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The third sector and social enterprises are just pale imitators of the real thing. The Government has been promoting the role of the voluntary, community and faith sector in health and social care and championing social enterprises as an alternative to the Public Sector. Voluntary, community and faith – referred to as the third sector is attractive because such organisations are not motivated by profit and so the Government escapes the accusation of privatisation. The trouble is, by their nature, such organisations are small, operate on the good will of volunteers and are not businesslike. Or they are like housing associations – big, professional and not-for-profit but operating like private sector organisations not accountable to local people and frequently not recognising trade unions.
Social enterprises are seen as offering the best of both worlds: the businesslike approach and professionalism of the not-for-profit sector coupled with the commitment to local communities and the social motivation of the voluntary, community and faith sector. A social enterprise operates like a business but employs local people including a high proportion of people with a disability or people who have been long-term unemployed. Employees have a say in how the business operates and this is reflected in the management style and there is a genuine commitment as oppose to a PR exercise to help improve the local community.
But isn't that exactly what the Public Sector was all about before it was told to get competitive and adopt private sector ways and the private sector language of the customers choice and performance. Local authority public services have always been accountable to local people; there has always been a commitment to supporting local communities; there has always been a desire to be a model employer and the motivation has always been to benefit local people.