Councils spend £35m on agency workers

Sunday 4th December 2011, 9:19AM GMT.

Sandwell Council
Sandwell Council

Councils in the West Midlands spent £34.6 million on agency staff in one year as they axed hundreds of jobs.

Figures obtained by the Express & Star reveal local authorities actually spent more than £2 million more between them on temporary staff in 2010/11 than they did the year before.

Sandwell Council splashed out £3m more and Wolverhampton City Council spent an extra £666k. Dudley Council’s costs also rose by £600k.

Agency spend went up in Stafford, Lichfield and South Staffordshire.

Walsall, Cannock Chase, Wyre Forest and Staffordshire County Council all cut their agency spending.

Sandwell Council claimed it would cost too much to reveal which departments were using the most agency staff. More than 500 permanent jobs have been axed there this year. It was using 782 agency workers a month last year compared with 684 a month the year before.

Councillor Ray Nock, leader of the Tories, said: “It is an appalling waste of money. Sandwell Council hides behind so-called ‘Tory cuts’ but it needs to get its own house in order.”

Councillor Mahboob Hussain said: “The council is undergoing a major restructure and in some cases, people do leave the authority mid-term. That has meant we have had to use our own in-house agency arrangements for temporary workers.”

At Wolverhampton City Council, where 450 permanent jobs are being cut, the bulk of the £5.6m spend was in children and young people, which spent £2.2m.

Spokeswoman Rita Rich said: “While this represents a substantial sum, the expenditure equates to just 1.63 per cent of the total salary bill during 2009/10, rising slightly to 1.87 per cent of the total salary bill during 2010/11.

“Strict controls are in place in order to ensure that every appointment of agency staff is justified and appropriately approved.”


  1. 1
    Margaret Hamilton

    What the Express and Star really needed to do here was compare the labour costs saved by all the redundancies and cuts in total. This would show a big net decrease wouldn’t it? This kind of article just shows that the E&S has a political agenda to discredit local councils, and in particular the ones whose political make up they don’t like. Stop it, it’s not honest.

    Report abuse

  2. 2
    wise monkey

    No doubt the council-wallahs will be on here to defend this latest example of their waste.

    Don’t expect them to appear before “office-hours” though!

    Report abuse

  3. 3
    Connor Davies

    The problem will only get worse with more “outsourcing” – designed to get costs off the balance sheet so they can claim Reward Grant from the government to keep Council Tax rises to 0%; but then they get stung when the costs turn out to be greater than expected.

    Sack 20 Council staff in a department, and contract out the service to a private provider. Those 20 staff then get jobs with the private provider. Their wages are greater, their overheads higher (they have a swanky office on Colmore Row, for example); the contract might be negotiated based on current volumes. When that volume goes up – who ends up paying?

    Answer: not the contractor.

    Report abuse

  4. 4
    Paul

    Well once again Sandwell council named and shamed for wasting money. When will there be some sort if enquiry into the goings on in this establishment? It would be very refreshing if certain MP’s would be as vigourous with getting answers from their local authority as they were getting answers from the phone hacking enquiry..DISGRACE!!!

    Report abuse

  5. 5
    dougal

    Well when you consider all the figure juggling governmental departments in this country, its of no surprise to find AGAIN! The people in control
    of public and governmental funds, look after the people in high places.You will find most if not all of the agency staff are executive, or so called executive people, and have all their expenses to be added too. Wolverhampton city is a joke now look at the centre!.It is just like the unemployment figures, change the working week to 15 hours full time! and you will cut another million of the figures of the unemployed.councillors should remember WHO they represent and do something about it

    Report abuse

  6. 6
    Ray

    Of course, councils could hire their own staff to deal with peaks of service demand. But then no doubt they would be criticised for incurring the huge redundancy costs involved when they then have to lay them off during the troughs.

    So perhaps the real blame lies with Britain’s costly employment legislation – much of it a result of that perennial elephant-in-the-room, our membership of the European Union.

    Report abuse

  7. 7
    steve

    Sandwell must be confused
    500 staff to be axed but they use 782agency staff a month

    so they spent £12M plus redundancy costs to end up with more staff than they started with

    I feel sorry for those made redundant

    Report abuse

  8. 8
    Paul

    Dudley, what a surprise, cuts in essential services, money doled out to private agencies.

    Report abuse



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