Leonard Cheshire Disability to cut 100-plus jobs 2

Finance | Tania Mason | 12 May 2009

Leonard Cheshire Disability has opened a 90-day consultation with staff with a view to cutting at least 100 jobs – around 1.5 per cent of its workforce.

The jobs to be cut are expected to be from head office, including fundraising, and the regions, though frontline service delivery staff are not meant to be affected.

Chief executive Eric Prescott (pictured) held a telephone conference with staff on Thursday 30 April to explain the process, and a question-and-answer session the following day.

During the most recent financial year for which accounts have been published, 2007-08, the charity employed 6,500 staff. Staff turnover was less than 20 per cent, and the use of agency temps was reduced by 25 per cent throughout the year.

The charity is not unionised but has a staff association that represents staff in negotiations with management. A source told Charity News Alert that there had been “plenty of to-ing and fro-ing between the directors and the employee council”, but that “nobody really seemed to know what was going on”. Morale was low and “lots of people are jumping before they are pushed,” said the source.

In 2007-08 Leonard Cheshire Disability had total income of £145.3m, unchanged from the year before, and £127.2m (87.5 per cent), came from public service contracts. It also had £122.9m of unrestricted funds in its reserves before the provision of the pension deficit of £6.1m.

The charity declined to speak to Charity News Alert but did not deny the assertion that at least 100 jobs would be cut.
It issued a statement saying it had started a strategic review last November - shortly after Prescott joined as chief executive. Called ‘The Way Ahead’, this programme “aims to help the charity put more of its energy and resources into services and support that directly benefit disabled people”.

As part of the programme, the statement said, Leonard Cheshire Disability is “proposing to make significant changes to its structure and processes”. The charity confirmed it had started a 90-day consultation with staff on 2 April 2009.

Directory: Leonard Cheshire Disability
Who's Who: Tania Mason

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Jay Walker
Fundraiser
Charity
15 May 2009

What interesting finances - fair enough that it's a business - so why not give back the ridiculous reserves to the donors who thought it was charity?

[Reply]

Dangermouse
14 May 2009

As one of those affected by The Way Ahead I can confirm that morale amongst those affected is not low but non-existent. Everyone I know wants to leave and many have already done so or are actively looking.

Six weeks after the consultation period began there is still no definite news on the new structure, who will lose their jobs or how the cuts will benefit people with disabilities. Rumours are rife and everyone is very worried about losing their job in a tough market.

It's all been shockingly badly handled, and I am glad that I've been able to secure a new position as I can't wait to leave. It's a shame because it's a great charity, and I have loved my time there.

Service managers will have a lot of their support systems removed and everything will be centralised. I don't see how that can benefit those who use their services. Yes, money has to be saved, but cutting fundraisers cuts income too, and those who use our services will feel this at some point.

[Reply]

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