The following details have been supplied by the PCS DWP Group:
Members will have seen widespread reports in the media this week that DWP is giving serious consideration to privatising the delivery of the state pension and the Tell us Once bereavement service. These reports appear to have come from an internal DWP policy paper that had been sent to the media.
Members working in the Pensions Directorate will be extremely concerned at this apparent attack on their jobs by departmental management. Our members work hard to ensure the state pension is paid to millions of pensioners every year and it is deeply insulting for the department to suggest that this essential work could somehow be done better or more efficiently by the private sector.
Private Sector failure
The private sector has shown itself recently to be incapable of delivering public services. There are many examples of major privatised contracts going awry. For example there is Atos failing to manage the Work Capability Assessments, G4S’ shambles over security for the Olympics and Serco being banned from applying for contracts for allegedly overcharging on electronic monitoring contracts. Given this record of private sector failure it is incredible that DWP could seriously consider privatising the state pension.
The current pensions delivery model works well and 93% of pensioners are satisfied or very satisfied with the current arrangements. It therefore makes no sense for DWP to seek to destroy a delivery model that works well for pensioners and our members alike.
PCS’ Response
PCS is completely opposed to any suggestions that the state pension should be privatised. In the light of these press reports PCS immediately wrote to DWP demanding urgent explanation and clarification of their intentions. We have received a one sentence response for the Employee Relations manager that reads:
“I am able to advise DTUS that DWP has no plans to outsource the Pensions Service.”
This brief response is unlikely to provide members with much reassurance as the press reports clearly show that there are official proposals being considered that do suggest DWP should outsource the Pensions Service.
As soon as there is further information to report we will keep branches and members informed.
