Agenda item

MARKET TESTING

The Staff Side request for this item is as follows: “In light of Council plans to establish a central team to oversee this exercise across the Council, the Staff Side wish to discuss the staff involvement to ensure confidence in the process.”

Minutes:

The Staff Side Secretary suggested the Council was about to enter the largest market testing exercise since the late 1980s/early 1990s. He understood that some 10 to 13 services were to be market tested.

 

The Staff Side Secretary referred to a concern with certain management figures for some exercises including proposals for extra care housing and concerns about the Call Centre in particular. It was necessary for staff to be confident of having consultation on proposals and the Staff Side were accordingly asking for representation at meetings (observing and speaking).

 

Before any private sector outsourcing, the Chairman highlighted a need to ensure that a service would be improved under private arrangements. Where this was not the case the service would not be outsourced. Councillor Carr suggested that staff could influence decisions on services such as ICIS and Reablement but was not supportive of staff side representation on the Organisational Transformation Team (OTT) Board. It was possible to inform the staff side but staff side inclusion at OTT meetings would not be appropriate in the same way as staff side representation at Cabinet meetings would be inappropriate. However, there was no attempt to hide information and the Employer’s side were respectful of staff.

 

The Assistant Chief Executive (HR) was unable to support the Staff Side being part of the OTT Board. OTT work, led by the Director of Renewal and Recreation, was not considering privatisation as the only option for services – there were other options including shared services and in-house provision.  Councillor Carr indicated there were two cases where social enterprise was an option. This had not been pushed but there was an openness to look at such an approach. This was supported by Councillor Bosshard and he encouraged the staff side to look at social enterprise. Councillor Owen felt that front line service staff knew how to run their services and he wanted an opportunity for staff to submit their own bid to run their service.

 

The Chairman highlighted that the staff side would be consulted. Referring to management figures, the Vice-Chairman suggested that figures were often given at Executive meetings as illustrations of what might be the case. She asked that accurate figures are used and felt that figures with substance were necessary rather than illustrative figures. The Staff Side Secretary advised against using current prices. Concerning staff representation, he also indicated that staff were previously represented on Best Value Boards and he felt that senior staff were remote, not working in (the front line of) the services provided.

 

Councillor Bennett suggested there were a variety of options that could be considered when market testing and there were opportunities for staff. There were responsibilities to Council Tax payers to ensure value for money. Contracting out a service would not be taken forward if the service was best delivered in-house. Members were asking management for options on delivering services and details would be considered in public by the relevant PDS Committee(s). Councillor Bennett supported the principle of market testing.

 

Mr Harries asked whether there would be opportunity to consider services already outsourced. The Council’s legal team and youth service (formerly Connexions) were highlighted as examples of services brought back in-house. It was necessary to continually look at services and the Executive and other Council bodies would do this.

 

The Staff Side Secretary enquired of concerns for staff having a direct input into the market testing process. The Assistant Chief Executive (HR) explained there was a framework in place for staff to provide views; seeking staff involvement did not enable staff side representation on a management review. There would be consultation and staff side representation was not necessary on the OTT Board.

 

Mr Harries asked if it would be possible for the Staff Side to see minutes of meetings - the Staff Side were looking to help prevent problems for the future and to assess whether the process was fair. If a work issue concerned the Staff Side, Councillor Carr felt there should be management involvement openly in the work place. Committee representation would not provide the staff side with any further information and could fetter management discussion. Further information would come from sources such as a newsletter.