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You can find the current article at its original source at https://www.theguardian.com/politics/2016/oct/20/concentrix-hmrc-work-tax-credits-stripped-away-firm-contract-treasury
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| HMRC to take over work of tax credits firm Concentrix HMRC to take over work of tax credits firm Concentrix | |
| (about 2 months later) | |
| Concentrix, the firm accused of incorrectly withdrawing tax credits from hundreds of claimants, is to have its work brought back in-house to HM Revenue and Customs, staff have been told. | Concentrix, the firm accused of incorrectly withdrawing tax credits from hundreds of claimants, is to have its work brought back in-house to HM Revenue and Customs, staff have been told. |
| Work now being done by the US company will be taken on by HMRC immediately, said the Public and Commercial Services union (PCS). | Work now being done by the US company will be taken on by HMRC immediately, said the Public and Commercial Services union (PCS). |
| Last month HMRC said it would not sign a new contract with the company, whose present contract was due to end in May next year. | Last month HMRC said it would not sign a new contract with the company, whose present contract was due to end in May next year. |
| Concentrix, which was at the centre of a parliamentary debate this week, had handled tax credit claims, having won a multimillion-pound contract to save the UK government money by preventing incorrect or fraudulent claims. | Concentrix, which was at the centre of a parliamentary debate this week, had handled tax credit claims, having won a multimillion-pound contract to save the UK government money by preventing incorrect or fraudulent claims. |
| MPs heard from one claimant, Sarah Broome, a 40-year-old single mother from West Molesey, Surrey, who claimed she was forced to go six weeks “out of pocket” due to a decision by the company to end her payments. | MPs heard from one claimant, Sarah Broome, a 40-year-old single mother from West Molesey, Surrey, who claimed she was forced to go six weeks “out of pocket” due to a decision by the company to end her payments. |
| OnThursday, Rebecca Long-Bailey, shadow chief secretary to the Treasury, said the HMRC move was a victory for those families who had been unfairly targeted by Concentrix. | OnThursday, Rebecca Long-Bailey, shadow chief secretary to the Treasury, said the HMRC move was a victory for those families who had been unfairly targeted by Concentrix. |
| She said: “I am pleased to hear that Concentrix employees will not be losing their jobs as a result of their company’s and this government’s failures, and will simply be transferred to HMRC. However, this government still has a lot of questions to answer about how this mess came about in the first place and why they were so slow to take action. Labour will be holding a debate in parliament next week calling for an immediate investigation into the government’s handling of the contract and for urgent action to compensate families who have unjustly had their tax credits stripped away.” | She said: “I am pleased to hear that Concentrix employees will not be losing their jobs as a result of their company’s and this government’s failures, and will simply be transferred to HMRC. However, this government still has a lot of questions to answer about how this mess came about in the first place and why they were so slow to take action. Labour will be holding a debate in parliament next week calling for an immediate investigation into the government’s handling of the contract and for urgent action to compensate families who have unjustly had their tax credits stripped away.” |
| A Concentrix spokesman said: “As the work previously carried out by Concentrix moves back to HMRC, this means that, under the protection of employment regulations, Concentrix staff carrying out the work for HMRC will automatically transfer to HMRC. We have begun discussions with the staff about this transfer. This will provide permanent employment, offering job security to them well beyond the scheduled expiry of the contract in May 2017. We do not expect any forced redundancies as a result of this transfer.” | A Concentrix spokesman said: “As the work previously carried out by Concentrix moves back to HMRC, this means that, under the protection of employment regulations, Concentrix staff carrying out the work for HMRC will automatically transfer to HMRC. We have begun discussions with the staff about this transfer. This will provide permanent employment, offering job security to them well beyond the scheduled expiry of the contract in May 2017. We do not expect any forced redundancies as a result of this transfer.” |
| A HMRC spokesman added: “Concentrix has begun discussions with their staff about this transfer. Those people moving to HMRC will be supported through further training, building on the improvements already delivered to the service we provide to our tax credits customers.” | A HMRC spokesman added: “Concentrix has begun discussions with their staff about this transfer. Those people moving to HMRC will be supported through further training, building on the improvements already delivered to the service we provide to our tax credits customers.” |
| Mark Serwotka, general secretary of the PCS union, said: “We’re delighted HMRC has agreed with us this work is best carried out in-house and, crucially, has accepted our argument to protect the jobs of Concentrix staff by transferring them into the department. We will be pushing for these workers to be employed on the same terms as their HMRC colleagues. Sadly, this could all have been avoided. The fiasco is further evidence it is a false economy to hive off important public services.” | Mark Serwotka, general secretary of the PCS union, said: “We’re delighted HMRC has agreed with us this work is best carried out in-house and, crucially, has accepted our argument to protect the jobs of Concentrix staff by transferring them into the department. We will be pushing for these workers to be employed on the same terms as their HMRC colleagues. Sadly, this could all have been avoided. The fiasco is further evidence it is a false economy to hive off important public services.” |
| A staff bulletin said discussions were continuing, adding that Belfast-based staff would automatically transfer to HMRC. It read: “This will provide permanent employment to Concentrix people who we require to deliver our priorities, offering job security to them well beyond the scheduled expiry of the contract in May 2017. We are currently working to agree transfer dates, but it will be in the next few weeks.” | A staff bulletin said discussions were continuing, adding that Belfast-based staff would automatically transfer to HMRC. It read: “This will provide permanent employment to Concentrix people who we require to deliver our priorities, offering job security to them well beyond the scheduled expiry of the contract in May 2017. We are currently working to agree transfer dates, but it will be in the next few weeks.” |