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September 5th 2006

Britain: trade unions ready for action against privatisation of health service logistics

The British government has signed a 10-year contract with private parcels company DHL to take over supplying the health service with its needs – from cereals to syringes – in a move worth £1.6bn pounds to the private outfit.

The move will hand over hundreds of workers and a highly successful public service in NHS Logistics to the private sector.  Members of the trade union UNISON are currently being balloted on strike action against the privatisation. The result of that ballot is likely to be known next Monday.

If they vote yes, it could be the biggest industrial action over privatisation in the NHS’s history.

NHS Logistics is a not-for-profit organisation supplying hospitals, GP surgeries and patients with more than 43,000 items including essential surgical supplies and products ranging from aerosols and arrowroot to zinc and castor oil. If it makes a surplus, the money is put into frontline health services

“UNISON members are proud to work for the NHS and feel betrayed by a government that is handing them over to DHL, like one of the packages they deliver,” commented general secretary Dave Prentis.

“It is an award-winning organisation delivering a first class service. The government’s decision to privatise it is driven by pure dogma and an obsession with market testing.”

The union’s head of health Karen Jennings added: “This is a very sad day for the NHS. The government has not listened to the workforce or to reason. Staff across the NHS will be watching this privatisation deal, which will be viewed by many as symbolic of what is to come.

“Why break up a winning team like NHS Logistics and sell it off to a German parcel company? It makes no sense when there is no doubt that NHS Logistics is an NHS success story. We will fight back to keep these jobs in the NHS.''

Members balloted for strikes are based at distribution centres in Alfreton, Derbyshire, Runcorn in Cheshire, Normanton in West Yorkshire, Maidstone in Kent and Bury St Edmunds in Suffolk.

NHS workers march against privatisation

The trade union GMB, which has members in DHL as well as in the NHS, is also opposing the privatisation.

Sharon Holder, GMB National Officer for GMB members in the National Health Service and Mick Rix, GMB National Officer for GMB members in DHL, issued the following joint reaction to the announcement that the Government intend to transfer NHS Logistics to DHL as follows:

“GMB as a recognized union in both the NHS and DHL have been aware for some months that something along the lines of these plans has been under consideration. The announcement of the plan to privatise NHS Logistics makes explicit the Governments intention to dismantle the NHS bit by bit. It is part of the creeping, ill-thought out privatisation of health services, such as Private Finance Initiatives (PFIs), which has cost the NHS billions of pounds more than if these projects had been kept 'in-house'.

“GMB will support members who want to take action to defend the NHS. As the main union in DHL we will seek common ground with GMB members in the NHS.”

DHL will manage around £22 billion worth of NHS spending in England, setting up a division called NHS Supply Chain, responsible for delivering 500,000 products to 600 hospitals and other health providers.