Public sector HR managers see outsourcing as great cost-saver

The majority of public sector people working in human resources believe that outsourced IT is an effective way to slash costs - but don't think it really helps improve services, according to a survey by jobs website TotalJobs.

Almost two-thirds of managers contacted believed outsourcing would cut costs, while only one in four said it would deliver better quality services.

The firm contacted 100 human resources directors from government departments, local authorities, NHS trusts and police Forces.

As the government plans to achieve £40 billion of procurement savings in the next three years, outsourcing is seen as key, says TotalJobs MD Mike Booker.

"The perception that the skills needed in the public and private sector are somehow different is being swept away by the more pressing need to work together to achieve savings," he said.

"While we're seeing large numbers of public sector workers looking to migrate to the private sector, it must not be forgotten that essential private sector skills are in high demand in the public sector with our site alone housing 326 postings for public sector procurement professionals," he claimed.

"We should not tolerate wasting public money whatever the economic climate. We need to find new ways of delivering public services that are high quality, cost effective and genuinely responsive," believed Cabinet Office Minister Francis Maude.

He added that he would like to see a host of different companies take on outsourced IT work and other tasks.