Tuesday, March 3, 2009

Union threatens legal action over outsourcing plan

Courtesy: http://www.echo-news.co.uk/

A UNION has threatened legal action over Essex County Council plans to outsource its services.

Unison is campaigning against County Hall plans to bring in a private sector firm.

Kumar Sandy, the union’s regional officer, said it was in touch with barristers about fighting the proposals.

He said: “We will litigate to stop this if the barristers we are talking to, who are experts in local government law, tell us our chance of success is more than reasonable.”

Mr. Sandy said “privatization had been nothing but bad news in local government” and the proposal was motivated by council leader Lord Hanningfield’s political ideology.

Mr. Sandy added: “Lord Hanningfield believes public is bad and private good.

“We are campaigning to save services and jobs, because any contractor that comes in will be looking to make a profit, not provide the best services.

“The Audit Commission has said 60 to 70 per cent of outsourcing processes end in failure, and there are already enough examples in Essex.”

Mr. Sandy highlighted the council’s termination last month of a computer contract with BT, which the authority said was not giving value for money.

The union, which represents 70 per cent of the council’s workforce, predicts 6,500 jobs will be cut to meet the council’s objective of saving £200million.

Campaign co-ordinator Keith Blackburn said: “Three quarters of the council’s budget is staffing costs, and the only way to make cuts of this magnitude this quickly is to cut both staff and wages.

“This year the council has saved £34million on top of similar savings in the previous financial year and the union is prepared to look at where we can make further efficiencies, but they will not negotiate.”

Lord Hanningfield said: “Unison is saying nothing new, and is just scaremongering by talking about figures that have no factual basis.”

“No decision has been made and it is clear Unison is using our ambition to save taxpayers’ money, by delivering services in a more cost effective way, as a recruitment exercise.”

No comments:

Post a Comment