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Personnel Today

Outsourcing row is a ‘PR catastrophe’ for council

by Personnel Today 14 Sep 2004
by Personnel Today 14 Sep 2004

The ongoing industrial dispute at Swansea Council
over a controversial IT outsourcing contract has been a "PR
catastrophe" and shown others how not to handle similar projects,
according to industry experts.

The
102-strong IT team at the council has been on strike for four weeks in protest
at plans to outsource its department in a £100m deal. Meanwhile, 700 employees
from other departments have voted to strike in support of their colleagues.

And
last week, 500 council employees who are members of the Unison union attended a
city centre demonstration against the privatisation plans.

Jeff
Baker, regional officer for Unison, said: "At the heart of all this is the
council’s refusal to look at the other options which could still be of benefit.
Management has failed to consult every step of the way."

Baker
said IT staff only found out their department was to be outsourced when they
saw an EU publication advertising the contract. Many staff want to stay in the public sector, but they are not
being given this option, he said.

Martyn Hart, chairman of the
National Outsourcing Association, which promotes outsourcing best practice,
said basic mistakes such as not consulting staff have created a "public
relations catastrophe" for Swansea.

However,
Gerald Clement, deputy leader at the council, accused Unison of
‘scaremongering’.

"The
council has not made any decision over the future of IT staff," he said.
"We will carry out a fair and open evaluation of three options, including
secondment.

"Unison
is trying to scaremonger staff and the public in the hope of gaining sympathy
and support for its unnecessary strike. This is completely irresponsible.”

Unison
has voted for an industrial action ballot to be held across the whole council,
with results to be revealed at the end of the month.

By
Daniel Thomas

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Personnel Today

Personnel Today articles are written by an expert team of award-winning journalists who have been covering HR and L&D for many years. Some of our content is attributed to "Personnel Today" for a number of reasons, including: when numerous authors are associated with writing or editing a piece; or when the author is unknown (particularly for older articles).

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