Balancing the tensions between the need for profit and worker welfare in government outsourced companies: a case of one KwaZulu-Natal provincial government department

Outsourcing is adjudged to be service-effective and cost-saving contemporary human resource practice for both private and public organisations. However, the process is also perceived to be exploitative owing to the incessant complaints from the outsourced workers, particularly in the public sector. Using the theoretical lens of resource dependency theory, this study analyses the general condition of service of outsourced workers in a public department. The authors applied a mixed methodological approach for data gathering and analysis. Findings suggest that there were disparities that promote inequalities among the workforce at the KwaZulu-Natal Provincial Department. The authors, therefore, argue that, beyond cost-effectiveness, human resource outsourcing policy needs to be reviewed to reduce the disaffections among categories of staff in the same organisation. The paper, in conclusion, advocates for labour policy review to address the plight of outsourced workers to lessen the inequalities in the public workplace and improve the welfare among categories of staff whether internally or externally sourced.

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Publication Details

Journal
International Journal of Public Sector Performance Management
Published
2024-11-13
DOI
https://doi.org/10.1504/ijpspm.2025.10067823
Primary Topic
Legal Issues in South Africa
Type
article
Field-Weighted Citation Impact
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article

Balancing the tensions between the need for profit and worker welfare in government outsourced companies: a case of one KwaZulu-Natal provincial government department

Zamazulu Mthembu, Oladimeji Ashade, Sybert Mutereko
International Journal of Public Sector Performance Management
Legal Issues in South Africa
article

Balancing the tensions between the need for profit and worker welfare in government outsourced companies: a case of one KwaZulu-Natal provincial government department

Zamazulu Mthembu, Oladimeji Ashade, Sybert Mutereko
article en

Abstract

Outsourcing is adjudged to be service-effective and cost-saving contemporary human resource practice for both private and public organisations. However, the process is also perceived to be exploitative owing to the incessant complaints from the outsourced workers, particularly in the public sector. Using the theoretical lens of resource dependency theory, this study analyses the general condition of service of outsourced workers in a public department. The authors applied a mixed methodological approach for data gathering and analysis. Findings suggest that there were disparities that promote inequalities among the workforce at the KwaZulu-Natal Provincial Department. The authors, therefore, argue that, beyond cost-effectiveness, human resource outsourcing policy needs to be reviewed to reduce the disaffections among categories of staff in the same organisation. The paper, in conclusion, advocates for labour policy review to address the plight of outsourced workers to lessen the inequalities in the public workplace and improve the welfare among categories of staff whether internally or externally sourced.

International Journal of Public Sector Performance ManagementVol. 15(1)
Lagos State University (NG), Rhodes University (ZA), University of KwaZulu-Natal (ZA)
Decent work and economic growth
Openalex Percentile: Top 63%
Legal Issues in South Africa
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