PTD Meeting Notes Title of Meeting Date of Meeting Meeting Location Attendees 18 May 2011 Work Programme PTD

Update Meeting Supplier Name: Serco

Mayfield Court, Sheffield DWP: [redacted] Serco[redacted]

Record of Discussion

Parent Company Guarantee (PCG) [redacted] advised the Serco attendees that DWP expect Serco to sign a Parent Company Guarantee. [redacted] confirmed that Serco are progressing the PCG through their internal governance. Serco have some concerns regarding the lack of limits on liabilities particularly regarding the termination after 30 months. [redacted] confirmed that Serco are on schedule to sign the PCG within the first two weeks of June in readiness for delivery within the agreed timescales. [redacted] advised that Serco need to provide DWP with tangible evidence of their working capital. This information needs to include a breakdown of how individual cost lines will change significantly. [redacted] confirmed that this information is required for audit purposes. AP1 [redacted] to send an email to Serco (copied to [redacted] ) detailing the level of financial information required. Changes to Contract [redacted] informed attendees that Sercos changes to the contract have been reviewed and DWP are satisfied that the changes do not materially adjust their tender. AP2 - [redacted] will send a letter [redacted] to formally accept the changes to the contract. AP3 - [redacted] and [redacted] agreed to formalise the changes into an addendum which will form part of the contract. Information for the Order Form [redacted] confirmed that Serco are currently consolidating the required information for the Order Form. AP4 - Once finalised, this information will be sent to [redacted] by COB on Friday 20th May. Provider Guidance

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[redacted] confirmed that the final version of the Provider Guidance will be issued on Friday 20th May. [redacted] advised that Serco will then undertake an internal review of their processes to ensure that they are aligned with the guidance. [redacted] highlighted that any substantive changes to the Provider Guidance may result in additional costs for the Provider and that this cost would need to be absorbed. Update/Progress Report [redacted] confirmed that Serco and their subcontractors are all on track to agree their delivery sites. [redacted] informed attendees that Serco have delivered a Provider Event in Birmingham (16/05) and will hold another event in Sheffield (19/05) to ensure all subcontractors are able to start delivery from day one. [redacted] confirmed that all their subcontractors submitted their completed Provider Readiness stencils by the 3rd May. Serco then distributed the stencils to the relevant expert/centre of expertise e.g. Quality to review and apply a RAG rating to each of the issues. Serco have identified conclusions and produced action plans to share with their subcontractors. Serco will hold one-to-one meetings with their subcontractors to support all providers going forward. Contract Signature [redacted] highlighted the following issues which could impact on the successful implementation of the Work Programme: 1) the need to close negotiations on the termination of FND contracts 2) the impact of TUPE on Work Force planning across Serco and their subcontractors welfare to work provision 3) the need for a firm understanding on where the customer flows will come from and the possibility of stockpiling customers. [redacted] advised that at their Provider Event in Sheffield on 17th May concerns were raised around TUPE. Serco have been asked to provide absolute clarity from DWP on how they will ensure all the TUPE issues are resolved. AP5 - [redacted] agreed to liaise with colleagues on the 1st point raised. [redacted] agreed to highlight issues 2 & 3 with the relevant business leads. [redacted] advised that he and [redacted] have met with [redacted] and [redacted]

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to discuss implementation. [redacted] sent [redacted] a request to produce a report for the Implementation Dashboard[redacted] has suggested that he continues to produce the current Dashboard Report - with a change of emphasis on provider premises. [redacted] is awaiting a response from [redacted] regarding this suggestion. AP6 - [redacted] agreed to liase with [redacted] and [redacted] l to discuss this information requirement and the coordination of requests from DWP. [redacted] confirmed that Sercos CPA Engagement Meetings have been well received. AP7 [redacted] agreed to send [redacted] an update note/outcomes from the CPA Engagement meetings. [redacted] advised that although Serco are progressing some issues with the Terms and Conditions they are still on track for contract signature by the beginning-mid June. [redacted] suggested that we have a short update meeting during W/C 23rd May to review progress. AP8 - A[redacted] to confirm the details of the next meeting with the relevant attendees. Action Points AP 1: [redacted] to send an email to Serco (copied to [redacted] ) detailing the level of financial information required. AP 2: [redacted] will send a letter to [redacted] to formally accept the changes to the contract. AP 3: [redacted] and [redacted] agreed to formalise the changes into an addendum which will form part of the contract. AP4: [redacted] confirmed that Serco are currently consolidating the required information for the Order Form. Once finalised, this information will be sent to [redacted] by COB on Friday 20th May. AP5: [redacted] [redacted] agreed to liaise with colleagues on the 1st point below. [redacted] agreed to raise issues 2 & 3 with the relevant business leads: 1) the need to close negotiations on the termination of FND contracts 2) the impact of TUPE on Work Force planning across Serco and their subcontractors welfare to work provision 3) the need for a firm understanding on where the customer flows will

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come from and the possibility of stockpiling customers. Serco have been asked to provide absolute clarity from DWP on how they will ensure all the TUPE issues are resolved. AP6: [redacted] agreed to liase with [redacted] and [redacted] to discuss the information requirement (request from [redacted] to produce a report for the Implementation Dashboard) and the coordination of requests from DWP. AP7: [redacted] agreed to send [redacted] an update note/outcomes from the CPA Engagement meetings. Action Point Owner As indicated Date(s) for Clearance Date recorded As indicated

Author Date Returned to generic Inbox

[redacted]

18/05/2011

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