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Big Deals

A look at some of the biggest HR business-process outsourcing contracts awarded last year:

Thursday, March 9, 2006
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BT and Accenture agreed to a 10-year, $575 million extension of Accenture's original five-year contract to provide HR administrative services to the London-based telecommunications company. In addition to providing HR services to BT's 87,000 employees and 180,000 pensioners in the United Kingdom, New York-based Accenture now provides those services to an additional 10,000 BT employees in 37 countries around the world. Services provided under the new contract include recruiting, pension administration, payroll and benefits administration, performance management, and HR advisory and information services.

Dallas-based Affiliated Computer Services signed a seven-year, $120 million HR BPO contract with Delta Airlines. ACS will provide a broad range of HR functions for the Atlanta-based air carrier, including compensation and benefits administration, relocation services, records management, payroll, HR information services and employee call-center services.

Hewitt Associates signed a seven-year contract to provide HR BPO services to Bethesda, Md.-based Marriott International Inc. Under the agreement, Lincolnshire, Ill.-based Hewitt assumes responsibility for providing workforce administration, benefits, compensation, recruiting, domestic relocation, and learning and development services to Marriott's 133,000 employees. Financial terms of the deal were not disclosed.

Hewitt Associates also signed a deal with specialty materials firm Rohm & Haas in which it will provide HR BPO services, to include payroll, HR service center, leave administration and tuition reimbursement, to the Philadelphia-based company's 12,000 employees in North America. The agreement is in addition to longstanding contracts between the two companies in which Hewitt provides benefits administration and HR consulting services. Financial terms were not disclosed.

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Convergys, based in Cincinnati, inked a 13-year, $1.1 billion deal with Wilmington, Del.-based DuPont to provide workforce planning, compensation management, payroll, integrated health, benefits administration, labor relations, performance management, employee-data management and other services to the chemical-and-plastics firm's 60,000 employees and 102,000 retirees.

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