Contract

Payroll Services for Contingent Labour

  • Post Office Limited

F03: Contract award notice

Notice identifier: 2024/S 000-017657

Procurement identifier (OCID): ocds-h6vhtk-046e22

Published 6 June 2024, 5:40pm



Section one: Contracting authority

one.1) Name and addresses

Post Office Limited

100 Wood St

London

EC2V 7ER

Email

Procurement@postoffice.co.uk

Country

United Kingdom

NUTS code

UK - United Kingdom

Internet address(es)

Main address

http://www.postoffice.co.uk

Buyer's address

http://www.postoffice.co.uk

one.4) Type of the contracting authority

Body governed by public law

one.5) Main activity

General public services


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Payroll Services for Contingent Labour

Reference number

C102348

two.1.2) Main CPV code

  • 79631000 - Personnel and payroll services

two.1.3) Type of contract

Services

two.1.4) Short description

Provision of payroll services for payment of legacy contingent labour resources until 31/03/25.

two.1.6) Information about lots

This contract is divided into lots: No

two.1.7) Total value of the procurement (excluding VAT)

Value excluding VAT: £23,000,000

two.2) Description

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement

Provision of payroll services for payment of legacy contingent labour resources from 01/04/23 to 31/03/25. There was a contract between Intelligent Resources Ltd and Post Office which came to an end 31/03/23. Following a competition under Crown Commercial Services Non-Clinical Temporary and Fixed Term Staff Framework RM6160 ? Lots 2&3, a new Contract was awarded to Morson Human Resources Ltd t/a Morson Talent, with effect from 01/04/23. There were c150 of the Intelligent Resource Ltd resource that could not transfer to the new Contract with Morsons because of exclusive rights that Intelligent Resources Ltd had in the Contract with Post Office. A direct award under Regulation 32(b)(iii) - protection of exclusive rights, including intellectual property rights was made to Intelligent Resource Ltd to provide payroll services for the payment of the legacy resources that were required to continue with Post Office.

two.2.5) Award criteria

Price

two.2.11) Information about options

Options: No

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No


Section four. Procedure

four.1) Description

four.1.1) Type of procedure

Award of a contract without prior publication of a call for competition in the cases listed below

  • The services can be provided only by a particular economic operator for the following reason:
    • protection of exclusive rights, including intellectual property rights

Explanation:

This contract has been awarded in accordance with the negotiated procedure without prior publication under regulation 32(2)(b)(iii) of the Public Cotnracts Regulations 2015. The services can only be supplied by Intelligent Resources Ltd ("IR") because it has exclusive rights to the contingent labour resources currently delivering services to POL (the ?Resources?). The Resources were engaged to deliver certain assignments for POL (the ?Assignments?) under POLs contract with IR that expired on 31/03/2023 (the ?Old Contract?). The Assignments went beyond the end of the Old Contract but could not be transferred to POLs replacement supplier because IR had exclusive rights to the Resources. On the basis of those exclusive rights, POL could not secure the delivery of the Assignments by the Resources with any other supplier of contingent labour. POL, therefore, required a further contract be awarded to IR to enable the Resources to continue with the Assignments until the completion of those Assignments. There is no reasonable alternative to awarding the contract to IR because POL could not change the Resources that were delivering the Assignments without causing substantial disruption to its business. The Assignments were required to cover projects of strategic importance to provide support on New Branch IT (Information Technology) (NBIT) and the statutory Inquiry. It would not have been reasonable for POL to have changed the contingent labour that is delivering the Resources. Because IR had its exclusive rights over the Resources, there were no reasonable alternatives to the award of the contract to IR. The absence of competition is not caused by an artificial narrowing of the parameters of the procurement because POL has ensured that all resources that could feasibly be transferred to its replacement supplier have been transferred. Only the Resources to which IR has exclusive rights have been retained for the contract and only for the period of the Assignments.

four.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: Yes


Section five. Award of contract

Contract No

C102348

Title

Payroll Services for Contingent Labour

A contract/lot is awarded: Yes

five.2) Award of contract

five.2.1) Date of conclusion of the contract

28 June 2023

five.2.2) Information about tenders

Number of tenders received: 1

Number of tenders received from SMEs: 0

Number of tenders received from tenderers from other EU Member States: 0

Number of tenders received from tenderers from non-EU Member States: 0

Number of tenders received by electronic means: 0

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor

Intelligent Resource Ltd

First Floor, Clifton Down House, 54a Whiteladies Road

Bristol

BS8 2NH

Country

United Kingdom

NUTS code
  • UK - United Kingdom
The contractor is an SME

No

five.2.4) Information on value of contract/lot (excluding VAT)

Total value of the contract/lot: £23,000,000


Section six. Complementary information

six.3) Additional information

The Contract is to cover for a period of 24 months (01/04/23 - 31/03/25) for payments to be made to a legacy cohort of contingent labour for various roles providing services to Post Office. The forecast spend is an estimate as Post Office does not have precise forecasts for the period.

six.4) Procedures for review

six.4.1) Review body

High Court

Royal Courts of Justice, The Strand

London

Country

United Kingdom