Arvato expected to gain preferred bidder status for DfT's Swansea centre

Discussions continuing with unions with contract expected to be confirmed in early March

Arvato is expected to be formally confirmed as the preferred bidder as outsourcing partner for the Department for Transport's (DfT) Independent Shared Service Centre (ISSC1) in Swansea.

Although, according to a DfT spokesman, the outcome of the process has not yet been decided, with the department hoping to be in a position to make a decision soon, it is understood that union officials from the Public and Commercial Services Union (PCSU) are now in discussions over the possible transfer of staff under Transfer of Undertakings (Protection of Employment) Regulations.

Around 250 staff at the shared service centre are likely to be affected by the move, which it is believed, will be formally signed at the end of February or early March.

Other shortlisted bidders for the outsourcing contract were HP Enterprise Services and Capita Business Services.

Earlier this month, the PCSU said it was concerned that DfT may lock staff into the Shared Service Centre once the contract with the winning bidder is signed.

In a report on its website, the PCSU said, "As a concession to the union, a valuable concession we may add, DfT agreed that staff in the SSC who find themselves a job in the wider DVLA or another government department would be allowed to take up that post. In the run up to some sell offs, departments have restricted or banned such transfers out as they wanted to sell off the experienced staff to the private sector.

"The union is picking up the hint that when the contract is signed in February then no more staff will be let out, even though the transfer to the private sector does not take place until June."