Union takes outsourcing case to Employment Tribunal

A £400 million outsourcing deal between local authorities and IBM was unfair because the full details of the transfer of staff to a private company were not revealed, workers' union Unison has said.

It has lodged a claim with an Employment Tribunal over the deal, which it says led to the local authorities and IBM breaking a Transfer of Undertakings agreement.

The deal, announced in October 2007 as a £400 million shared services agreement spanning 10 years, created a new private company to which 1,500 council workers will transfer. It was set up by IBM, Somerset County Council, Taunton Deane Borough Council and the Avon and Somerset Police Authority. The new company was called Southwest One.

More details at Out-Law.com