone or separated from their parents, the government puts them up in hotel rooms for temporary accommodation. They have done so since 2021 and have temporarily accommodated 4,600 children in that time. However, Simon Murray, the parliamentary undersecretary of state at the Home Office, said that 200 of the children placed in those hotels are missing, including at least 13 who are under the age of 16.
In response to this information, a collection of more than 100 charities sent a letter to the Prime Minister demanding the end of the procedure of placing kids in hotels over safety concerns. The letter says that these children are at risk of trafficking and exploitation by staying in these hotels alone.
Other officials have echoed these concerns, claiming these hotels are targets for organized crime where people use these vulnerable children for labor or trafficking.
Parliament Calls Incident “Horrific”
Murray told the House of Lords on Monday that despite the media reports, his department does not know of any kidnapping cases, though they are investigating. He went on to say there are many reasons why children go missing.
However, lawmakers were not appeased by Murray’s assurances. In a later debate, one member of Parliament called the missing cases “horrific” and another said that it was “putting children at risk.” The children’s commissioner for England also reportedly chimed in asking for, quote “assurances on the steps being taken to safeguard the children.”
Murray went on to say that the use of hotels for asylum-seeking children will hopefully be phased out as soon as possible but did not give a timeline.
The nonprofit Refugee Council called on the government in a tweet to spare no expense in the location of these missing kids.
See what others are saying: (Washington Post) (The Guardian) (The Telegraph)
100,000 U.K. Nurses Launch Biggest Strike in NHS History
Opposition leader Keir Starmer called the strike “a badge of shame on this government.”
The NHS Grinds to a Halt
Some 100,000 members of the Royal College of Nursing (RCN), the United Kingdom’s largest nursing union, launched a historic 12-hour strike Thursday after the government refused to negotiate on higher pay.
The work stoppage, which spans England, Wales, and Northern Ireland, is only the second in the RCN’s 106-year history and the largest the NHS has ever seen. It marks the breaking point for many underpaid nurses and the culmination of a years-long decline in the NHS’s quality of care, put under increasing stress by severe staffing shortages.
Although most NHS staff in England and Wales received a pay rise of around £1,400 this year, worth about 4% on average for nurses, they say it has not kept up with inflation as Britain plunges deeper into a cost-of-living crisis.
When inflation is accounted for, nurses’ pay dropped 1.2% every year from 2010 to 2017, according to the Health Foundation.
Meanwhile, the number of patients waiting for care has reached a record 7.2 million in England, or over one in eight residents, more than double what it was seven years ago.
In July, the cross-party Commons Health and Social Care Select Committee estimated the staffing shortfall could be as high as 50,000 nurses and 12,000 doctors, what one MP called the “greatest workforce crisis in history.”
Many nurses argue that boosting pay will help hospitals recruit more staff.
The RCN demanded a pay raise 5% above the retail rate of inflation, which amounts to a 19% increase, but both Prime Minister Rishi Sunak and the government’s health secretary have claimed that’s not affordable.
During Thursday’s strike, partial staffing continued to remain open for urgent care such as chemotherapy, kidney dialysis, and children’s accident and neonatal units.
Sunak and Starmer Brawl in Parliament
Labor leader Keir Starmer grilled Sunak during Wednesday’s Prime Minister’s Questions (PMQs) on the upcoming strike.
“Tomorrow will be the first-ever nationwide nurse’s strike,” he said. “All the Prime Minister has to do to stop that is to open the door and discuss pay with them. If he did, the whole country would breathe a sigh of relief. Why won’t he?”
“We have consistently spoken to all the unions involved in all the pay disputes that there are,” Sunak replied. “Last year, when everyone else in the public sector had a public sector pay freeze, the nurses received a three-percent pay rise.”
Starmer fired back: “Nurses going on strike is a badge of shame for this government. Instead of showing leadership, he’s playing games with people’s health.”
Sunak called Starmer’s demand that he reopen negotiations with the RCN “just simply a political formula for avoiding taking a position on this issue.”
“If he thinks the strikes are wrong, he should say so,” Sunak said. “If he thinks it’s right that pay demands of nineteen percent are met, then he should say so. What’s weak, Mr. Speaker, is he’s not strong enough to stand up to the union.”
While Starmer has called on Sunak to negotiate with the RCN, he has not explicitly backed the 19% pay raise himself.
Unless the government returns to the bargaining table, the RCN plans to launch a second round of strikes on Dec. 20 to be followed by ambulance strikes that Wednesday and the next.
If the government still refuses to budge, the union said in a statement that nurses will strike for longer periods in more places starting in January, disrupting more health services.
Other industries are also set to see work stoppages this month, including workers on railways, buses, highways, and borders, as well as teachers, postal workers, baggage handlers, and paramedics.
See what others are saying: (BBC) (CNN) (The Guardian)
Fortnite Developer Sued By Parents for Making the Game as “Addictive as Possible”
One child mentioned in the lawsuit played over 7,700 rounds of Fortnite in two years.
Epic Games Sued
A Quebec City judge recently approved a 2019 class-action lawsuit accusing Fortnite developer Epic Games of deliberately making Fortnite addictive.
The parents who brought forward the lawsuit claim their children have become so obsessed with the game that in some cases, they’ve stopped eating, showering, or socializing. The lawsuit claims that these kids have played thousands of games since Fortnite’s release in 2017. In one example, a teenager played over 7,700 games in less than two years.
If the lawsuit succeeds, players addicted to Fortnite living in Quebec since September 2017 could receive compensation. The plaintiff’s attorney, Philippe Caron, reports that over 200 parents outside the lawsuit have reached out to him, saying their child’s well-being has diminished since downloading Fortnite. He told The Washington Post that they are very confident about their case.
Epic Games Responds
“We plan to fight this in court,” Natalie Munoz, a spokesperson for Epic Games said to The Post, “We believe the evidence will show that this case is meritless.”
Munoz also said that Fortnite does allow parents to supervise their child’s playtime and require permission for purchases.
The parents involved in the lawsuit are claiming that they were not aware of the dangers playing Fortnite could pose for their children.
“If she had been informed by the defendants of the risks and dangers associated with the use of FORTNITE,” the lawsuit says of one guardian. “She would have categorically refused to allow the game to be downloaded.”