Staff Presentation25th November

David Melvin

Operations Director

www.cordia.co.uk

Agenda

• Council’s and Cordia’s voluntary redundancy proposals

• Cordia’s financial position, year to date• Budget options for 2010/2011• Attendance management strategy• Office rationalisation• New Business

– Concert Hall, Fruit Market, City Halls– Stairlift - EquipU

www.cordia.co.uk

Council’s Voluntary Redundancy

PackagePHASE 1 - 1st December 2009 – 31st March 2010

Early Leavers Under 50 or Over 50 with No Pensionable Service

Years Service Redundancy Weeks

2 or more years up to 30 years Ranges from 2 weeks to 66 weeks

Early Leavers Over 50 with More Than 5 Years Pensionable Service

Years Service Redundancy Weeks Added Years

2 or more years up to 21+ years

Ranges from 3 weeks to 30 weeks

Ranges from 0 to 6 and 2/3 added years

PHASE 2 - From 1st April 2010

Early Leavers Under 50 or Over 50 with No Pensionable Service

Years Service Redundancy Weeks

2 or more years up to 30 years Ranges from 2 weeks to 66 weeks

Early Leavers Over 50 with More Than 5 Years Pensionable Service

Years Service Redundancy Weeks Added Years

2 or more years up to 21+ years

Ranges from 3 weeks to 30 weeks

Ranges from 0 to 4 added years

www.cordia.co.uk

Cordia’s Voluntary Redundancy

PackagePHASE 1 – 1st December 2009 – 31st March 2010

Early Leavers Under 50 or Over 50 with No Pensionable Service

Years Service Redundancy Weeks

2 or more years up to 30 years Ranges from 2 weeks to 66 weeks

Early Leavers Over 50 with More Than 5 Years Pensionable Service

Years Service Redundancy Weeks Added Years

2 or more years up to 21+ years

Ranges from 3 weeks to 30 weeks

Ranges from 0 to 6 and 2/3 added years

PHASE 2 – From 1st April 2010

Early Leavers Under 50 or Over 50 with No Pensionable Service

Years Service Redundancy Weeks

2 or more years up to 30 years Ranges from 2 weeks to 66 weeks

Early Leavers Over 50 with More Than 5 Years Pensionable Service

Years Service Redundancy Weeks Added Years

2 or more years up to 21+ years

Ranges from 3 weeks to 30 weeks *(based on Statutory Redundancy Weeks)

Ranges from 0 to 4 added years

www.cordia.co.uk

Outturn Projection Based on Figures at Period 8 – 9th

October 2009     PERIOD 8    OUTTURN

CORDIA (SERVICES) LLPActual Budget Variance   Actual Budget Variance

£000 £000 £000   £000 £000 £000

                 

INCOME   77,262 75,635 1,628   150,020 146,204 3,816

                 

EXPENDITURE    

Payroll 81% 62,310 60,812 -1,498   119,307 115,485 -3,821

Property Costs 2% 1,182 1,060 -122   2,334 2,099 -235

Supplies and Services 11% 8,670 9,017 347   19,067 19,756 689

Transport 2% 1,911 2,031 120   3,828 3,896 69

Third Party Payments 0% 386 329 -57   761 574 -187

InterDept Allocs 0% 0 0 0   1 -0 -1

Central Charges/Fin Charges 3% 2,155 2,155 -0   4,061 4,061 1

Depreciation 0% 17 17 0   32 32 -0

Total Expenditure 99% 76,631 75,420 -1,211   149,390 145,904 -3,486

                 

Net Profit / Loss 1% 631 214 417   630 300 330

Profit Distribution   32 32 0   0 0 0

Transfer to Reserves   599 182 417   630 300 330

www.cordia.co.uk

Total Budget Saving 2010 – 2011 - £3m

Service Reform 2010/11 Staff

Home Care Co-ordinators £600,000 60

School Kitchen Review £600,000 46

Attendance Management £400,000 -

Public Holiday Reform £375,000 -

TOTAL SERVICE REFORM £2,075,000 106

Service Efficiencies 2010/11 Staff

Blair Court Property Costs £81,000 -

Encore Staffing Review £66,000 1

Communication Review (phones) £130,000 -

Education Catering Efficiencies £110,000 -

TOTAL SERVICE EFFICIENCIES £387,000 1

www.cordia.co.uk

Total Budget Saving 2010 – 2011 - £3m

(continued)

New Business Profit Turnover

Encore £164,000 £2,950,000

EquipU £124,000 £2,100,000

LDC Training £100,000 £200,000

ICT £65,000 £145,000

TOTAL NEW BUSINESS £453,000 £5,395,000

TOTAL SAVING STAFF

SAVING £2,915,000 107

www.cordia.co.uk

Attendance Management Strategy

• Awareness campaign• Employee engagement• Communication• Attendance management team• Attendance management

procedures• Data management• Attendance recognition scheme

www.cordia.co.uk

Office Rationalisation

www.cordia.co.uk

New Business

• Stairlift Contract – EquipU– £2.1m turnover– 2 new staff– 1 January 2010

• Concert Hall, Fruit Market, City Halls– £2m turnover– 17 new staff, permanent– 100 temporary staff– 1st April 2010