Outsourcer Capita insisted that firms should put their staff first when moving work to a third-party...
Outsourcer Capita insisted that firms should put their staff first when moving work to a third-party supplier.
Jason Richards, managing director of the company's insurance division, said not communicating properly with staff could have a negative impact on any changes, when jobs are set to be axed.
He claimed: "Companies must think of the obvious things like communicating news properly to staff - it sounds obvious but things can go wrong.
"The staff tolerance to mistakes at human resource level is zero when their job is under threat. Make sure the new management team is visible."
Mr Richards, who helped Norwich Union offload its former broker arm Hill House Hammond and has had to deal with a number of sensitive staff issues, continued: "There are staff terrorists out there who stir up trouble in these situations and it is important to keep these people under control and identify those issues as they can get out of hand."
He also said that it was vital firms address customers' needs when outsourcing: "You might forget about them with the high focus on internal activity. If you do, however, then it can cause real problems for your business."
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