The Public and Commercial Services Union (PCS) has condemned the Government’s decision to privatise part of the administration of Universal Credit.
Private firm Capita will be gifted with the responsibility for booking initial work search interviews for new Universal Credit claimants.
Capita is currently facing a second inquiry into a £1.5bn Whitehall jobs contract, which small companies claim could leave them facing financial ruin.
The outsourcing giant is also one of three firms to be recently awarded a £5bn NHS commissioning deal, as well as delivering disability benefit assessments for Personal Independence Payments (PIP) in parts of England and Wales.
A press release on the union’s website reads:
“Their intention is that the process for booking the appointment for a claimant’s initial work search interview will be handed to the private company Capita. No DWP staff will be transferred to Capita under this proposal.
“There is no justifiable business reason for doing this. DWP claim that Capita will be able to make these appointments at weekends for claimants who make a claim online at a weekend, but in practice the appointments could just as well be done by DWP staff the following Monday, as has happened up to now.
“Capita already have been handed the same task for claims to Jobseekers Allowance and this announcement extends that arrangement to Universal Credit claims.
“PCS has protested strongly to DWP about this decision. Seeing their work privatised is a kick in the teeth for our hard working members.
“Members will also be understandably concerned that this privatisation is a foretaste of further private sector involvement in the delivery of Universal Credit.
“PCS has also made the point to the department that Capita is consistently failing to meet its key targets in relation to JSA First Contact calls that are currently out sourced to them. This failure contrasts with the DWP staff in CCS who are consistently meeting the very same targets.
“Again the failure of the private sector to out-perform the public sector has been ignored as the tired, false dogma of ‘private sector good, public sector bad’ is wheeled out once again.
“PCS will continue to argue against all privatisation of DWP work and will continue to campaign for all privatised work to be brought back in-house where it belongs.”
Last edited at 4:40am on 22 February 2015 to resolve an incorrect external link.