This article draws on findings from two longitudinal case studies of voluntary organisations engaged in delivering social care services via purchaser -provider relations with local authorities. The study focuses on changes to contractual relations, employment conditions in provider organisations and service quality. The article argues the influence of the market on these changes can only be adequately comprehended by rooting the analysis in an understanding of the way in which surrounding regulatory frameworks shape its structure and operation. In doing so, it reveals how in an era of shifting market conditions characterised by greater competition and dramatic local authority cuts, a 'soft' regulatory framework offers little support to partnership relations between voluntary organisations and local authorities.Instead, the regulatory environment undermines financial security among voluntary organisations, degrades employment conditions in them and raises concerns regarding their service quality.
Regulation, social care, outsourcing, employment conditions, voluntary organisations IntroductionThe purpose of this paper is to explore the way in which regulatory frameworks shape the structure and operation of the Scottish social care market place and hence influence purchaser -provider relations between local authorities and voluntary sector providers of social care.Previous studies have pointed towards how New Public Management (NPM) has shaped social care markets and thereby prompted detrimental changes to the terms and conditions of 2 employment of workers in voluntary sector providers due to competition and pressures on public sector budgets and price. The same studies have highlighted more tentatively subsequent detrimental consequences for service quality outcomes (Baines, 2004: Cunningham, 2008: Cunningham and James, 2011.Using a longitudinal analysis of two voluntary sector organisations, this paper provides a different conceptual lens through which to explore the employment outcomes flowing from purchaser-provider relations in social care. In particular, it adopts a framework of analysis under which public service outsourcing is conceptualised as a 'regulatory', as well as a 'market', process. That is an approach which recognises the value of theoretical perspectives which acknowledge that the advance of the market does not wholly replace state regulation but rather involves a reconfiguration of regulatory roles, forms and relationships in a way that enhances the position of some (market-based) actors and reduces that of others Martinez-Lucio, 2004 and2005). In adopting this conceptual framework, the paper has three main concerns. The first is to explore how market mechanisms and regulation have changed the economic fortunes of voluntary sector organisations. The second is to investigate the implications of these changing fortunes for employment relationships in voluntary organisations. Finally, the last is to examine the degree to which they are associated with detrimental changes to service quality...