Chipmunk
Coach
- Messages
- 17,375
I tend to agree on the surface, but there are 'added-costs' for a public service employee, and it's different for each Department. In most instances, non-ongoing public service employees on the Governments books have the same benefits as ongoing (e.g. permanent) public servants, just for a finite period of time.TBH I just can't see how all else being pretty much the same, how adding a profit margin for shareholders ends up at around the same cost.
Not to mention you have now added whatever costs are involved in managing that system from the government's side.
I know that Departments have a value for what it costs to have someone employed on their books, and that is then compared to what is charged for a labour hire contractor..
The difference being that the labour hire contractor is only a per hour cost, whereas the non-ongoing employee is a yearly cost.
What I mean as the overall cost is that it is probably about the same amount of money each year to have 50,000 people employed through labour hire as what it is to have 50,000 people on non-ongoing contracts on the Governments books.
The Departments are now able to employ more people on their books, but they still engage people through labour hire. Why is that?