In a stunning upset, the two-term leader of the federal government's largest labor union was defeated last month by the head of its largest local, based in Baltimore. John Gage defeated Bobby L. Harnage Sr. for the presidency of the American Federation of Government Employees, giving him the right to speak for 600,000 federal employees, 200,000 of whom pay hefty dues to the victor for the privilege.

Gage won on the promise to conduct an "aggressive assault" on Bush Administration personnel policies. "I think I am a wartime president," he said upon election. "This Administration is just at war with federal employees. We're clearly going to jump all over" these issues, he promised.

Gage has been a man of his word. His highest priority has been to oppose the Administration's "competitive sourcing" program that chooses between government provision of services against private alternatives on cost and efficiency grounds and then picks the one who can run the program best to do the job. He has just orchestrated a House vote to block the new, more efficient comparison procedures, where he won 26 GOP votes and victory against President Bush. His greatest priority is the Department of Defense because that represents half of the government's jobs. So far, the Administration is sticking to its plans to privatize 300,000 more positions so military forces can concentrate on winning wars rather than following bureaucratic union rules.

The second most important target is the Department of Homeland Security. It is such a high priority that the presidents of AFGE and the second largest federal union, the National Treasury Employees Union, have signed an unprecedented non-aggression agreement not to invade the others territory to poach members so they can maintain a united front against DHS. Here the issue is bargaining rights. President Bush has the power to exclude union bargaining if matters of security are encroached upon by union delaying tactics and the unions are determined that he not exercise that authority.

The 50,000 new screeners at the Transportation Security Administration represent an especially inviting target for federal union representation, being the single largest increase in government employment in years. Union allies in Congress were successful in blaming private screeners for the tragedy of 9/11 and were able to assure that their replacements would be government employees. In fact, the feds made the old rules and some private airlines had even requested secure cockpits beforehand but were denied by the government. How hiring people who cannot easily be fired or reprimanded because of civil service rules induces efficiency was not explained. Yet, AFGE is determined to add union grievance procedures as a further barrier to passenger security and ease of travel.

In recent years, unions have cleverly created public interest fronts to advance their cause. The Public Employees for Environmental Responsibility is fighting Native American tribal management of bison in their Montana refuge. Since 1994, tribal governments have had the right to request the management of 34 national parks and 41 wildlife refuges from the Department of the Interior. Union opposition has resulted in not a single successful application for private administration ever since The Confederated Salish and Kootenai Tribes tried but were rejected as managers of the National Bison Range and two smaller areas within their Flathead reservation. While it is difficult to see who could manage such park and wildlife refuges better than the native peoples--and even the union allies concede the Native Americans might be able to manage the lands--but unions are worried that successful efforts might threaten future federal jobs. That the Flathead management might succeed is suggested by the fact it already administers the Indian health service and most of the other government services on its reservations.

The unions are as radical as any time since the air-controllers strike, pursuing the same work-to-the-rule mentality that has led to higher costs, more inefficiency in operations and an inability to discipline employees. As a recent study by the Brookings Institution's Center for the Public Service makes clear, political leaders from both parties have long rejected placing employees under bureaucratic rules. Today, the federal workforce consists of only 1.76 million civil servants but 12.1 million private contractors. Unless federal unions become allies in creating a more efficient workforce, there will only be further demands for privatization and an even greater decline in government union membership and influence.

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Donald Devine, former director Of the U.S. Office of Personnel Management, is a columnist and a Washington-based policy consultant and a Vice Chairman for the American Conservative Union.