Top Ten Commissioning failures

1. Jeremy Hunt: ‘completely normal’ for contractor to fail to deliver http://ning.it/OV8pPC

2. Winterbourne – Timeline: Winterbourne View abuse scandal http://ning.it/18tbEaf

3. Southwest One contract dispute cost council £5.9m http://ning.it/18tbHTs

4. Timeline: how G4S’s bungled Olympics security contract unfolded http://ning.it/1b4EnGP

5. G4S faces fraud investigation over tagging contracts http://ning.it/18tbNKJ

6. Private contractor fiddled data when reporting to NHS, says watchdog http://ning.it/1b4EwtN

7. Serco tagging scandal could hit sale of MoD agency contract – http://ning.it/1b4ExOp

8. MPs CALL FOR CAPITA CONTRACT TO BE AXED http://ning.it/1b4EHoV

9. BT overcharging Liverpool council by £10m a year, report claims http://ning.it/1b4EPoq

10. Southern Cross set to shut down and stop running homes – http://ning.it/1b4F0A1

The fate of Barnet Council 600 jobs in the balance

Tomorrow the case Maria Nash versus Barnet Council will be heard at the Court of Appeal in Court 71 before The Master of the Rolls, Lord Justice Davis and Lady Justice Gloster it is a 10.30 start.

Two days have been set aside to hear the case.

The case was brought by Barnet resident and disability rights campaigner Maria Nash in response to the One Barnet mass outsourcing council.

If the Court of Appeal finds against Maria Nash what sort of message does it send to public bodies across the UK? That it is all right to breach your statutory obligations because there are no serious implications for doing so.

This is why the judgment delivered at the Court of Appeal on the Maria Nash case will have wide-ranging implications for the future of local government and the NHS. As more and more councils and Clinical Commissioning Groups are placed under increased pressure to try to outsource their problems away. The stark reality is that if this decision is not challenged, it will leave the door open for mass outsourcing of public services on an unprecedented scale across the country.

Outsourcing failures are becoming all the more common, most recently the G4S & Serco overcharging scandal which once again demonstrates the failure of public bodies to monitor the private sector.

Outsourcing is big business, recent reports indicate the current cost of outsourcings public services which were once delivered in house are now worth £88billion.

The Maria Nash case is all about whether the Council should have consulted residents which is why it is worth considering what Lord Justice Underhill had to say about the claim of failing to consult. Below are a number of key extracts from the judgment.

Judgment (extract)

“60.Not withstanding that conclusion, I believe that I should give my conclusions on the substantive questions. I do so partly in case the matter goes further but also because, so far as the issues under section 3 of the 1999 Act are concerned, I am told that there is no case-law, and in view of the thorough and expert submissions made to me it may be of some wider value if I expressed my views….” (2013.04.29 Lord Justice Underhill)

Rejecting the Barnet Council’s response to ‘Failing to consult’

“73. I do not accept Ms Carss-Frisk’s submissions. In the first place I do not think that the use of the formulation “for the purpose of deciding how to fulfil” as opposed to, say, “about how to fulfil” will bear the weight that Ms Carss-Frisk puts on it. Of course it is important to pay close attention to the statutory language, but I do not see how you can consult “for the purpose of” making a decision without inviting views on the substance of the decision itself. And even if that is theoretically possible, I do not see how it is possible to consult for the purpose of deciding whether to undertake a major outsourcing programme without inviting views on the proposal to undertake that programme. Consultation only about “priorities”, or about other general matters that might “assist” the authority in deciding whether to outsource, is not the same thing and is not what is required.” (2013.04.29 Lord Justice Underhill)

Barnet Council seeking to avoid consulting

“74. That seems to me not only the natural reading of the statutory language but what I would expect Parliament to have intended. It is hard to see why authorities should be entitled to fulfil their duty to consult in a way which avoided seeking views on the central issues raised by the substantive duty. Ms Carss-Frisk was of course obliged to put her case in the way that she did because it is clear that in the present case the Council did not make any attempt to consult on the specific question of whether the functions and services covered by the NSCSO and DRS contracts should be outsourced. (Indeed if what Mr Dix was told, as quoted at para. 52 (1) above, is to be taken at face value, the Council had taken the view that it would not consult on “the principles of the Future Shape programme”)” (2013.04.29 Lord Justice Underhill)

No intention to consult residents

“Because here the Council never set out to consult about its outsourcing programme at all,” (2013.04.29 Lord Justice Underhill)

Failed to comply with obligations under section 3 (2) of the 1999 Act

“76. It follows that if the application for judicial review had been made in time I would have held that the Council had not complied with its obligations under section 3 (2) of the 1999 Act in respect of the decisions taken in 2010/11 to outsource the performance of its functions and services, covered by the proposed NSCSO and DRS contracts.” (2013.04.29 Lord Justice Underhill)

Whatever the outcome of the decision, I know the workforce (almost 600 jobs) at risk of losing their jobs as a result of the privatisation of council services are hoping the Judges decide in favour of Maria Nash.

Follow the court case on twitter on #BarnetJR

 

“Hospitals accuse Capita of failings.”

“Hospitals accuse Capita of failings.”

Some of the failings are reported as:

  • M overpaying staff, with trusts having problems recovering the monies paid out;
  • M breaching data protection by sending staff personal details to other employees;
  • M paying someone due to start work two months’ salary, despite their dropping out of the recruitment process;
  • M delays in pre- employment checks, leading to highly valuable candi­dates withdrawing their application for a job;
  • M losing sensitive and confidential information

The audit report was said to contain a “damning assessment of Capita’s performance of the contract” with failings in a number of areas.”

You can read more here and here and the minutes here

Private sector ripping off the public sector – “can you believe it?”

Yesterday and today the media are reporting another story about contractors ripping off the public purse.

“private security company G4S for overcharging tens of millions of pounds on electronic tagging contracts for offenders.”

This branch has been clear from the start that if you use the private sector you need to have the skills and expertise and resources to manage them. In response to our concerns our council has responded by creating the commissioning council in order to manage the private sector using “relationship management” Who comes up with such jargon? In the real world with stories like G4S and Serco the relationship with all private sector contractors taking public money should be very clear: 

If you are taking public money and you don’t deliver you are not getting paid and if you over charge us then the contract is ripped up and you have to pay, end of story.”

However in order to enforce this you need lots of resources to ensure robust contract monitoring team…..but the catch here is that to do this can mean the business case for outsourcing does not stack up!

So with a history of private sector failures in the public sector what has been the clever thinking? Answer—The Thin Client!

UNISON has written at length about the ‘thin client’ . To put it simply it seeks to reduce the size of the client team down (less people monitoring the contractor) and relies unbelievably upon the contractor reporting itself..?

“You could not make this up but it is true.”

So when you read about G4S (again..Olympics anyone! ) and see they only found out when they started to re-tender, then it shows the ‘light touch’ approach to contract monitoring is simply unacceptable.

Grayling told MPs that G4S and a second major supplier, Serco, had been overcharging on the existing £700m contract, with the Ministry of Justice being billed for non-existent services that dated back to at least 2005 and possibly as long ago as 1999.”

What does the above say about the culture of the contractors who must have know what they were doing?

(Footnote “the market’s instinctive reaction – 8% off Serco’s share price and 5.5% of G4S’s more lowly rated stock.”)

Did the Coalition government promise better control?

I remember back in 2010 government minister Francis Maude saying this in regards the private sector contracts with the govern­ment:

“We will expect you to be transparent in all your dealings with us and for the terms of the contracts we sign with you to go up online.”

Oh dear, not turned out as he hoped and he is now saying

“The public rightly expects government suppliers to meet the highest standards, and for taxpayers’ money to be spent properly and trans­parently. As a result of what the Justice Secretary outlined earlier today, I am launching an immediate review into government-held G4S and Serco contracts.”

You can read more here and here

Your Choice services – more staff leaving and negative impact on staff morale

UNISON has for the last two weeks been trying to establish what plans Your Choice are putting in place for consultation with Parents/Carers.

After Parents/Carers threatened a Judicial Review Your Choice put some of their restructure plans on hold.

However, Your Choice has allowed a sixth of the workforce to go before the consultation begins. This has had a terrible impact on morale of the frontline workforce and we are now receiving news that more staff are finding alternative jobs with others applying to get out of Your Choice services. For instance 60% of staff working in Barnet Independent Living Service have already left the service.

UNISON has asked Your Choice on a number of occasions to provide details of their  consultation plans in order we can try and bring some stability to the workforce. UNISON has advised our members not to leave and wait to hear the outcome of the consultation. Many of our members have provided a quality service and built up strong relationships with services users and carers. It is UNISON’s view that this strength is being undermined by the restructure and worsened by the lack of information sharing. We are concerned that the high turnover of staff in these type of services increases the likelihood of a serious incident in the workplace.

On the Your Choice website here http://www.yourchoicebarnet.org/news/2013/06/2013/06/consultation-process-update/ it states: 

Our announcement giving the Board’s decisions on our restructuring proposals said that decisions concerning Valley Way and Supported Living changes will be postponed until a full consultation has been completed.

This will be held with service users, parents and carers of both services.  The Valley Way consultation will be for six weeks, followed immediately by the Supported Living consultation which will be for a further six weeks. The Valley Way invitation and consultation document will be sent out by 12 July, inviting families to personal meetings during the week of 22 July.

We’ll post further updates as we progress.

This provides very little useful information.

UNISON produced a response to the staff consultation which you can read here we are concerned that the stability of the workforce is being further undermined by the lack of information/communication to the workforce and the trade unions.   

Look out for further updates

Top Ten stories in London Borough of Capita (formerly known as Barnet).

There has been and will be a lot going on in the former borough of Barnet. Barnet Council has embarked on a mass outsourcing programme which has resulted in services being transferred out of council control. This strategy is high risk and many critics are arguing that there will be no going back in the event of service delivery failure. The loss of control of infrastructure mean it would be financially impossible for the Council to step in and take control, the costs to the tax payer would be too high and political suicide for any party wanting to take back control.

In Barnet there is a vibrant community willing and able to try and scrutinise decision making in Hendon Town Hall.

The following organisations have already taken over services in the last 16 months

·         NSL – Parking

·         Your Choice – Services for adults with disabilities

·         Harrow Council – have taken over the council’s legal department

·         Barnet Homes- taken over Housing workers

·         Two massive contracts have recently been won by Capita. However as a result of a challenge from disability rights campaigner Maria Nash the transfer of these services has been put on hold until the outcome of the JR Appeal in the Court of Appeal on Monday 15 July.

Each week we will produce the Top Ten stories from the former London Borough of Barnet picked from local newspapers, Blogs and local websites.

1. “Barnet Council Cabinet Meeting 24/6/2013 – Democracy in Action?”

http://barneteye.blogspot.co.uk/2013/06/barnet-council-cabinet-meeting-2462013_25.html

2. “Barnet Cabinet – Just not listening”

http://reasonablenewbarnet.blogspot.co.uk/2013/06/barnet-cabinet-just-not-listening.html

3. “The Golden Share – or: words have meanings – Cabinet meeting Part Two”

http://wwwbrokenbarnet.blogspot.co.uk/2013/06/the-golden-share-or-words-have-meanings.html

4. “Crossovers – crossed wires”

http://lbbspending.blogspot.co.uk/2013/06/crossovers-crossed-wires.html

 

5. “Barnet Council in the dock #1: CPZ Action”

http://citizenbarnet.blogspot.co.uk/2013/06/barnet-council-in-dock-1-cpz-action.html

6. “Your Choice Barnet – all on hold? Yes? No?”

http://www.barnetunison.me.uk/?q=node/1236

7. “Tory councillor slams lack of scrutiny after care home contract awarded despite resident death”

http://www.barnet-today.co.uk/News.cfm?id=21047&headline=Tory

8. “Somali Bravanese Welfare Association hosts annual thanksgiving in North London Business Park”

http://www.times-series.co.uk/news/10516882.Community_centre_destroyed_by_fire_holds_thanksgiving_event/?ref=mr

9” “ ‘One Barnet’ Council On Trial”.

http://barnetalliance.org/2013/06/12/agm-one-barnet-council-on-trial/

10. “Your Choice Barnet U-Turn after receiving notice of a potential legal challenge”

http://barnetalliance.org/2013/06/17/your-choice-barnet-u-turn-after-receiving-notice-of-a-potential-legal-challenge/

 

 

 

UNISON respond to Capita proposal to move jobs out of the community

25 June 2013

Dear Kelly  

Re: Response to your Measures letter dated 24 May 2013.

Thank you for your Final Measures letter which outlines the significant Measures to be implemented after TUPE transfer. This response also refers to previous Measures letters dated 7 January and 25 March 2013 (see enclosed).

As per the TUPE Regulations whilst some information has been provided to the Trade Union during the pre TUPE consultation, it is simply not possible for UNISON as per the requirements under the TUPE Regulations to be in a position to be able appraise the suitability of the Capita Business Case solution without detailed financial and commercial data.

In the absence of the above information it is still UNISON’s view that whilst you are seeking to relocate services out of the borough we think you should look at keeping services in Barnet.

To view full response click here 

Your Choice Barnet – all on hold? Yes? No?

Your Choice Barnet (YCB) has informed us of the potential Legal Challenge from carers/ parents to their proposal to restructure half the service, withdraw weekend enhancements, carry out a benchmarking exercise with the private sector. The challenge now means that YCB will carry out a consultation exercise with parents and carers on their proposals.

UNISON has requested that the voluntary redundancies be put on hold pending the outcome of the of the consultation exercise. We have said that continuing with any of the measures proposed would mean pre-empting the outcome of the consultation exercise. The numbers of redundancies anticipated through voluntary redundancy and throughout come of the first round of interviews carried out for management positions, means that there are an anticipated 27 redundancies (VR and compulsory). This equates to around one fifth of the workforce. Redundancies on this scale mean massive changes, upheaval and stress to remaining colleagues as well as service users. Furthermore it is possible the consultation exercise will revise the new structure and may have meant that people would be inclined to stay.

We have written again stating that setting a deadline of 24th of June as a final declaration of their interest for those wanting voluntary redundancy is not acceptable. Furthermore the letter to staff indicates they have already received their redundancy pay which would be unusual given that the redundancy date first earmarked is first of July.

We have also queried the outcome of the interviews for coordinator roles as it is our understanding almost half the applicants failed to secure a position in the new structure. Therefore the interview process was not about selecting a redundancy, but selecting people out of YCB. This means YCB now has additional redundancy costs as well as expensive recruitment costs. It was not our understanding this was how the interview process would be conducted.

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