Citizen questions Hackney Council over £millions agency staff bill
The Town Hall is spending significant sums on outsourced staff. Photo: Hackney Citizen
Hackney Council has spent millions on outsourced agency staff services in the last four months, new council figures show.
The council paid just under £1.4m in September, about £2.5m in November and December and £2.9m in October to two Randstad companies for human resources, temporary and agency staff, administration and clerical services.
The figures were released on 17 January under the new transparency requirements for local authorities. Secretary of State for Communities and Local Government Eric Pickles announced last June that all councils would be required to publish details of their expenditure over £500 by 31 January 2011.
Much of what Hackney Council’s figures show is unsurprising. There are payments to various care homes, housing associations and to those who care for older residents. There are payments to companies that repair the roads and pavements and lay pipes. City and Hackney Primary Care Trust, the Metropolitan Police, traffic wardens, construction companies and telecommunications companies are all on the list.
But the high number and value of payments to two Randstad recruitment and human resources (HR) companies, Randstad Employment Bureau Ltd and Randstad Managed Services Ltd, stood out.
On its website, Randstad Managed Services Ltd describes the five-year contract it has with the London Borough of Hackney as a “one-stop-shop solution … one that will help Hackney achieve efficiency savings as the government seeks ways to reduce public sector expenditure.”
Hackney Council responded to the Citizen‘s request for more information on its relationship with Randstad on 3 February.
A council spokesperson said that Randstad is responsible for all interim and temporary vacancies and offers access to more than a hundred agencies,enabling it to provide staff that offer expertise and experience in specialist frontline services.”The broad range of services provided by the council means they need individuals with specialist expertise at short notice across a wide range of professions from social workers to planners and environmental workers,” the spokesperson said.
The council employs 60 staff in its human resources department. All permanent recruitment is covered by the in-house team. The contract with Randstad Employment Bureau was transferred to the newly established Randstad Managed services in 2010.
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