CSC’s success in winning the Ministry of Defence contract to provide back office services has been met with threats of industrial action from the Public and Commercial Services Union (PCS).

The decision by the MoD to select CSC as the preferred bidder based on the companies’ ability to meet the obligations of the contract as the lowest bidder has led to worries that the cost savings will be achieved through reducing staffing costs.

PCS has raised the possibility of industrial action at the expected job losses from the implementation of CSC’s cost saving strategy. The union has said that it plans to hold meeting over the coming weeks and have said that “industrial action cannot be ruled out at this stage.”