28 June 2002
The Capita Group has responded with ambivalence towards the call from the Commons' public administration select committee for a code spelling out employers' obligations towards their staff. The PASC, chaired by Labour MP Tony Wright, published its long-awaited report on public service reform, The public service ethos, on June 23.
It warns that traditional public service values such as impartiality, accountability and probity are being eroded by the creeping adoption of the 'profit motive' by councils and their outsourcing partners.
Although it accepts that private partners can uphold a public service ethos, the PASC suggests that employers should build into contracts a new commitment to uphold these principles.
Other proposals reflect closely those made by Capita when it linked up with the New Local Government Network to launch the think-tank's document, Advancing a new public service ethos, in May.
John Tizard, Capita's director of policy development, told Public Finance the firm 'broadly welcomed' the report. But he stressed that 'the detail of any new commitment would be very important' and refused to commit Capita to the committee's call for employee protection.
Instead, he said: 'We believe a new ethos should apply irrespective of whether it is a private, public or voluntary sector body.'
Public sector unions will be wary of Tizard's response. Unison general secretary Dave Prentis has urged the government to adopt the main findings of the PASC report.
'I am pleased that the committee rejects contractors using a two-tier workforce,' he said. 'We would like to see a binding "fair wages" requirement in all public contracts that protect the pay of all staff.'
PFjun2002
