Select Committee on Work and Pensions Minutes of Evidence


Examination of Witnesses (Questions 60 - 77)

WEDNESDAY 9 NOVEMBER 2005

MS LESLEY STRATHIE, MR KEVIN BONE AND MR MATTHEW NICHOLAS

  Q60  Natascha Engel: That is not really the question I asked. The question was: how are you deciding on the balance between who gets face-to-face contact and who gets telephone contact. I know you say that it is far more efficient and forms get filled in on time but they do not; often people do not even get through to the call centre and once they do get through they get held on the line for a very long time. You have mentioned numerous times that we are dealing with very vulnerable people; often they do not have access to a telephone, and often they have pay-as-you-go mobiles. The issues are much, much bigger than simply about efficiency savings. The question is, really, how are you making the decision about where it is wise to have Contact Centres. I think everybody would understand that the first contact with the Contact Centre is fine, as long as you have got access to face-to-face if you need it. That is not always true.

  Ms Strathie: You have to start with the learning. Most people prior to this change, prior to Contact Centres and trying to take the claim over the 'phone, rang up and said: "I have lost my job"; "I am unemployed" or "I am sick" or "I have had an accident". We said, before: "Well, you have to come into the office and you will have to collect all these forms, then you will have to take them away and we will give you an appointment, then you will come back"—and everything else that has been explained. So the model does not discriminate; the model now says: "You telephone and you do not get an appointment, you actually start the process of claims-making." People still turn up in our offices that would have just turned up anyway. We explain to them that the claim is taken over the 'phone and we point them to the "warm" 'phone that puts them straight through, and they deal with that there. The people who cannot do that are the people who turn up in our office; they are not the people that try to 'phone, they are the people that turn up and say: "Help me. I am unemployed, I need money." If those people cannot manage that process we have to do it there. I am not going to say, with 75,000 people working for me, that I have nobody in any of those offices that has not said: "You have to do it on the 'phone, and I cannot help you", but that is the learning that we have. The vast majority of customers are very, very happy to do it on the 'phone. You are not happy if you cannot get through on the 'phone, and that has been a real problem in some of the Contact Centres. We all use the telephone for our busy lives and we all know how frustrating it is when you cannot get through—even more frustrating if you do not have money to live on.

  Natascha Engel: I think all of us could continue this conversation; I do not think there is a person here who has not got direct experience, through constituents, where that is not the case. The "warm" 'phones in the face-to-face centres are also an issue; there is no privacy.

  Q61  Mrs Humble: I hope I am not asking a question that you might be going on to. Can you tell me what the average call-back time for getting back in touch with benefit claimants is against the department's target?

  Mr Bone: Our target is two days and it is running at different times in different call centres; a lot of our call centres are actually achieving this—

  Q62  Chairman: What is your best and worst?

  Ms Strathie: Our best is one day and the worst is 10 days.

  Q63  Mrs Humble: I have to tell you I have a constituent who came to see me last week who was told that he would have a call back in 14 days.

  Ms Strathie: That is totally unacceptable.

  Q64  Natascha Engel: But not uncommon, and I think that is the issue.

  Ms Strathie: We need to take that away. I could quote you worse than 14 days in the summer time when we first hit this problem and how we identified it. I can tell you how we identified it, and that was because all customer complaints that come up through an escalated route ring on a 'phone in my office, in the Chief Executive's office, and are handled there first before they are handed over to people who deal with them. That is how we knew we had a major problem at that point, and it was worse than 14 days. However, I am very disappointed if we still have customers receiving that sort of information now.

  Q65  Mrs Humble: Do you backdate the benefit to the initial contact? If somebody has to wait an inordinate length of time—

  Ms Strathie: Yes.

  Q66  Mrs Humble: Reassure me, please, that the claim will be dated from the first contact.

  Ms Strathie: The first contact day, absolutely.

  Q67  Natascha Engel: What happens if the 'phone is not answered, because that has been a really big issue as well? There are lots of cases where X% of calls get left on the 'phone until the 'phone either goes dead or it does not answer and people give up, at which point people are paying while they are hanging on. There are lots of cases where the 'phone is not even picked up at all. How can you prove that you have tried before to make contact and have your claim backdated?

  Ms Strathie: The regulations would allow that we take the claim from the first contact and we consider the first day of unemployment—bearing in mind unemployment is an active state and not a passive state, and so one has to prove that one was actively seeking and fit for work on each of those days. If someone gets through and they have been unemployed for a week and they say: "I have been trying to get through to your Contact Centre" then that would be a process of a delayed claim that proved the active state for that period. Am I right or am I wrong that we would have evidence to support whether or not we were handling those calls, on management information, to know whether that was accurate or not?

  Mr Nicholas: Yes, if someone could not get through on the 'phone and came into one of our offices saying: "I want to make my claim today. I cannot get through on the 'phone. I want today to be established as the first day", then we would have the evidence that that was the first day—

  Q68  Natascha Engel: So that is what they would have to do; they would have to go to an office and say: "I can't get through on the 'phone"?

  Mr Nicholas: But we do have to repeat that over the last months since the worst part of the summer our record on answering calls has got enormously better. In October we were taking 94% of calls straightaway, which is above what most call centres would expect to do, which means we are now answering the calls. That was not the case but there has been a massive improvement.

  Q69  Natascha Engel: The other very big issue is that the number to call is often an 0845 number, which is the local call rate. I am back to my point that many of these people do not have telephones or have pay-as-you-go mobiles and are paying a huge amount of money when they are left waiting. There is a large number of people who are left waiting on the 'phone. Why is it not always free?

  Ms Strathie: Because basically nothing we deliver is a free good. This was a long debate in the development of this programme, as to whether we had pay 'phones, as to whether we called back mobiles, etc, and the cost of all of that. One of the things we have been looking at now is: is it better or not to get through and get the engaged tone than get through and have all of the dialogue that tells you that we cannot handle you at this point in time, because, especially if you are ringing from a pay-as-you-go mobile, that is an expensive telephone call, and that is one of the issues that we need to face. Were we and others to decide that we were going to deliver all of this free we would simply have to take money from another area of business.

  Q70  Michael Foster: Why does it have to be an 0845 number? On most packages that is the most expensive. Most of us have heaps of free minutes on our 'phones for which we pay nothing if we ring an ordinary number; if we ring 0845 we actually pay. For many customers that is a real problem.

  Mr Bone: One of the reasons an 0845 number is used is because you can use that number nationally and it will route into the closest call centre, whereas if we did not use an 0845 number you would have to have different numbers for the different call centres. One of the things we want to do with our telephony in the future is move to a virtual call centre network so that we can handle the calls across all our network of call centres rather than going to individual ones. That is the main reason.

  Q71  Natascha Engel: There has been some concern expressed that once you shifted everything to your virtual centres by 2008, where your first point of call is the Contact Centre, this might then, as a cost-cutting measure, be hived off abroad so that the call centres are closed down. I am sure you have heard this before. Can you reassure us that that will not happen?

  Ms Strathie: Absolutely not, because it would not be a decision for us. If that were the case, going back to the earlier conversation, what Jobcentre Plus is there to do is agreed by Ministers—what we directly deliver, what we contest, what we out-source. You know how much we already spend on our programmes through third-party provision. I have no idea what the future will be and what Jobcentre Plus will be asked to deliver directly long-term, but I suppose we would all be surprised if it was off-shored, given we are a public service.

  Q72  Chairman: Do you have the authority to offshore it?

  Ms Strathie: No. We are the delivery arm of the department, we provide services to our sister businesses in DWP and we provide services to lots of other government bodies, like local authorities. Therefore, we do what we are asked to do and as agreed by Ministers. If Ministers decided they no longer wanted Jobcentre Plus to deliver elements of that business then we would have to manage that through, but we would not make those decisions.

  Q73  Michael Foster: I really hope this Contact Centre issue is a historic problem. CMS3, I understand, is coming this week. Incidentally, on CMS, before we leave it, the problem was the screens just went blank—I have sat behind people and seen them go blank—so the idea that it was just a blip is nonsense. We are going to hear more about that anyway. What I really want to ask about is for the future. Do you now have the resources to make sure these Contact Centres work? I put to you this figure: I was told from an internal memo in the Hastings centre that there was a capacity for 2,000 calls (I do not know whether that is a day or a week) but the actual numbers coming in were 8,000. So it was planned to fail. Are you now in a position to say that your schemes are planned to work?

  Mr Bone: Yes, we are. I think, probably, part of the reason you may have seen the figure of 8,000 calls received was because, as Lesley was pointing out, people were not getting through so you were getting repeat calls coming in, and each one of those repeat calls is registered as a call to the centre. In fact, what we have got from the statistics from our switches in the call centres are that since we put our action plan in place, since that problem in late August/early September, the number of calls to the call centres has reduced, as we are answering those and people are not calling back.

  Q74  Michael Foster: The reason for that, first of all, is that the redial option is not the answer because that does not even get recorded, because the redial only happens if you actually get through, so that is not part of it. The reason that you are now coping is because you are doing it clerically. That is the reason you are coping in areas like Hastings—the only reason you are coping. Can you give me an assurance that you will not abandon the clerical options until you are absolutely satisfied that the Contact Centres are working efficiently?

  Ms Strathie: Absolutely. We can guarantee we will not abandon any option that delivers service to the customer where we build this capability. That has been part of our learning. I can give you that guarantee.

  Q75  Michael Foster: So the sort of eight-week period before you get an interview is a thing of the past and will never happen again. Is that right?

  Ms Strathie: I sincerely hope so. I was appalled, when I was talking about earlier in the summer, when I found out some of the dates that people were being given to make their claim. I sincerely hope that is something we do not live through again. What I do want your appreciation of, though, is that we are only halfway there; we are only halfway to building this. We have to do it in a way the private sector would not; we have to do it by temporary staff, by seat-warming, until other staff become free and we move them. We have to train people to do a job that was not the job they were joined to do. So this is not like I am straight, we have sorted the problems and it is there. We are building the other half of the Contact Centre Network and capability.

  Q76  Michael Foster: I am an optimist.

  Ms Strathie: Thank you.

  Q77  Chairman: I think we have come to the end of our time. We do have three or four further questions we would like an answer to, in writing, if you can. In closing can I ask you: assuming we invite you back in 12 months' time, what is the one thing you want to have achieved in those 12 months?

  Ms Strathie: I want my customers to be saying: "Is it now so much easier to make a claim for benefit and get help into work than it used to be?"

  Chairman: Thank you very much.





 
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