External Private Contractors: Government Use and Employment

Mr Sobel questioned why local authority capacity was not utilised before contracting out to the private sector. He noted that many local authorities could furlough staff during the pandemic, maintaining employment without requiring such contracts.

I thank my Unison comrade for giving way. To support the proposition, there is a Unison briefing that shows in schools in England many private companies are only paying statutory sick pay. Does the hon. Lady agree this puts people in the position of having to choose between statutory sick pay and going into work, which is more likely to spread the virus? The hon. Member for Glasgow South raised concerns about the use of private contractors in asylum case interviews, questioning why it was a secret pilot scheme and whether the involvement of Serco with a former employee as director general could be influencing the decision. He also expressed fear over the exemption from human rights legislation that outsourced companies might have and highlighted issues such as consultants earning £7,000 per day on public projects and wage cuts for workers due to outsourcing. Asked Claudia Webbe a question but no specific content provided.

Claudia Webbe expressed concern about the outsourcing of NHS services and its impact on public health, citing a £15 billion increase in NHS contracts to private companies over five years. She highlighted that this spending could instead fund 72,000 nurses and 20,000 doctors, emphasizing the need for better working conditions for outsourced workers. Leicester has been under extended measures and lockdown for the longest time. Private contractors have a test and trace success rate of less than 50%, while the local authority achieved over 85%. The difference between private and public sectors is significant.

Ms Hayes discussed the negative impacts of outsourcing, including poor pay, job insecurity, and lack of health and safety protections. She highlighted examples from various constituencies where outsourced workers faced exploitation or redundancy. She also pointed out that during the pandemic, outsourced staff often lacked proper sick leave benefits while performing essential work, disproportionately affecting BAME communities (16% for cleaners, 26% for security guards).

He expressed concern over the use of agency staff who do not receive equal pay and conditions. He advocated for bringing services back in-house to ensure accountability and fair treatment, suggesting that public sector employees can be trained to take on different roles when needed.

He criticised the use of outsourcing, describing it as a scam that leads to cost-cutting through reduced employee terms and conditions. He highlighted the risks associated with weakening Transfer of Undertakings (Protection of Employment) regulations, arguing that job security should be prioritised in civil society.

Mr Johnson criticised the significant reduction in civil service numbers across key Departments while the outsourced market has a large annual turnover. He highlighted issues with the privatisation of test, track and trace services, pointing out inefficiencies and highlighting the high pay received by consultants compared to civil servants. He also raised concerns about job losses and insecure contracts under private contractors.

Declared an interest as former regional secretary of Unite the union in north-west. Criticised outsourcing for fostering low pay, insecure employment, poor service delivery, and wasting millions on public contracts to companies like Interserve and Serco test and trace system that failed to track nearly a quarter million people who had been in close contact with someone infected with covid-19.

Mr Mishra highlighted the extensive outsourcing of Government contracts in Greater Manchester, particularly mentioning Carillion's involvement in major projects. He criticised the lack of accountability and poor conditions for workers employed by private companies on public sector contracts. He also pointed out the high costs associated with these contracts and called for an end to practices that do not prioritise workers' wellbeing.

Rachel Hopkins discussed the impact of outsourcing in the justice system, particularly the transfer of HMCTS staff to private contractors. She raised concerns about redundancies faced by transferred workers and called for an independent inquiry into the increased violence in private prisons compared to public ones.