White House Fears Y2K Panic

As government agencies begin advising their employees on how to deal with the possible disruptions of the millennium bug, leaks are inevitable. They worry that their good intentions could be misconstrued and sow panic in the general public. By Declan McCu

White House officials fear federal agencies that advise employees to begin personal Y2K preparations could unduly alarm the public.

The problem of what to tell workers has quickly become a thorny one for government officials who are trying to balance candor with discretion. The Central Intelligence Agency last May told employees to prepare for Y2K by paying bills early and stockpiling cash, and some private firms have offered similar advice.

At a closed-door meeting of the White House's Y2K council in January, council members debated what agencies should tell their workers. John Koskinen, the council's chairman, warned the audience of about 30 officials that they should expect any advice offered internally will fall into the hands of the media.

A representative from the State Department cautioned against "double standards," saying the agency as a rule doesn't withhold information given to employees from the public.

One member of the council, who spoke with Wired News on condition of anonymity, said it's too early to determine how significant -- or insignificant -- Y2K problems will be.

Fear of public overreaction to the Year 2000 problem is commanding an increasing amount of attention from government and corporate officials, some of whom now say any computer glitches will amount to only minor disruptions.

Koskinen has entered into discussions with a public relations firm to devise a media strategy designed to thwart overreactions to Y2K, including the possibility of bank runs and stockpiling-sparked shortages.

Making life more difficult for executives and bureaucrats is their desire to be frank with employees -- though not necessarily the public -- a problem compounded by uncertainty about Y2K's impact and what preparations, if any, are necessary.