Council outsources all recruitment

Author: Financial Times   |  

Buckinghamshire council has become the first local authority to outsource all its recruitment to the private sector in a move that is likely to be followed throughout the country.

Staff needed to provide council services including schools, road maintenance and social care will be hired through Hays, a professional staffing agency, in an attempt to cut recruitment costs of about œ8m a year.

The decision is part of a growing trend for private and public sector companies to outsource their human resource functions.

Hertfordshire council uses Manpower for some of its recruitment, while Essex county council recently hired Capita for all non-executive level appointments.

However, Buckinghamshire council, which employs about 14,000 staff, is the first to use it for temporary and permanent appointments throughout the organisation.

The decision comes as local authorities are forced to cut employees or freeze hiring amid a squeeze on budgets.

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