MyCSP has appointed Xafinity Paymaster’s Nicola Hurst as its chief executive and is planning redundancies just eight months after its launch.
Hurst, who is also chief operational officer at Paymaster, replaced former senior civil servant Phil Bartlett on 1 January.
Chairman Lord John Hutton confirmed Hurst’s appointment.
“We needed a different chief executive to lead the business through this transitional period. We have an excellent leader in Nicky Hurst,” Hutton told PP.
Hutton revealed the administrator, which was the first service to “spin out” from central government and is staffed by former civil servants, is restructuring its workforce.
It employs 500 workers over seven sites, with principal offices in Worthing, Cheadle Hulme, Liverpool and Newcastle. Support offices in Leeds, Sheffield and Basingstoke, which house 23 staff members, will close.
Hutton said: “We are giving people who want to leave the opportunity to go on good terms. We are looking to do this on a voluntary basis,” he explained.
“All the indications are that the voluntary programme will help us meet our goals as a business.”
The first round of MyCSP’s voluntary releases saw 43 employees leave. A spokeswoman said some workers at the support sites are expected to apply for roles in the main offices.
Hutton stressed the aim was for the business to “grow, not to shrivel”.
He said: “Our model is based on winning new business. That’s going to be a challenge; it’s something we’ve never done before.
“We are reorganising the business, reducing the number of sites we are operating from and upgrading our technology very significantly.”
He acknowledged there were significant differences in public and private sector working.
“We have to see ourselves for what we are now: we’re not a public sector operation, we’re a mutual company operating in the highly-competitive outsourcing sector,” Hutton said.
“Every aspect of what we do is likely to change, but the strength of the mutual model is that our employees are in this with us.”
However, Hutton denied the change of culture was behind Bartlett’s departure.
He said: “Phil did a great job in getting the business to this point. The board was very clear that it was the right time for a change in leadership.
“We are very grateful to Phil, but we felt we had come to this moment in the life of the business where we needed to accelerate the process of change. It was a natural break point.”
MyCSP is a three-way mutual between HM Treasury, Xafinity Paymaster and its workforce, with each partner holding 35%, 40% and 25% respectively.
In addition to its contract for the Principal Civil Service Pension Scheme, the company has contracts with 15 further public sector clients, including the House of Lords, Competition Commission and Food Standards Agency schemes (PP Online,15 June 2012).
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