Union voices worry about HP and DWP's proposed offshore job transfer scheme
In a growing trend, unions in the UK are voicing their concerns over the offshoring of IT jobs in the public sector. The Public and Commercial Services Union (PCS) and Unite have been particularly vocal in their opposition to this practice.
The PCS union has criticised Hewlett-Packard's plan to transfer IT roles under a contract with the Department of Work and Pensions (DWP) to India. Similarly, Unite has criticised Birmingham City Council for its plan to offshore around 100 IT jobs this year. Both moves are seen as recent examples of this trend in the UK public sector.
The PCS union has issued a statement, questioning whether the job transfer plans can actually save the taxpayer money. They believe that the potential savings from the DWP account may be overshadowed by overall costs on items such as benefits and wider costs to the community.
HP is consulting with the UK government, specifically the Department for Work and Pensions (DWP), about transferring roles under the DWP contract from various UK sites to its operations in India, effective in 2012. The IT roles under the DWP contract are currently being delivered from various sites in the UK.
Birmingham City Council's decision to offshore IT jobs is a current issue of concern for the Unite union. The offshoring of IT jobs from Birmingham City Council's joint venture with Capita is another example of this trend. The offshoring of IT jobs in the public sector could be a growing trend, as indicated by the PCS union's statement.
The PCS union intends to highlight the economic nonsensical nature of the job transfer plan and plans to emphasise the potential costs associated with the job transfer plan beyond the DWP account. The union's concern about the potential cost-effectiveness of job transfers to offshore locations may extend to other public sector IT jobs.
Unions have been vocal in their opposition to offshore outsourcing in the UK public sector. The potential costs associated with offshore outsourcing, such as benefits and wider community costs, remain a concern for these unions. The UK public sector's traditional objection to offshore outsourcing may be thawing under cost-cutting pressure.
The Unite union's criticism of Birmingham City Council's plan could signal a broader opposition to offshore outsourcing in the UK public sector. As the debate continues, it remains to be seen whether the cost savings promised by offshoring IT jobs will outweigh the potential costs to the community and the workforce.
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