Hundreds of IT staff across five government departments could go on strike during September and October as workers at Fujitsu are balloted for industrial action.
Is this another reason why the public sector should keep work in-house?
HMRC, the Office of National Statistics and the DVLA are some of the government departments that could be hit if a ballot of 750 PCS union members at Fujitsu vote to strike over a pay dispute.
If strikes result in Fujitsu missing service agreements it could face financial penalties.
But what about the customer? It is suffering as a result of a service provider's inability to sort out a pay deal with staff.
The PCS union says because Fujitsu has met or exceeded performance targets senior managers are enjoying bonuses in excess of £14,000 in some cases it is only offering staff rises of between just 1.5% and 2.5%, well below the rate of inflation.