Rebel M&E firms act to quash wage reform unrest

Aaron Morby 15 years ago
Share

Britain’s big eight building services contractors will this week act to defuse worker unrest over moves to overhaul the industry’s long-standing wage agreement.

The breakaway contractors are writing individually to the 6,000 strong workforce explaining why they are pulling out of the industry’s JIB pay and conditions agreement and establishing a new grading structure for the industry.

Firms will also alert the Government, major clients and contractors to plans to switch to a new industry agreement from next March.

The action comes as angry electricians plan more protests at key sites against the controversial element of the proposals to introduce a new installer grade below a fully qualified electrician pay rate.

The big employers – Bailey Building Services, Balfour Beatty Engineering Services, T. Clarke, Crown House Technologies, Gratte Brothers., MJN Colston, SES and SPIE Matthew Hall – argue their a new agreement is needed to reflect modern working practices.

A spokesman for the eight employers told the Enquirer: “There has been a lot of misleading information bandied around about the proposals. Claims that rates will be cut by 35% are nonsense.

“We will not be regrading anybody or changing anyone’s pay rates on site. The new installer grade will only be applied to people joining the industry.”

He added: “When the people see our proposals for themselves, we are very confident they will understand and support the changes.”

Individual copies of the draft Building Engineering Services National Agreement -BESNA – are to be sent to every worker affected by the new grading structure plan.

Contractors have been trying for four years to revamp archaic pay practices which have been overtaken by technology and working practices.

The distinction between M&E contractors has blurred in recent years with contractors offering single point integrated skills as building services contractors. But the industry has remained locked into two separate wage agreements.

Growth in prefabricated electrical components has meant much work on site requires straight forward assembly skills.

But the existing JIB deal means work still has to be carried out by a fully qualified electrician paid an hourly rate of more than £16.

The contractors’ spokesman said: “There really is no alternative. Contractors need greater flexibility to build a workforce with the appropriate skills and appropriate numbers.

“They have to bring in this reform if they are to survive in the modern building environment.

“That is why they have no choice but to go directly to their staff.”

He added: “Nobody wants to be forced into going down the labour agency or subcontractor path to do these jobs. It isn’t about de-skilling, its about properly manning projects from within, rather than with subcontractors.”

Union leaders at Unite claim the new grade will undermine skilled electricians and lead to de-skilling.

More than 500 rank-and-file sparks voted to take part in unofficial action during a stormy meeting in London two weeks ago.

Since then protests have been staged at N G Bailey sites and Balfour Beatty’s high-profile Blackfriars station project in London.

Discussion between the employers and Unite ended without agreement last week.

The employers have asked the unions to details their objects to the proposals. “Employers want to discuss and negotiate with trades unions, but we are not making any progress,” said the contractors spokesman.

    New BESNA working grades

    At the centre of the Agreement is a new grading structure for modern integrated building
    engineering services teams.

    This is designed to give more flexibility for employers and clear progression paths enabling suitably qualified workers to progress through the grades.

    All grades under the existing separate agreements will be assimilated into the new grade structure. Existing workers will be allocated to the appropriate new grade.

    For example an approved electrician will become an advanced BES craftsman – with existing rates of pay and benefits unchanged.

    Going forward, grading will be undertaken by the employer with a worker right of appeal through the contractor’s in-house grievance procedure.

    If the matter is not resolved it can then be referred to what is called the Joint Building Services Engineering Forum. This will include representatives of the employers and Unite union, if it signs up to the agreement.

Latest news

McLaren seals go-ahead for £2bn York Central scheme

Phase one work to start next year when site investigation works finish
3 days ago

M&J Evans moves into new market as profits jump

Housing groundworks specialist expands into utilities sector
3 days ago

Berkeley calls for urgent stamp duty reform in Budget

London house builder wants 1% cap for first-time buyers and downsizers
3 days ago

Housing activity dives 5% in July as construction stagnates

Total new work output falls 0.4% in July as industry bumps along the bottom
3 days ago

RSK buys £61m turnover highways contractor MSF

Expanding group takes on another 175 staff in latest deal
3 days ago

OCU smashes through £1bn revenue barrier

Organic growth hits 25% as order pipeline passes £4bn
4 days ago

Higgins cleared to restart stalled Ealing estate rebuild

Firm brought on board to finish final 400 homes on Green Man estate regeneration
4 days ago

Consultant RLB cuts staff numbers

Employees left reeling by sudden round of redundancies
4 days ago

£2bn London Vauxhall Square tower trio approved

Nearly 3,000 homes, co-living units and student beds planned across seven buildings
4 days ago

Seddon replaces Vistry on £40m Salford resi scheme

Council lines up contractor switch for 144-home Ordsall project
4 days ago

Worker died under two tonnes of soil in trench collapse

Two firms fined £1.1m and contracts manager given suspended jail sentence
4 days ago

80 firms win places on £350m Fusion21 repairs framework renewal

Wates, Mears, Equans and Axis among firms named on four-year UK deal
4 days ago

Infrastructure demand helps Clancy to record results

Strong work pipeline and cash position boosts investment in training and plant
5 days ago

McGee boss Fossey takes top job at Permasteelisa

Specialist engineering chief moves to lead global façade giant
5 days ago

Torsion Construction went down owing suppliers £15m

Hundreds of subcontractors left holding unpaid invoices
5 days ago

London Mayor backs 3,000-home Beckton gasworks regeneration

Approval unlocks £250m enabling programme at east London riverside site
5 days ago

Plan lodged to turn BT Tower into 400-room hotel

Landmark retrofit will create 1,000 construction jobs and reopen tower to public
5 days ago

£1bn heatwave hit sparks resilience spending call

Civil engineers push for national review to put hard numbers on benefits of climate adaptation
5 days ago

Vistry pitches plan to unlock 30,000 homes a year

Choice-led shared ownership model would combine buyer mortgages with institutional capital
6 days ago

Contractor hunt for £50m South Wales link road

Council to start procurement for 1.2km Cynon Gateway route near Aberdare
6 days ago

Plans lodged for one of Europe’s tallest student towers

Scape's 851-bed Elephant & Castle scheme rises to 45 storeys
6 days ago

Wales housing giant to start race for £750m contractor deal

Codi Group seeks builder line-up for new homes and refurbishment pipeline
6 days ago

Conlon lands £18m Wigan SEND school

Employee-owned firm secures one of its biggest education jobs to date
6 days ago

London Square lands homes role on major Waterloo scheme

Developer picked for Royal Street scheme in planned life sciences district
6 days ago

Security patrols stepped-up to fight cable theft

Pro-active patrols on East Coast Main Line to deter thieves
6 days ago

Kier storms August contracts league with £530m haul

Thames Water job helps contractor sweep to top of monthly rankings
7 days ago

Building safety Gateway 2 applications soar as levy looms

Building Safety Regulator workload jumps by more than 100 live cases ahead of October levy
7 days ago

McLaughlin & Harvey lands £70m Holborn Circus office job

Main works to start later this year after Erith completes demolition
7 days ago

Tilbury Douglas gets green light for £30m Leeds SEND school

Firm is in line for Broomfield specialist learning centre job
7 days ago

Plans to slash paperwork for company reports

Government looks at cutting "nonsensical" corporate reporting rules
7 days ago