Quarter of staff to be cut on highways contract

Grant Prior 11 years ago

EnterpriseMouchel is planning to slash staff numbers by more than a quarter on its Highways Agency Area 3 contract.

The Enquirer understands that stunned workers were given the bad news yesterday that more than 100 posts will go.

It is believed that all contract staff will also be asked to leave which could hit up to 150 people.

A redundancy consultation exercise has now started with the job losses due to be completed by the end of October.

EnterpriseMouchel is blaming the cuts on the Highways Agency switching from Man­ag­ing Agent Con­trac­tor (MAC) contracts to the new Asset Sup­port Con­tract (ASC) deals.

The new arrangements are designed to save millions as part of the Government’s cost-cutting drive.

The changes will see the EnetrpriseMouchel team reduced from 405 people to 296.

The asset development team will take the biggest hit with a halving in numbers from 144 to 72.

One source told the Enquirer: “This is all about cutting things down to the bare bones.

“It looks like they are concentrating in keeping the tarmac together in the short term but any long-term improvements are being sacrificed along with resources for the asset development people.

“This Government talks a lot about helping construction then just stands back while this happens.”

It is understood that redundant workers will only be offered statutory minimum payouts.

EnterpriseMouchel has been the Area 3 contractor covering 1,242 km of motorways and trunk roads across central southern England since 2008.

The new ASC deal comes into force on November 1 and runs until 2018.

EnterpriseMouchel announced the ASC win last month when it said the deal could be “worth up to £140m” per year.

That figure is now believed to be nearer £100m.

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