Our reps briefed MPs about a government privatisation agenda that is already leading to job cuts, office closures and offshoring.
Shared services are those parts of individual departments that provide corporate services to do with IT, human resources management, pay and payroll, procurement, and finance to deliver their business outputs.
MPs heard from our reps at shared service centres about our concerns that affect all our members. Those who work in shared service centres are at risk of privatisation and losing their job. While those that rely on shared services to process their wages and expenses, or provide advice and support, are at risk of having their personal data offshored.
Debate secured
Among the MPs attending today was Paul Blomfield who has a shared service site in his Sheffield constituency which is one of those threatened with closure. Paul has secured a debate for Wednesday 9 April on the job cuts. Other MPs attending also agreed to raise our concerns with relevant ministers. Newport East MP Jessica Morden took to Twitter to say it was ‘good to catch’ up with our campaign, which includes the Ministry of Justice office in Newport.
Government plans have created two independent shared service centres (ISSCs) which were outsourced last year. Arvato now runs what is known as ISSC 1 which covers Department for Transport shared services centre in Swansea. A strong union campaign meant that staff that wanted to stay were found jobs in DfT and there is a no compulsory redundancy guarantee.
ISSC2 meanwhile – which covers shared service functions for the Department for Work and Pensions, DEFRA and the Environment Agency has been turned into a joint venture company called SSCL in which the government owns a 25% stake, with French multinational Steria owning the controlling 75%.
On 4 March SSCL announced 500 job cuts, office closures and offshoring of work.
What makes these developments even more concerning is that other government department’s shared services could follow suit. For example, the Ministry of Justice recently announced it is considering joining one of the two contracts, despite a previous commitment to keeping its shared services centre – which includes the Home Office – in-house. The Ministry of Defence and HMRC shared service centres could also be affected.
