Outsourcing companies frequently compete to win public contracts by reducing costs: it's a race to the bottom on the pay, terms, and conditions for their workers.
This has a knock-on effect for services: for instance, hospital infections have increased under outsourced cleaning services.
In its Make Work Pay plan the government committed to:
- Bring about the biggest wave of insourcing of public services in a generation.
- Introduce a strengthened two-tier workforce code to reduce differences in the wages of workers doing similar jobs.
- Undertake procurement reform to drive up employment standards across the economy.
As a package, these policies will have a significant positive impact on the employment terms and conditions of the workers delivering our public services – and everyone who relies on them.
They will also deliver greater value for taxpayers by reducing inefficiencies, removing private profit, and increasing accountability.
Minister Ward has committed to driving forward an ambitious agenda towards insourcing and, where the outsourcing of public services is deemed to be in the public interest, ensuring decent work for outsourced workers.
Union access, recognition, and collective bargaining are often missing in outsourced services, leading to further attacks on working conditions.
The proposed new Procurement Bill will be crucial to addressing these gaps and delivering decent work across our public services.
To succeed for workers and service users, this agenda needs widespread public support. Please sign the official record of support for insourcing today.
