Serco apologises for chiseling suppliers

Serco, one of the largest IT suppliers to government, has today apologised to its own suppliers for trying to squeeze them for 2.5 per cent cash rebates on existing contracts. The retraction follows a report in a Sunday newspaper, which said the Cabinet Office was angered by the firm's treatement of its partners. "As a …

[Anonymous Coward]

Hmmm...

If Serco's principle customer hadn't clocked this a bit of sharp practice and bullying and pointed out the obvious do you think Serco would have had a change of heart?

If it had been New Labour in power would there have been any shout from Government about one set of bloated plutocrats getting stiffed by another lot of bloated plutocrats?

Did the government shout when IT Companies unilaterally cut the rates of its subcontractors - I don't recall. But, but, but..... all they were doing was asking contractors to take a future cut. Help me with the practical difference here...

[Anonymous Coward]

Avery Fool

Serco's bird brained commercial department has come up trumps again. How anyone can believe they have a credible strategy to maintain (flat at best) profits by risking alienation of their whole supplier base beggars belief.

Sack the head of commercial and employ some common sense before the goverment take full advantage in renegotiating all Serco contracts.

Share prices will fall....heads will roll......

[Anonymous Coward]

come on

This is just SOP, especially for supermarkets.

If anyone tried it with me I'd just give them the finger. "commitment to our partnership" indeed.

[Anonymous Coward]

Having worked for serco

money grabbing is their main concern, they have a flat wage policy and you need pay for any extra, from pension to discount vouchers...the staff turnover is high, the staff training is non existant and the serco run gov datacentres read like a civil service family tree, everyones releated and on great t&c's, but outsiders get short shafted...look into Gloucester or Manchester and you'll see what I mean

[Anonymous Coward]

This...

...is an entirely accurate description of Life as a Serco Drone at Gloucester.

Anonymous, cos I still am.

[Test Man]

These fools...

... also like to squeeze NHS employees...

[Bluenose]

Pots and Kettles

Why is the request from Serco to their key suppliers to cut their charges so different from what the Govt. has done to Serco and only a fool (Francis Maude??) would think that Serco wouldn't look to get some financial support from their major suppliers following Serco's agreement to cut its charges to the Govt.

If you ask me this is just a the current Govt realing that their big suppliers have costs to and that the big suppliers will try to maintain margins by cutting costs in the same way as Francie Maude. I think this is something called Captalism and the Free Market something Francis and his friends are supposed to know about and support!!

Aliens because I think all politicians are!

[mhoulden]

"Your response will no doubt indicate your commitment to our partnership..."

I believe the only appropriate response is the one given in the case of Arkell v Pressdram.

[Anonymous Coward]

I've been a contractor with Serco

....they are the most disorganised and badly managed company that I've ever had the pleasure to (eventually) recieve payment from.

For example, I wisely built in late payment fees into my contract - they still paid *every* invoice late but paid the late payment charges quite happily. I made over £12k in late payment charges alone over the course of 6 months.

[Anonymous Coward]

get rid of the middleman

once a suppy chain has been set up, knock out the middleman and allow the suppliers to deal directly with govt - would save a damn sight more than 2.5%

and btw the reason for all the fuss was that serco was demanding a back rebate too

[Ascylto]

FD?

Why have we not been told that the Finance Director has been sacked?

Oh, of course, he either hasn't been or is waiting for an MPs position to become vacant!

[Tony Rogers]

After Hours Doctors

A doctor pal of mine worked as a GP and surgeon all his life.

Took up doing night calls for a service run by doctors at a very professional level.

Then the service was given to Serco.

The facilities were pared back to below a poor standard and have remained so ever since.

Profit is king at Serco... even with lives at risk in the wee small hours.

The pressures placed on the management to achieve ever more profit ensures that the service

is reduced more and more every week.

The tentacles of Serco are more in line with an outfit from a James Bond film.

Outsourcing with nice backhanders seems the way the contracts work.

Many are convicted criminals...fraud..theft etc.

Time will find them out...hopefully before more die due to the sad way they operate.