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This item was published during the term of a previous administration that ended in April 2007

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End to two-tier workforce for future PPP projects

11/11/2002

The Executive and trades unions have agreed a protocol that will end the two-tier workforce in future Public Private Partnership (PPP) contracts.

The agreement is intended to ensure fair pay and conditions for people working under such contracts on the public service front line.

It is also intended to ensure fair employment policies and practices are followed by PPP contractors in all new contracts.

It has been agreed by an Executive and STUC Working Group set up to examine staffing issues in PPPs.

Finance and Public Services Minister Andy Kerr said:

"When I spoke at the STUC conference in April, I promised to end the two-tier workforce in future PPP contracts. I am honouring that commitment.

"This announcement is a big step forward which underlines that we have made real progress on this important issue after in-depth discussions with the STUC Working Group over the past few months.

"PPP is helping deliver the biggest school building programme Scotland has ever seen. PPP is helping deliver modern hospitals fit for purpose.

"If we are to achieve improvements in public services, we need to work with the staff at the frontline. Their support and hard work is crucial if we want to deliver the modernisation and improvements in public services that the people of Scotland expect and deserve.

"This is a good deal for public sector staff who will be involved in future PPP projects in Scotland. It ensures they will not lose out if they move to a PPP project.

"That is why this protocol is so important - it ends the two-tier workforce in all future PPP projects. We have listened to people on the frontline and the trades unions. And we have acted on the views they have expressed.

"It will not, however, impede the ability of the contractor to operate efficiently. The protocol recognises that flexibility has to remain an essential part of innovative and improved public services in Scotland.

"This is a clear example of the Memorandum of Understanding the First Minister signed with the STUC in April delivering tangible results, based on the shared principles.

"There are, of course, still issues we need to address to ensure employees enjoy the fairest employment conditions possible. We will continue to discuss this and other issues of importance with trades unions."

The protocol has been produced jointly by the Scottish Executive, STUC and the key unions whose members are involved in staff transfers under PPPs. It is aimed at eliminating the two tier workforce and ensuring consistency of good practice in the handling of staff transfers under future PPPs. The working group was set up in April 2002.

It takes immediate effect. Public sector organisations will receive the protocol this week.

Page updated: Thursday, July 22, 2004