27 February 2006 | Rebecca Ellinor
Capita has won the BBC HR services contract, beating other shortlisted providers Accenture and Xchanging to win the 10-year deal.
The contract is expected to begin in April.
As reported by supplymanagement.com
, the corporation was seeking a supplier to undertake services including recruitment, pay administration, some staff development, re-location, HR administration, occupational health and disability access services.
The BBC's 900-strong HR department is to be reduced to 450 as part of the changes. Around 260 posts will transfer to Capita, with around 180 redundancies anticipated. Approximately 100 new jobs will be created in Belfast, where Capita's service centre is located.
The outsourcing decision follows an internal review, Value for Money
, in 2004. The corporation hopes to save around £355 million a year by 2008, an estimated £93 million of which is to be made through more efficient procurement and £68 million from redundancies and increased outsourcing of jobs.
The BBC said it expects to save in excess of £50 million over the life of the HR contract.