Select Website 

Recruitment Directory's Blog - Australia's #1 Recruitment Technology Blog!

Back to Menu Back to Menu

Federal Government adopts Gershom Review

Posted By: Thomas Shaw, 2:59pm Tuesday 25 November 2008    Print Article

Itís hard enough to find skilled candidates for IT roles in Canberra, but the Federal Governments adoption of the Gershom Review doesnít make much sense. Canberra is a nice place. But... I couldn't live there permanently.

It's official: Govt backs Gershon "in full" - ZDNet Australia
http://www.6rec.com/vpzi

Government devastates contractors, vendors and recruiters with Gershon approval - iTWire
http://www.6rec.com/3nyo

"The IT contracting and recruitment industries, as well IT vendors, already reeling from the economic downturn, have been dealt a devastating body blow by the Federal Government's decision to implement in full the recommendations of the recent Gershon Review. Contractor numbers will shrink by half and Government ICT spending will be slashed by more than half a billion over the next three years."

The Government is trying hard to cut costs, but at the expense of the highly skilled and talented IT contractors.

"The review claimed that up to 20 per cent of staff in some agencies had been converted from permanent to contractors, which affected agencies' skill base but also posed a risk since contractors stood outside the standard performance management system. Gershon estimated that 23 per cent of the government's current ICT workforce was contractors."

IT Recruitment Agencies would have already started to consult with the Government and Contractors about the changes. This might actually be a windfall for those agencies who need the upfront cash $ from the conversion.

Smaller agencies that have a large contracting book sheet will be the hardest hit, and they will take a long time to recover from the contracting margin loss.

Peoplebank bought Ambit for $100 million, which derives 97% of its business from IT contracting with a strong focus on the Government sector


Article URL: http://www.recruitmentdirectory.com.au/Blog/federal-government-adopts-gershom-review-a8.html

Article Tags:

Comments Hide Comments (0)

Feel free to join in on the conversation. All comments are moderated before publishing. Comments posted by subscribers don't necessarily reflect the views of Recruitment Directory.

Your Name: * Required
Your Email Address: * Required
Website URL:
Comments: * Required
Refresh
Enter the code you see in the image above (case sensitive). Click on the image to refresh it.
 


Back to Menu Back to Menu



Random Blog Articles

Chat and IM use for Recruiters
Published: 7:00am Tuesday 24 February 2009

Give your resume the FLICK
Published: 11:42am Monday 27 July 2009

Hunting The (Hidden) Hunters Report by CareerOne
Published: 3:03pm Thursday 05 March 2009

Email Marketing Tips for Recruiters
Published: 2:57pm Wednesday 14 January 2009

Surviving a Redundancy - 10 strategies to get yourself and your career back on track
Published: 3:34pm Tuesday 19 May 2009