For all the rhetoric surrounding the "big society", one thing seems clear - the state no longer wants to be the biggest direct employer of those who deliver its services. But what does this mean for service delivery and for the people working within it? Can you really go from employee to entrepreneur just like that?
It can be a big step to tell the boss you think you could run the service better if you were free of all the public sector trappings. In years gone by, it was almost a sacking offence to suggest such a thing, and certainly detrimental to promotion prospects. On the other side of that coin, many a council felt paternally responsible for the employees and would be reluctant to expose them to a cruel world in which the acid test of profitability would determine success or failure, solvency or insolvency.
Now, it's all change. Sunderland has even taken to calling its staff "tomorrow's entrepreneurs". The term 'privatisation' will no doubt emerge in a pejorative sense, but if employee-owned co-operatives, or mutuals, charities and social enterprises can escape that term, how would it feel to piece together a bid to take over the services that a group of workers currently deliver?
There are a number of areas to consider before placing a bid. In practical terms, there has to be a "willing buyer and a willing seller" so the council must have an appetite for this kind of solution — check the policy before taking the plunge.
Next you need to define the scope of your bid. Is it a whole service, a niche specialism, a statutory duty of the council or a discretionary service?
Willing groups of staff need to think how they are going to band together and prepare a credible, commissionable structure, possibly as a company or co-operative-type society. The settlement of management, leadership and workforce governance will need to be addressed to give confidence to commissioners.
The business plan is fundamental and will require a different mindset. This represents a change from managing a budget to trading in the provision of services. Commercial reality will dictate the size and duration of the contract, but both the council and the employee team need a minimum period for the new arrangement to bed down and become successful. There are all sorts of useful online resources when it comes to writing a business plan, but some useful places to start are The Employee Ownership Association and Local Government Improvement and Development's knowledge bank.
Apparently the intention of all this is to empower public sector employees. Do you think it will do so? After, all empowerment goes beyond passing new legislation; it needs to be backed up with support, expertise and a policy attitude at government and administrative level and this could prove to be the sticking point.
• Ross Griffiths is director of public services at Cobbetts LLP
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