Motion 51
Arms Length External Organisations (ALEOs) & Council Oversight
“That this Congress notes that ALEOs are separate legal entities, established by councils to deliver public services like leisure, housing, and economic development. While operating independently with their own management boards, councils retain control and influence.
“Congress believes we need a focus on those ALEOs, whose management style is straight out of the Elon Musk school of management, where the councils are not utilising any control or influence through the funding, contracts and shareholding, to call out bad practice, anti-trade union policies, and Health and Safety issues.
“Congress notes there has been a proliferation in the use of ALEOs in Scotland and about 130 are estimated to be currently operating in the country, with an annual spend of £1.3bn.
“ALEOs are falling out of favour in some authorities, with Glasgow City Council having opted to bring social care and facilities management, as well as community safety, back in house.
“Congress believes councils should review how existing ALEOs are performing and if they fit with the council and communities’ priorities and Fair Work First policies.
“Congress calls on the General Council to campaign to have these organisations revert back to the full control of the council responsible where ALEOs are found to be acting in a manner that breaches Fair Work First policies”
Mover: Fife Trades Union Council
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