Union claims £1m back-pay victory for HS2 workers

Aaron Morby 6 years ago
Share

HS2 joint venture partners Costain and Skanska have pledged back-pay to hundreds of workers at the Euston site in London to settle a row about overtime pay rates and holiday entitlement.

Unions claim victory in battle over upholding HS2 work rates agreement
Unions claim victory in battle over upholding HS2 work rates agreement

Construction union Unite secured a commitment from the joint venture after its labour only supplier, Bowercross Construction, was exposed for failing to pay around 200 workers on enabling works the correct overtime rates and deprived them of correct holiday entitlement.

Unite said this meant that workers were on average being underpaid by over £100 a week. The union estimates the final back-pay bill could be over £1m.

The issue came to a head last week when Unite revealed that it had obtained multiple payslips from workers that proved they were not being paid in accordance with the project framework agreement,  signed by unions and HS2 in April 2016.

A Costain Skanska joint venture spokesperson said: “Costain Skanska JV  uses approved suppliers to provide labour to some of our sites on the HS2 enabling works programme.

“The workers in question are paid via PAYE and receive full employment rights, which include a minimum of the London Living Wage, EU holiday and sick pay and welfare benefits.

“We have looked into Unite’s report concerning the industry agreement rate for overtime and weekend duty, as well as holiday entitlement. The company concerned has been instructed to remedy this with immediate effect so that we meet our required standards.”

It added: “CSJV remains keen to maintain a working dialogue with Unite to ensure that its members’ views are considered and any concerns can be addressed swiftly.

“We have offered Unite access to site inductions where they can recruit members, as well as a suitable meeting room for recruitment and member engagement purposes, so that people working on our sites can choose how to spend their break times.”

It is the second time unions and BCL and CSJV have clashed.

Last autumn Unite discovered that contrary to the agreement, BCL was not paying £1.49 a week per worker to provide the correct accident and death benefit cover.

When the CSJV was challenged on this matter it not only assured Unite that the issue had been resolved but also confirmed they had conducted an extensive audit costing £60,000 of its subcontractors and all other matters were in order.

Unite national officer Jerry Swain, said: “CSJV had no option once the scandal of the underpayments was revealed by Unite to immediately ensure the correct rates are paid.

“Questions remain about who knew and for how long; workers were being underpaid and exploited.

“The commitment to not only pay the correct rates but also ensures that everyone who has been underpaid will receive the correct back pay, demonstrated the value of unions.”

 

Latest news

Breyer Group battles for survival as rivals circle

Housing maintenance firm fights three winding up petitions in a month
5 hours ago

Careys facing £2.4m claim by developer over demolition cartel

Giant Hong Kong developer claims it was overcharged on Lots Road Power Station job
5 hours ago

Lendlease Construction renamed Bovis

US private equity firm completes £35m purchase of UK contracting business and rebrands
4 hours ago

Multiplex profit drops a third as revenue rises to £780m

Spate of new orders sets contractor up for three years of work
4 hours ago

Galliford Try and Breheny land latest Sizewell C road deals

More infrastructure deals for new nuclear power station
21 hours ago

Worker trapped in collapsed septic tank pit

Contractor and director fined after worker suffers multiple fractures
5 hours ago

Homes England buys stalled Broad Marsh site

Demolition to finally be completed as developer hunt begins
17 hours ago

Vistry go-ahead for 353 homes at Rochester Riverside

Work to start on next phase of Kent town regeneration at end of this year
1 day ago

M&E firm J S Wright collapsed owing £19m

Trade creditors hit for £11.4m by employee-owned Midlands firm
1 day ago

Right to work checks to be extended to self-employed

Government plans crackdown on illegal working and rogue employers
1 day ago

Midlands developer turns to London with £1bn resi schemes trio

SevenCapital plans 1,000 flats in Kensington, Islington and the Isle of Dogs projects
1 day ago

Deck falls off huge scissor lift at Winvic site

Two men seriously injured as platform plunges to the ground
4 days ago

Weston targets Build to Rent with new division

Weston Partnerships signs first deals with asset managers and councils
1 day ago

Bouygues seals deal for £119m Cardiff college campus

Construction to start in June on two new buildings
4 days ago

£140m cash injection to speed-up flood defence schemes

Funding part of £2.65bn investment over the next two years
1 day ago

Bid race starts for £15bn schools framework refresh

DfE throws framework open to more contractors
4 days ago

Berkeley’s £600m Borough Triangle project approved

Controversial scheme features two towers of 38 and 44-storeys
5 days ago

London Mayor calls in blocked 600-bed student scheme

Refused 20-storey London PBSA block may still be built
4 days ago

HG to build 500-bed London Stratford student scheme

Work will start later this year subject to gateway 2 safety approval
5 days ago

Arrest after pedestrian death on construction site

Tragedy during site preparation works for new Wigan car park
4 days ago

British Steel threatens closure of Scunthorpe blast furnaces

Chinese owners say sectional steel and rail supplies will be maintained
5 days ago

Planning green light for Sheffield warehouse site

Existing factories to be demolished in new scheme for Rula Developments
4 days ago

New rail property company to unlock land for 40,000 homes

First four sites released in Newcastle, Cambridge, Manchester, and Nottingham
5 days ago

Drainage specialist Subscan files administration notice

Specialist employing 131 people files court notice
5 days ago

Four win Network Rail £300m engineering design deal

Eastern region deal will include design for Northern Powerhouse Rail
5 days ago

Funding go-ahead for Banwell bypass after fresh cost hike

Galliford Try contract rises £14m to £64m after final design change
5 days ago

Graham wins Southport £75m Marine Lakes Centre

Firm replaces Kier which parted ways with backer Sefton Council
6 days ago

Chancellor unveils extra £2bn capital spend a year

Construction promised a defence dividend in military base and homes upgrade work
6 days ago

McLaren confirms subcontractor team on £135m warehouse job

Work starts on TN2 Gateway site in Kent.
6 days ago

Vistry profits slump after site costs reporting debacle

House builder launches internal whistle-blowing service in business culture review
6 days ago

Contractor services