Troubled shared service operation SouthWest One has hit another speedbump, with one of its customers, Somerset Council today announcing that it is to bring some services, including HR, back in-house.
According to the BBC, the decision was taken after a council review concluded that it was failing to perform and it was unlikely to achieve desired savings targets. Southwest One also reported an operational loss of £31.5m recently.
The move means that strategic HR and pensions provision as well as some finance operations will go back in-house and the TUPE transfer of 160 Somerset staff will be cancelled, raising question marks over their future, the unions claim. Recruitment, payroll and HR administration activities will remain with the joint venture, however.
Taunton Deane Borough Council and Avon and Somerset Police remain with SouthWestOne, which has IT systems and services provider IBM as its outsourcing partner.
