subject: Increasing Number Of Companies Keen To Save Money [print this page] Capita workers have warned they will continue on their current path of industrial action unless the outsourcing giant returns to the negotiating table, amid a lengthy dispute over pay.
Communication Workers Union (CWU) members at Capita sites in Bristol and the Lancashire town of Darwen staged a second one-day walkout earlier in the week. The union claims the staff who work for Capitas TV Licensing division, have not had a pay rise in two years.
We had a bigger turnout than last time. We had about 20 in the picket line but there were far more than that who didnt turn in for work, the CWUs David Wilshire told the Lancashire Telegraph on the Darwen walkout. Were all determined to see it through.
Capita has offered the workers a below-inflation salary increase of 2.6% , which it insists is good and fair. However, the CWU says it has had no word from management since the first strike took place on October 17.
Last month, Barnet Council staff went on strike for a second time, in protest at plans to outsource public services, but the local authority indicated it had no intention of changing course.
However, there are other councils who have more than an intention, like Edinburgh City Council, for example; its reportedly set to outsource its waste and cleaning services to a third-party provider, which is currently undergoing a major restructuring.
Set to create many freelance jobs, the local authority is poised to hand the contract to Lancashire-based firm Enterprise, owned by private equity firm 3i. The company announced earlier this year it had sold its debt to a consortium of financial institutions including Goldman Sachs, Angelo Gordon and KKR.
In these challenging times it is essential that the council critically examines every opportunity to enhance services and improve efficiency, said council leader Jenny Dawe. Thats why we embarked on a detailed exploration of alternative models of business for the council to engage in.
Councillors will meet on Thursday to discuss the proposals, which the local authority hopes will provide savings of 71.6m. Enterprise recently agreed a 23-year contract to provide environmental and facilities management for Peterborough Council.
Last week, Cabinet Office Minister and Paymaster General Francis Maude called on local authorities to find more efficient ways of delivering functions, citing the need to save money in the current financial climate and to find a freelancer to carry out the various different roles instead.
Gloucester City Council is another council that has more than just an intention to outsource, after recently announcing the fact that its outsourced revenues and benefits services to third-party provider Civica.
The Guardian reports that Civica will supply administrative functions to the local authority for the next seven years, as well as bidding for contracts with other councils to be provided through the firms service centre in Gloucester.
This is good news for the council and the local economy, because anything that brings jobs to Gloucester is good news, said Cllr Debbie Llewellyn, performance and resources cabinet member on Gloucester City Council. It's very pleasing to be setting up a service centre with the potential to increase its contribution to the local economy and local jobs.
