The Scottish Ministers have issued guidance to local authorities under section 52 of the Local Government in Scotland Act 2003 on contracting. The guidance applies to any contract which involves a transfer of staff from the local authority to the service provider. It also applies to any procurement in which staff which originally transferred from the local authority as a result of an outsourcing transfer to a new provider. The guidance underlines the need for consultation with the Trade Unions in these situations.
Work is currently underway to revise and update this guidance.