research-report-96-coming-clean-contractual-and-procurement-practices.doc

Twa staff on minimum wage short guaranteed hours for

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TWA staff on minimum wage + short guaranteed hours for 12 weeks Mainly via TWA staff Low (mostly through TWA) Low (but some difficulty to fill shifts) CouncilL Approx. 75 from client Same conditions (although recruited from zero hours) Word of mouth, Job Centre and agencies Not migrants- Black-Caribbean Low (due to London living wage, although initial downsizing 75 to 56 using voluntary redundancies) BankL Data not available Full-time vacancies filled mainly from existing part-time staff, same terms and conditions Word of mouth, focus on pre-employment screening- being presentable and committed Data not available Low due to living wage and screening 118
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IMPLICATIONS FOR POLICY AND PRACTICE Part four. Implications 17. Implications for policy and practice The six case studies examined in this report underline the importance of tying together procurement practices with their extended impact on the employment relationship in supplier organisations. Together with the thematic analyses, the case studies illuminate the wide-ranging effects of procurement practices on employment. They illustrate how this type of analysis is essential for understanding employment conditions in the commercial cleaning sector where procurement of cleaning services accounts for the bulk of revenue generation, and cleaning employees are expected to meet both the needs of the client and their employer. A triangular relationship between client, supplier and cleaning workforce is thus infused with conflicting business considerations (regarding, for example, alternative views about the nature of performance targets and profit margins specified in the contract), inter- organisational relations (between senior managers, operational managers and workers), different approaches to people management and challenges in fulfilling an integrated delivery of services. This section summarises these effects and draws out the implications for policy and practice. Better pay? Traditional models of human resource management, for the most part, assume managers, sometimes jointly with trade unions, determine pay on the basis of considerations of a person’s skill, experience and strategic value to the organisation, as well as labour market conditions (relative scarcity and price of the particular skill- set for example). Our case studies suggest such an approach does not fully capture the factors influencing pay and the management of pay. Cleaning firms need to win contracts to provide services, in which price often plays a major role, but also need to forge positive relationships with client organisations, where factors other than price may also matter. Figure 17.1 portrays the main pressures arising from procurement practices and associated regulatory and political/reputational conditions and their consequences for pay.
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