Eaga workers furious over losing cash in Carillion deal

Grant Prior 9 years ago
Share

Furious workers at environment specialist Eaga have launched a protest after losing out on potential cash-payouts during the firm’s takeover by Carillion

More than 2,000 staff at Eaga – half its workforce – have signed an email petition protesting about their treatment during Carillion’s £306m takeover .

Eaga staff are angry that a trust set up on their behalf said it would waive its right to a cash pay-out for shareholders under the terms of the deal. The move could save Carillion £100m.

The Eaga Partnership Trust holds 37% of the company on behalf of the staff in a similar ownership structure to John Lewis.

But the Eaga trust’s board has voted to forgo cash payment following the sale and transfer its holding into Carillion shares without consulting staff.

Eaga staff are unhappy at being denied potential pay-outs of around £25,000 each that they would have received if the trust were to have been wound-up.

An email among staff seen by The Daily Telegraph, said: “This is £25,000 per partner that’s being unnecessarily taken from us without our say or vote, but we can make the difference.

“It’s not all about the money. It’s the principal of the matter that we as partners don’t have and haven’t had any say in the decision. But we certainly can change this.”

The Eaga Partnership Trust provides benefits for employees like cheap holiday homes and shopping discounts – but many of the partners would rather see the cash than continue to be members of the scheme.

Ken Temple, chairman of the trust, said he saw no reason why the trust should be wound up now.

He said: “We envisaged it as a long term trust and there is no reason to bring it to an end.

“Carillion told us they welcome a continued shareholding. We realised we had to make some changes to the trust deed and went to the High Court to get a judgment making sure what we were doing was right and proper.

“I’m confident we acted properly and within the power of the trustees. It’s worrying and distressing, of course, that people are upset but it’s been tested in one of the highest courts in the land.”

The takeover is scheduled to complete in April. Eaga declined to comment, saying it was a matter for the trust.

Latest news

Robo cone layers to make life safer on road jobs

Automatic cone laying machines could be on site by end of the year
2 days ago

NAO raises alarm over cost of finishing Carillion hospitals

Spending watchdog warns a significant risk of £2bn cost of both hospitals rising further
3 days ago

Green light for Birmingham’s tallest tower

£150m Broad Street skyscraper will rise to 61 floors
2 days ago

Plan for £33m cross laminate timber office block

Developer Southern Grove plans 6 storey office block in London's Shoreditch area
2 days ago

GMI to build 14-storey Leeds hotel

Scheme will occupy last remaining plot on Sovereign Square site
2 days ago

Burglar caught after ransacking construction training centre

Rampage and robbery disrupts Sunderland training hub
2 days ago

Alligator park plan for £230m mixed use London site

Developer plans to turn iconic gasholder into reptile house on Old Kent Road
3 days ago

Domis set for £300m landmark Manchester Viadux

Developers Ask and Salboy team-up for mixed-use scheme near Deansgate
3 days ago

Winners named for £3bn offsite schools framework

B&K, Caledonian, Elliott, Laing O'Rourke and Wates come top of class
3 days ago

£30bn NHS construction frameworks shake-up starts

General healthcare and son of ProCure22 framework contests to start
3 days ago

Man extradited from Albania and charged with site murder

Albanian national appears in UK court after year-long extradition proceedings
4 days ago

Stepnell West Midlands boss leaves business

John Rawlinson departs after overseeing shift from civils to building
3 days ago

Farrans brings in two civils directors

Jonathan Kerr joins from Graham and Jim Steele was former Morrison MD
3 days ago

Richard Desmond wins planning for £1bn Westferry Printworks

Housing secretary overrules planning inspector to grant planning for 1,500 flats
4 days ago

Sisk wins UK’s tallest Premier Inn job

Foundation work gets underway on Canary Wharf site in London Docklands
4 days ago

Worker killed as excavator falls through concrete slab

McGee fined £500,000 following death on demolition site
4 days ago

Bouygues to start £115m Canterbury Riverside scheme

Work to start shortly on mixed use leisure and rental accommodation project
4 days ago

Green light for first homes in £1bn Purfleet regen scheme

Work to start on first 61 homes in Essex town centre regeneration
4 days ago

Balfour crowned 2019 contracts league champion

Multiplex and Bowmer & Kirkland join Top 10 firms for first time
5 days ago

Contracts manager jailed after roofer falls to his death

Police find risk assessment documents with forged signatures during investigation
4 days ago

Winners named for £2bn Hyde new-build housing deal

Eleven selected for £25m-plus projects among 41 winners
4 days ago

Worker killed and another injured on Birmingham Uni site

Men fall from a scissor lift at Balfour Beatty site
4 days ago

Firm set up by ex-Bardsley QS throws lifeline to 12 former staff

Goodwin Construction hires axed Bardsley staff as revenue set to hit £70m
5 days ago

Laing opens picture archive on post war construction

Picture vault reveals the industry's journey from flat caps to hard hats
5 days ago

VolkerFitzpatrick wins £40m Brent Cross West Station

Work to start on station in May, which will help to unlock £4.5bn
4 days ago

Historic building specialist Stone Edge collapses

Skipton-based stone building restoration firm in administration
5 days ago

£10bn Pagabo major works framework winners

ISG, Morgan Sindall and McAlpine scoop all project values in six of seven regions
6 days ago

Developer launches own contractor after Bardsley collapse

Newly formed DEX Construction will complete Manchester resi scheme
6 days ago

Boost your online presence – join the Enquirer Directory

Site for suppliers and buyers showcases products, services and latest stories
2 years ago

Watkin Jones lifts development pipeline to 26 sites

Build to rent and student accommodation specialist sets out five year growth plan
5 days ago

Contractor services