Rebel M&E firms act to quash wage reform unrest

Aaron Morby 14 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

Hill hits record £90m profit as homes pipeline swells

Build-to-rent push and £4.8bn contracting book to fuel next growth phase
13 hours ago

Rayner unveils £39bn plan to build 300,000 social homes

Council building revival and rent reform feature in social and affordable homes plan
21 hours ago

Keltbray bounces back with £3.2m profit

Tighter controls and smarter project selection fuel strong turnaround
21 hours ago

VINCI JV wins 500-home twin town centre revamps

Chester Northgate phase 2 and Northwich Weaver Square schemes move to delivery stage
21 hours ago

80 energy projects unlocked as Ofgem backs grid expansion

£24bn energy networks deal gets green light from regulator
2 days ago

How to see your stories on the Enquirer

Join our Suppliers and Buyers directory to get your news published
21 hours ago

Henley lands Midland Mill revamp on Leeds tower scheme

Restoration of 18th-century mill kicks off on South Bank regeneration project
20 hours ago

New boss at Eric Wright Civil Engineering

Gavin Hulme takes top job as Diane Bourne moves to group role
1 day ago

Pinewood submits £1bn data centre plan

Studio giant adds green and learning spaces to tech hub blueprint
2 days ago

Record results after TClarke goes private

Britain's biggest M&E contractor flourishes after de-listing
2 days ago

Dalkia lands £200m nuclear maintenance deal

1,000 nuclear FM staff to join M&E contractor
2 days ago

Construction comeback to outpace wider economy

Arcadis forecast fueled by spending review optimism
3 days ago

First steel goes up on giant car battery site

Severfield gets to work on McAlpine Somerset site
3 days ago

Permasteelisa wins cladding deal on Bovis city tower

Facade specialist lands package at 60 Gracechurch Street
2 days ago

Fox buys recycled asphalt specialist Fisher

Acquisition adds major recycled asphalt capacity in north west
3 days ago

Major Building Safety Regulator shake-up to end tower delays

HSE stripped of control and top fire chiefs brought in to fast-track stalled schemes
3 days ago

Hinkley trio sign Sizewell civils deal

Balfour,Bouygues and Laing O'Rourke form Civil Works Alliance for new power station
3 days ago

£3.9bn data centre plan for Ravenscraig steelworks

Green energy to power massive new steel to silicon AI campus
3 days ago

Breakthrough on HS2’s second longest tunnel

8.4 mile Northolt to Old Oak Common drive completes
3 days ago

Neilcott on fast-track to debt-free employee ownership

£22.5m loan nearly paid down after big profit year
3 days ago

TfL kicks off race for £700m Tube station upgrade

South Kensington and Elephant & Castle top the pipeline list
3 days ago

Corbyn Plant Hire fleet goes under the hammer

Kit to be sold off by sister firm to collapsed groundworks contractor
3 days ago

Government wields procurement stick on late payment

New rules would block slow payers from bidding on big public jobs
6 days ago

Hercules buys power line labour firm for £15.7m

Labour supply specialist snaps up Advantage NRG to tap booming electricity upgrade market
6 days ago

Universal bid to fast-track planning for theme park

Entertainment giant eyes 2026 start at Bedford site
6 days ago

Developer Breck to transform former Ibstock brick factory

Ravenhead works to become 300-home development
6 days ago

SP Energy Networks awards contracts worth £1.4bn

First round of awards under £5.4bn national electricity grid upgrade programme
7 days ago

Travelodge to convert Liverpool Street office building

Office-to-hotel conversion in City of London
6 days ago

Plans lodged for 1m sq ft City of London office

Barbican landmark building will reuse 40% of existing structure
7 days ago

PTSG acquires roofing specialist HD Sharman Group

Premier Technical Services Group expands building maintenance division
6 days ago