Similar to outsourcing
, and third party outsourcing
, but has been the term used when the government of Canada
decided to give up certain functions, mostly administrative.
Great for the contractor, who would put in a bid lower than the cost for goverment, but would employ the same persons to do the same work--but each employee would make much less. The contractor would take his, usually big, cut off the top.
An ideological move, studies of its value were not made, but common sense said it would be better than then-current methods.
After a decade of contracting out, and other means of downsizing its workforce, the government of Canada has announced it will have to go on a hiring spree, because "all its employees are about to retire."