Decision details

The Cabinet will be asked to consider and approve the Full Business Case in respect of the transfer of further services to Elevate East London

Further to Minute 75 (22 November 2011), the Cabinet Member for Customer Services and Human Resources presented a report setting out the Full Business Cases for the proposed transfer, with effect from 1 April 2012, of the following services to the Elevate East London partnership:

·  HR Service Centre (transactions)

·  Payroll Administration

·  Property Services

·  Facilities Management Contract Management at PFI Schools

·  Technical Support and Help Desk Reception Team

·  Revenues and Benefits Client Team

In line with the joint venture arrangements, Elevate East London had prepared Final Business Cases which detailed the services to transfer, the negotiated target cost and TUPE transfer arrangements for affected staff.  In this latter respect, officers agreed to keep Cabinet Members informed of any issues that arose.

The Cabinet Member for Housing referred to matters that he had raised during consultation on the proposals regarding elements of the Property Services transfer, particularly in respect of the Council’s current commercial property management contract.  Officers outlined the rationale for progressing with the full transfer into Elevate East London and confirmed that Cabinet Members would be fully consulted and involved in the procurement of a new commercial property management contract.  It was further suggested that provision be made in the transfer agreement for a review to be undertaken after 12 months of the new arrangements of those elements of the Property Services transfer related to the Housing service to assess whether any benefits could be achieved from the Housing service undertaking some of the work.

Cabinet agreed:-

  (i)  The transfer of the services referred to above to Elevate East London on the terms set out in the two Full Business Cases attached as Appendices 1 and 2 to the report, subject to the inclusion of an appropriate clause in the transfer agreement related to the 12-month review of the Housing elements of the Property Services function;

  (ii)  To the TUPE transfer of up to 71 staff to Elevate East London in respect of the above services, made up of 35 posts in HR and Payroll Transactional Services and a further 36 posts in the Assets and Commercial Services Division; and

 (iii)  The release of the £155,000 under-spend in the People Strategy budget to invest in the HR and Payroll modernisation programme.

(The Chair agreed that this item could be considered at the meeting as a matter of urgency under the provisions of Section 100B(4)(b) of the Local Government Act 1972.)