UNISONActive is an unofficial blog produced by UNISON activists for UNISON activists. Bringing news, briefings and events from a progressive left perspective.

Wednesday, 26 March 2014

Outsourcing is driven by worker exploitation

'Basic logic and a growing amount of evidence suggests that where money is saved by outsourcing, it is often at the expense of wages of already low paid public sector workers. Contracting out doesn’t improve efficiency – it just makes it easier to pay people less,' writes UNISON's Sara Gorton in an analysis of the failed model of outsourcing past and present. The previous Labour Government did not eschew outsourcing but introduced additional protections to prevent cuts in terms and conditions including for workers joining contracts post transfer.
   Removal of those protections - the so called Code of Practice on Workforce Matters - was one of the first acts of the Coalition, followed by a weakening of TUPE regulations from 31 January this year. The article concludes by posing a crucial question about a future Labour government: 'Do they continue with this failed system, built on a project to drive down workers wages? Or do they take a new approach to public sector reform which is not automatically hostile to in-house delivery'