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Balfour Beatty Rail Plant & Renewals: 2013 Pay Award & TUPE transfer to Balfour Beatty Group Employment Ltd

22 November 2012

This is a summary of the company Pay Offer for 2013 and the impending TUPE (Transfer of Undertakings Protection of Employment) transfer to Balfour Beatty Group Employment Ltd.

 

2013 Pay Offer

The TSSA met the company representatives from both the Rail Plant and Rail Renewals division. Where TSSA put forward our pay submission for 2013, the company responded that although the order book looked good, the client as a result of the McNulty report was looking to reduce costs and as a result the level of profitability was being reduced. The TSSA reminded the company that last year our members had received an increase under the then Retail Price Index inflation rate, we drew to their attention that our members’ costs of living such as food, fuel and utilities were above the rates of inflation. Management responded by offering 2.2%,which the TSSA and its representatives rejected that offer as being inadequate.

Discussions led to a final offer of 2.5% which by 1 January 2013 (the date of implementation) will be at the predicted rate of RPI inflation, it is the view of the TSSA that this is the best possible offer and that increase should match the inflation rate for January 2013. Before the TSSA respond to the offer I would welcome the view of members via e mail here by the 23rd November 2013.

TUPE (Transfer of Undertakings Protection of Employment) transfer to Balfour Beatty Group Employment Ltd

Balfour Beatty Rail Renewals and Plant consulted with the TSSA over the transfer of all employees to BBGEL. It is proposed to transfer every Balfour Beatty employee (25,000) in the UK to BBGEL. Balfour Beatty believes that this will simplify organisation structures etc., but will not alter any employment conditions of our members. It is proposed to transfer employees on the 1 February 2013.They confirmed that all Terms & Conditions, collective bargaining, and Contracts of Employment will remain the same, and the result will be all employees that are employed by BBGEL, but assigned to their various groups, whose structure will not alter. This would not remove any future protection from transfers out following a European Court of Justice ruling. This transfer will be subject to the approval of the Railway Pension trustees who assess if this is acceptable and does not alter the valuation of the Balfour Beatty Section of the pension fund.

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