Streamlining contract terms between primes and sub-contractors to prevent unnecessary costs on the Work Programme, will be one of the key issues the Employment Related Services Association (ERSA), will be taking forward to the board which operates the Merlin Standard.

The ERSA lobbies on behalf of those working in the employment services sector – around 50 per cent of its membership are charities.

It has recently developed a group which aims to improve the experience of sub-contractors on the Work Programme and other employment services contracts.

The first meeting of the group, the Supply Chain Forum suggested there were concerns about Department for Work and Pensions (DWP) terms being passed down the supply chain which may not always be appropriate for sub-contractors.

Kirsty McHugh, chief executive of ERSA explained: “Some sub-contractors reported incurring higher than necessary costs due to different contract terms presented to them by prime contractors, which could have been reduced by some standardisation.

“As an immediate priority, the forum will therefore explore whether it is possible to streamline contract terms to improve the experience for sub-contractors.”

Attendees at the meeting also reported having to fill in multiple expression of interest forms for every single prime contractor. In response, the Forum will also explore whether there is some scope to introduce some element of standardisation.

Evidence from the Forum will be used to help inform and shape the development and operation of the Merlin Standard – a code of practice for those in the welfare-to-work industry, via ERSA’s membership of the Merlin Board.