Agenda item

Delivery of Human Resources Function

Decision:

RESOLVED that

 

(a)       the delivery of Human Resources transactional functions, as outlined in paragraph 1.2 of the report, be explored for outsourcing through a procurement exercise; and

 

(b)       a further report be presented to Cabinet in September 2016 outlining the findings from the procurement exercise.

Minutes:

(Link to Council Priorities: All)

 

The Portfolio Holder for Corporate Development introduced the item and reminded colleagues that this was an operational matter and that the Council’s Organisational Development Team had responsibility for the Human Resources (HR) function.  Whilst the HR service undertook a number of transactional services, it was proposed that the market be explored to see if these functions could be carried out more cost effectively.  In this regard, it was believed that outsourcing the service on the basis outlined would provide the Council with more efficient service delivery and increased customer focus which would lead to improved quality outcomes.

 

The Cabinet noted that the scope of the procurement exercise would be to find a supplier who would take responsibility for the following functions: recruitment & compliance; telephone support; employee services; pay & reward; pay & data; pensions; employee relations; business partnering & change management; policy; strategic data; and responding to complaints; and relevant Freedom of Information (FOI) and Data Protection Act (DPA) requests.  It was further noted that corporate strategy & policy development and learning & development would not be included within the scope as these functions would be retained by the Council.

 

The Cabinet discussed the proposal and given that the Council already shared services with other Surrey Authorities, asked whether there was an opportunity to share the HR function in this regard.  The Chief Executive commented that various providers of HR transactional functions were keen to work across the Surrey Authorities and in this regard all options would be fully explored.

 

One Member further commented that Members needed to be reassured that adequate comparisons had been undertaken i.e. what the current in-house HR transactional function provided compared with an external provider, in order for an informed decision to be made.

 

Whilst supporting the exploration of outsourcing the delivery of HR transactional functions, it was noted that as part of the proposal, consultation with staff and the Union would be undertaken, as was normal practice.

 

RESOLVED that

 

(a)       the delivery of Human Resources transactional functions, as outlined in paragraph 1.2 of the report, be explored for outsourcing through a procurement exercise; and

 

(b)       a further report be presented to Cabinet in September 2016 outlining the findings from the procurement exercise.

Supporting documents: