Public service unions have called for urgent action to address the immediate threat to jobs and the long-term issue of outsourcing in the wake of the collapse of a second major outsourcing company in two years. Interserve has around 45000 workers and government contracts worth GBP 2.1 billion (EUR 2.45 billion). Unite, the largest trade union in the company, has called for urgent talks in order to address the future of workers employed on the hundreds of contracts for cleaning, catering, facilities management and construction. Public service union Unison has called for all Interserve contracts to be brought back in-house.
Unions call for urgent action as second major outsourcer collapses
More like this
The collapse of the outsourcing company Carillion earlier this week and the publication on 17 January of an official report on public-private partnerships have exposed the risks and inefficiencies of privatisation.
Negotiations over the collective agreement covering provincial (regional) councils broke down as unions rejected the latest offer from the IPO employers’ organisation. The negotiations began over six months ago with the unions looking for a pay increase of around 1.5% but employers rejected both this and a job security agreement. The IPO has offered 1.2% but over 19 months, so effectively a 0.75% increase over 12 months and only 0.15% more than the previous offer. Read more at > Abvakabo (NL)
(May 2017) Around 200 workers and the 1100 people they provide care for are the latest victims of private care company bankruptices. The collapse of Hjemmehjælpen Aarhus, the largest private care company in Aarhus, Denmark's second city, is the third private care company bankruptcy in May and the 41st since 2013 when a new tendering system was introduced. The FOA public service union is calling for a change to the system with requirements to monitor professional and management skills, company finances and to protect working conditions.