Winnipeg, MB - Up to $1 million in savings for taxpayers could be gained every year by using an alternate model for the delivery of custodial services, according to an administrative report published today.
The Public Service has been following the Alternate Service Delivery/Modified Managed Competition process, with the intention of implementing a competitive bid process regarding custodial services for office buildings and aquatic facilities.
“Council is committed to the efficient use of taxpayers’ dollars,” said Deputy Mayor and Chair of ASD Committee Russ Wyatt. “By using a competitive bid process, we can save $1 million a year in custodial services costs, which can be reallocated to meet citizens’ priorities of better infrastructure and community facilities, while providing new entrepreneurial opportunities for businesses to compete for City contracts.”
Currently, nearly 64 per cent of these facilities are maintained by private sector cleaners. Subject to approval by City Council and when fully implemented, the recommendations would result in 100 per cent of custodial services being delivered under the competitive bid process, and would lead to savings of approximately $1 million annually for the City.
If its recommendations are approved, the public service would initiate a 45-day process which allows the Union to make a proposal aimed at finding efficiencies.
Under the Modified Managed Competition process, in October 2012, the Canadian Union of Public Employees (CUPE) Local 500 had been offered the opportunity to meet with the public service to discuss options. This process allows the Union the time to come forward with ideas and suggestions without triggering the 45-day process, which is a requirement of the collective agreement. The Union decided not to pursue this opportunity.
Through a negotiated collective agreement with CUPE, permanent, full-time employees are provided employment security. Therefore, no permanent City employees covered by the CUPE/City agreement would lose employment as a result of this initiative. In other words, positions in custodial services would be eliminated; however, the individuals who held those positions would be offered alternate positions and redeployed in the public service.
All savings would come over a period of time through attrition, and gradual reduction in the City's overall full-time equivalent positions.
The report will be considered by the Alternate Service Delivery Committee on February 25, 2013.