NY set to replace IT consultants with state workers

As many as 500 new state IT jobs may be created under a new in-sourcing program that was recently approved by the legislature and backed by Gov. David Patterson.

This law creates "term appointments" for state IT workers, which strip away some hiring and firing rules that apply to permanent workers. The maximum tenure for "term appointments" is five years.

The state estimates that it can save approximately $25,000 annually for each contracting position that is shifted to the state payroll. The annual savings is pegged at as much as $15 million, but that estimate is contingent on whether the contracted positions can be replaced.

"I think most managers here would be very happy if we didn't need to outsource," said Mark Leinung, deputy director for state operations, said yesterday in a presentation to state managers that was made available on the Web.

The state may still turn to outsourcers in cases where it lacks the expertise needed for certain jobs, said Leinung. However, he added that the state plans to use some of the money saved to boost its IT training programs.