CAPITA WINS – MASSIVE JOB LOSSES FOR BARNET COUNCIL STAFF

FOR IMMEDIATE RELEASE: CAPITA WINS – MASSIVE JOB LOSSES FOR BARNET COUNCIL STAFF

Today approximately 520 Barnet Council staff have been told in a series of briefings that Capita is to be their new employer.

From figures released in the presentations today approximately 57% of staff will face redundancy as local jobs are exported to Belfast, Blackburn, Bromley, Carlisle, Darwen, Sheffield, Banstead, Swindon, Southampton.

For the last four years UNISON has warned of the danger of jobs being exported out of Barnet. Leading Councillors and senior officers have either played down this risk or discounted it as irrelevant.

John Burgess, Branch Secretary said: “It is a dark, dark day in the history of Barnet Council. Staff and residents will remember this date as the day the council carried on marching over the cliff ignoring the stark warnings of residents and other key stakeholders. The implications for our members are awful. I thought the morale of the workforce had already hit rock bottom, this news I believe will drag it down deeper and it will have an impact on other council staff. I also fear for the impact on future quality of services to Barnet residents. I really hope Councillors will think again about the implications of what they are proposing and the risks of ignoring a growing dissenting community voice emerging from a resilient committed community campaign. But, it isn’t over yet, there is an alternative way to delivering public services and our campaign is still very alive and focused. Watch this space”

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Notes to Editors.

Contact details: John Burgess Barnet UNISON on 07738389569 or 0208 359 2088 or email: john.burgess@barnetunison.org.uk

Background

Barnet Council is implementing a policy known as the One Barnet Programme, sometimes referred to as the ‘Commissioning Council’. This mass privatisation policy is designed for the Council to divest itself of responsibility to deliver services to its residents.

The first One Barnet project known as New Support Customer Services Organisation (NSCSO) will be for back office services such a Finance, Revenues & Benefits, Estates, IT, HR & Payroll etc, it is estimated to be worth up to £750 million.

It involves approximately 700 council workers. There is a high probability that the winning bidder will not deliver these services from Barnet so there is a high risk of significant redundancies at the moment of transfer.

This contract will be awarded to either Capita or BT at the Barnet Council Cabinet Resources Committee on Thursday 6 December 2012.

The second One Barnet project is known as Development & Regulatory Services (DRS) which includes the following services:

Trading Standards & Licensing, Land Charges, Planning & Development, Building Control & Structures, Environmental Health, Highways Strategy, Highways Network Management, Highways Traffic & Development, Highways Transport & Regeneration, Strategic Planning & Regeneration, Cemeteries & Crematoria.

This contract, worth up to £275 million pounds, will be awarded to Capita Symonds or EC Harris at the Barnet Council Cabinet Resources Committee on 8 January 2013.

This involves approximately 300 council workers

Both contracts are for ten years with an option to extend for a further five years.

UNISON’s position

Over the past four years UNISON has published over 40 detailed reports on the Future Shape/EasyCouncil/One Barnet mass privatisation programme.

Our message has remained clear.

 Provide a level playing field and follow good practice and include a fully funded in house service improvement model to run alongside the procurement process.

 Our proposal – In house model

There are a number of examples of where Councils have followed this approach to good effect. Most recently Edinburgh City Council considered the potential for using private contractors to deliver a wide range of its services. It embarked on separate procurement processes for 3 blocks of services utilising the Competitive Dialogue process in an attempt to obtain the best offers available from the market. At the same time in-house teams were asked to work on service improvement plans or Public Sector Comparators, so that when it came to the award of contract, the Council could be sure that the services it was purchasing would genuinely optimise its use of scarce resources. In the end the Public Sector Comparators proved to be more attractive than any of the external offers and no contracts were awarded.

For a fuller explanation click here

Barnet UNISON has produced a list entitled “100 PLUS reasons why One Barnet is high risk and bad for residents and services” which you can view here

UNISON report on the Audit scrutiny of the One Barnet NSCSO & DRS Projects:

From: John Burgess
Sent: 20 November 2012 18:03
To: Andreas Ioannidis; cllr.a.brodkin@barnet.gov.uk; cllr.a.campbell@barnet.gov.uk; cllr.a.cornelius@barnet.gov.uk; cllr.a.finn@barnet.gov.uk; cllr.a.harper@barnet.gov.uk; cllr.a.hutton@barnet.gov.uk; cllr.a.moore@barnet.gov.uk; cllr.a.schneiderman@barnet.gov.uk; cllr.a.slocombe@barnet.gov.uk; cllr.a.sodha@barnet.gov.uk; cllr.a.strongolou@barnet.gov.uk; cllr.a.tambourides@barnet.gov.uk; cllr.b.coleman@barnet.gov.uk; cllr.b.evangeli@barnet.gov.uk; cllr.b.gordon@barnet.gov.uk; cllr.b.perry@barnet.gov.uk; cllr.b.rawlings@barnet.gov.uk; cllr.b.salinger@barnet.gov.uk; cllr.b.schama@barnet.gov.uk; cllr.c.farrier@barnet.gov.uk; cllr.c.omacauley@barnet.gov.uk; cllr.c.rogers@barnet.gov.uk; cllr.c.salinger@barnet.gov.uk; cllr.d.longstaff@barnet.gov.uk; cllr.d.seal@barnet.gov.uk; cllr.d.thomas@barnet.gov.uk; cllr.d.yawitch@barnet.gov.uk; cllr.e.greenspan@barnet.gov.uk; cllr.g.cooke@barnet.gov.uk; cllr.g.johnson@barnet.gov.uk; cllr.g.old@barnet.gov.uk; cllr.g.sargeant@barnet.gov.uk; cllr.h.hart@barnet.gov.uk; cllr.h.rayner@barnet.gov.uk; cllr.j.cohen@barnet.gov.uk; cllr.j.hart@barnet.gov.uk; cllr.j.johnson@barnet.gov.uk; cllr.j.marshall@barnet.gov.uk; cllr.j.scannell@barnet.gov.uk; cllr.j.tambourides@barnet.gov.uk; cllr.j.tierney@barnet.gov.uk; cllr.k.mcguirk@barnet.gov.uk; cllr.l.rutter@barnet.gov.uk; cllr.m.braun@barnet.gov.uk; cllr.m.cohen@barnet.gov.uk; cllr.m.palmer@barnet.gov.uk; cllr.m.shooter@barnet.gov.uk; cllr.p.coakleywebb@barnet.gov.uk; cllr.r.cornelius@barnet.gov.uk; cllr.r.houston@barnet.gov.uk; cllr.r.rams@barnet.gov.uk; cllr.r.thompstone@barnet.gov.uk; cllr.r.turner@barnet.gov.uk; cllr.s.khatri@barnet.gov.uk; cllr.s.palmer@barnet.gov.uk; cllr.s.rajput@barnet.gov.uk; cllr.s.sowerby@barnet.gov.uk; cllr.t.davey@barnet.gov.uk; cllr.w.prentice@barnet.gov.uk; cllr.z.zubairi@barnet.gov.uk; Mittra, Cllr Arjun
Cc: ‘Terry, Stephen’
Subject: UNISON report on the Audit scrutiny of the One Barnet NSCSO & DRS Projects:
Importance: High

 

Dear Councillor

 

On Thursday 22 November a report naming the preferred bidder for the NSCSO Project will be published.

 

Please find enclosed UNISON report entitled ‘Report on the Audit scrutiny of the One Barnet NSCSO & DRS Projects.’

(To view report click here)

The report is accompanied by a number of Appendixes (A- D) some of which are internal audit reports and one is a Health Check report.

APPENDIX A here

APPENDIX B here

APPENDIX C here

APPENDIX D here

In relation to Appendix A &B please note the following:

“This document has been prepared only for London Borough of Barnet Management and solely for the purpose and on the terms and scope agreed with management.  We accept no liability (including for negligence) to anyone else in connection with this document, and it should not be relied upon by any third party.”

As ever if there is a point of clarification or concern please do not hesitate to contact me.

Best wishes

John Burgess

Branch Secretary.

Barnet UNISON

Public Sector Comparator – Best Practice example Edinburgh

Dear Councillors

 

On Thursday 22 November the report naming the preferred bidder for NSCSO is to be published.

 

I want to take an opportunity to provide you all with a real example of a Public Sector Comparator (internal improvement plan) looks like in practice.

 

You should all be aware that the One Barnet Programme has not followed best practice in adopting a Public Sector Comparator alongside the Competitive Dialogue Process.

 

This enclosed report from Edinburgh Council (to view click here) provides an insight into how a complex procurement process has been open to public scrutiny and information has been shared with councillors and key stakeholders.

 

The key elements coming out of this report include :

 

1. Scrutiny

Under paragraph 4.9 the report refers to Gateway Reviews being carried out throughout the lifetime of the procurement process.

 

1.1  Have there been any such reviews to provide robust independent assurance to guide ‘councillors’ in Barnet Council?

1.2  If so, have they been made available to councillors?

 

2. Independent Validation

In 5.3 of the report KPMG recognises the importance of the public sector comparator and the report concludes:

 

“KPMG were commissioned to assess the deliverability and associated risks and benefits of the internal improvement plan or public sector comparator. The review concluded that, whilst the public sector comparator provided a legitimate comparison for the purposes of the procurement process, that further work was required to develop the vision into a robust design and deliverable plan.”

 

2.1 On what grounds was the inclusion of a public sector comparator ruled out of procurement process?

 

3. Information to councillors

 

In the case in Edinburgh councillors were independently informed of the critical risks around procurement savings under paragraph 4.11 of the report where it states:

 

“The latest review has also highlighted the risks identified at 4.7 associated with Capita’s procurement savings proposals. The Gateway Review emphasises the importance of a robust risk assessment of both the internal and external proposals.

 

The Capita Bid provides greater savings but the councillors were informed under the Risk section about the critical risks for the deliverability of savings including the following:

·         “Complex commercial mechanisms for calculation and delivery of savings expose the Council to significant risks that may have financial or operational impact

 

·         Realisation of procurement savings has significant dependency on services in other areas of the Council which are not directly influenceable by either the Partner or the Intelligent Client Function

 

·         External changes to implement Universal Credit represents major service change that will require early and effective management.”

 

3.1 Have councillors been provided with the risks to the deliverability of the savings as provided to Edinburgh Councillors included in Appendix 2

 

Recommendation:

 

Councillors are unable to take an informed decision about the NSCSO contract award until the following has been completed.

 

·         Public sector comparator for NSCSO is completed to compare alongside the preferred bidders solution

·         Independent validation of the deliverability of savings and assessment of associated risks

·         Comprehensive series of Gateway Reviews for NSCSO       

Public Services are littered with broken promises, contact variations and changes which always end up costing the tax payer more.

 

 

Best wishes

John Burgess

Branch Secretary.

Barnet UNISON

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