On the 8th July Francis Maude, the Cabinet Office Minister, met with the 19 largest suppliers of services to government. The Commercial Sector has members in almost all of these companies.
At the meeting Maude made it clear that the Coalition Government programme of cuts very much applies to the Commercial Sector and that government is seeking a minimum of 20% - 40% cuts across each of the contracts that we work on.
One of those at the meeting has stated that they believe that cuts of 40% will be required over the next 3 years.
We understand that there will now be negotiations with each of these companies and we are aware that the Government will now be meeting individually with each employer over the summer.
The Government has told employers that it expects them to reduce profit margins something our union believes it an optimistic aspiration. We are all too aware that profits are invariably protected – normally at the expense of our jobs, our sites and our pay.
From informal discussions with some of the employers represented at the meeting we understand that whilst recognising the threats arising from spending cuts some employers see this process as a unique opportunity to extend their influence and take advantage of the unprecedented access they now have to Government.
We also understand that some employers have opened dialogue on off-shoring/best shoring, workers terms and conditions/TUPE and contractual arrangements with government that would have been unthinkable even a few months ago.
PCS National Campaign
The PCS Commercial Sector association is clear that over the next period we are facing a period of massive instability and great uncertainty for our members.
Over the next few months we will be seeking discussions with employers to find out what the impact of the Budget Spending cuts and the wider Coalition policies might be on our members.
However, we have to start from the recognition that thousands of our jobs are now at risk. We firmly believe that the defence of jobs, sites and our communities is the urgent task facing every Branch and member.
We will be working closely with the national union to make sure that the voice of our members in the private sector is clearly heard over the coming months, but the active involvement of PCS members in the Commercial Sector in our union’s campaign is critical.
The PCS national executive committee has launched a massive campaign in defence of jobs, pay, pensions, and civil and public services in response to the coalition government’s intention to make ordinary people pay the price for the economic crisis caused by the banks.
Many of us in the Commercial Sector already face job cuts, closures and pay restraint.. We will do our utmost to oppose these cuts which threaten not just jobs and services, but the basis of the welfare state itself. And we know that the cuts will not solve the economic crisis – they will make it worse. Paying redundancy to 1 million public sector workers inside 3 years will do nothing to help replenish the government’s income.
There is an alternative to the government’s proposals. Cuts are neither necessary nor inevitable. Our campaign promotes the positive alternative to cuts: tax justice and investment in public services to deal with the national deficit.
We need to ensure that the position of members in the private sector is a feature of all of the union’s activity. We also need to make the case loud and clear that there is no artificial divide between workers in the civil service/public sector and those in the private sector who provide services to the public sector. To paraphrase our Prime Minister we really are all in this together.
We are urging every member to play their part and get involved. We are urging you to get active in your branch now and help to link up with other trade unions, voluntary organisations and service users to organise campaigns in the communities we live in. We also need to work hard to recruit non-members to the union.
What you can do now to support our campaign
We are asking you to get involved in our campaign. To protect our jobs and workplaces we need every member to do their bit.
There are lots of things that you can do:
1.Ask any colleague who is not in our union to join. The bigger we are the stronger our voice and the more effective our campaign in your workplace.
2.Ensure that there are regular meetings of members in your workplace to discuss the campaign. Please contact the Commercial Sector office at PCS if you would like a speaker from the CSA.
3.Write to your MP asking them to speak to Ministers about the cuts and the PCS alternative.
6.Keep checking the Commercial Sector section online for the latest briefings and updates
In the past we have successfully defended member’s jobs and pensions through a combination of legal, industrial and campaigning action. Now, more than ever, we need to be united if we are going to stop the brutal cuts the government wants to make – and Commercial Sector members need to play a full part in our union.