02.02.12 Two state agencies served notice Wednesday that they want to privatize some of their services by mid-year, moves that could cost more than 200 state employees their jobs. The proposals to outsource some jobs to private contractors were pitched to the state Civil Service Commission by the Office of Student Financial Assistance and three units of the Department of Health and Hospitals.

The commission will not act on the proposals until the agencies return with proposed contacts, indicating how much they cost and how much can be saved for taxpayers.

Melanie Amrhein, executive director of the financial aid office, said the privatizing plan could cost 46 employees their jobs, mainly in student loan collections. She said the agency is allocated 136 positions now and 121 of them are filled.

 

Read the full story at the Times-Picayune.