Decision details

That the Cabinet member for Finance and Resources will be asked to consider the future provision of HR & Payroll Services and consider delegations to Officers.

(i) That the Cabinet member for Finance and Resources approves the strategic approach for the future delivery of HR & P Systems to the Council enabling the timely in-source of the Capita HR & Payroll Services; and

(ii) that the Cabinet Member for Finance and Resources delegates the power to complete this process to the Executive Director of Resources, on the basis that:

·         The most suitable delivery option is selected in line with the above. 

·         That the new process is actively managed throughout by the existing Human Resources Client Management team with support from Finance & Commercial Services & BCIS (Transformation & ICT).

The reason for the Cabinet Member for Finance and Resources to grant delegated authority to the Executive Director of Resources to determine the future of HR Systems, is that the Business Services Review undertaken by the Resources Portfolio identified that the delivery of the Human Resources and Payroll function would be best undertaken in-house to ensure the optimum performance for the Council.

The new delivery model will retain (in the main) the Council’s core (and current outsourced) workforce to ensure minimum impact across all Portfolios whilst maximising value for money and delivering long term benefit which can contribute to the Councils ‘income gap’. 

To facilitate this outcome the HR & Payroll employees transferring into the Council will require access to the relevant HR Systems. At the point when the currently outsourced Capita HR & Payroll services are in-sourced the HR Systems will also transfer to the Council under the terms of the contract termination. Therefore the Council wishes to take this opportunity to review its HR Systems delivery options.

A number of HR Systems delivery models have been considered as part of the Options Appraisal for the Business Services Review and this work now needs completing to facilitate the timely in-source of the current Capita HR & Payroll Services.

Options

A number of options are being considered as part of the HR & P Systems Review and these are:

Option 1: Capita still deliver systems and support locally via Capita LGS rather than current arrangement via Capita HR Solutions

Option 2: Contracts novate to SCC and support is provided by Capita LGS

Option 3: Procure A.N. Other Partner provider to deliver systems and support

Option 4: Complete novation of the Northgate contract to SCC and contract directly with Northgate

Option 5: Contract with another Local Authority to Provide Support (Via Northgate)

Option 6: Cancel contract with Northgate and obtain system via another Local Authority

Option 7: Procure a full HR and Payroll system via a shared service arrangement with another Local Authority