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Outsourcing ensures public services can be provided in a cost-effective manner, a Government spokesman said today (October 1). He was responding to media enquiries on today¡¦s protest march against the Government outsourcing services.
The spokesman said that as well as providing jobs and promoting business opportunities in the private sector, the policy also meant a small and efficient government. "Departments are encouraged to use open and competitive tendering to ensure the best offer is selected and the contractors' work is monitored for service quality throughout the contract period.
"A survey on government outsourcing, conducted by the Efficiency Unit, has shown that the community is benefiting from the provision of services of equal or better quality to those previously provided by departments themselves, and at lower cost," he added.
The survey, covering nearly 80 bureaus and departments in August 2004, showed that there were in force 4,512 contracts valued at over $214 billion. The survey details can be accessed on the Efficiency Unit's website, www.info.gov.hk/eu.
The spokesman said the Government was very concerned with the rights and benefits of non-skilled workers employed by contractors. A number of measures, such as a marking scheme in tender evaluation, were adopted in 2001 to protect their salaries and welfare. The measures were strengthened in 2004 to ensure that the monthly wages of such non-skilled workers was level with market rates.
"We introduced a mandatory requirement in May 2004 stipulating that a tender offer shall not be considered if the monthly wage is less than the average monthly wage rate for the relevant industry/occupation under the latest Census and Statistics Department's Quarterly Report of Wages and Payroll Statistics at the time when tenders were invited.
"In April this year, we introduced a requirement that government service contractors should sign a standard employment contract with their non-skilled employees. The contract stipulates the monthly wages, working hours, method of wage payment and other conditions of employment.
"Procuring departments have set up monitoring mechanisms, including complaint hotlines, to ensure that contractors comply with the terms of their contracts. They will also conduct regular wage and attendance checks and interview the workers to ensure they are not being cheated.
"The Labour Department has also investigated complaints to safeguard the workers' rights and benefits under labour laws. Employers are prosecuted whenever there is sufficient evidence," the spokesman said.
In the first eight months of this year, labour inspectors interviewed more than 2,000 non-skilled workers during 531 inspections. The number of such inspections has increased by nearly 90% over the same period last year. In the same period, seven contractors were convicted of labour law offences.
"Procuring departments are required to take into consideration the contractors' previous conviction record under the relevant ordinances when assessing tenders submitted by the contractors for outsourced projects, " the spokesman said.
"Outsourcing projects are monitored regularly to ensure that any lessons are learnt as we continue to seek further improvements in the quality of service and value for money," he added.
Ends/Saturday, October 1, 2005
Issued at HKT 17:17
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