Employers and unions strike deal over major m&e contracts

Employers and union officials have signed a major projects agreement that will provide, for the first time, common terms, conditions and procedures on key issues when m&e staff work on large contracts.

The deal, which aims to cover high value and manpower projects, sees craft grade workers getting an extra £3 an hour inside the M25 and a national increase of £2.20 an hour subject to performance targets.

Paul Corby, national officer of Amicus and leader of the union negotiating team, said: “This is a good deal. It will lead to a change in the culture on site and will give the industry the opportunity to achieve the improved performance that clients and contractors want.”

The deal is seen as instrumental in moving the m&e sector towards integrated team working. The agreement has the backing of the ECA, HVCA, Select and the AEEU and MSF sections of Amicus, and will act as a common appendix to existing industry agreements on large projects only.

An M&E Forum, comprised of representatives from the employers and unions, will be set up to implement the new deal. The Forum will look to designate key projects as ‘major’ in discussion with clients. “It’s fair to say that a project with an m&e value of £100 million would be a potential candidate,” said the ECA’s employee relations adviser Steve Brawley.

Local union officials and employers will negotiate supplementary agreements in respect of working hours, site facilities and so on. There will also be designated union representatives, a common disputes procedure and a commitment to training, direct employment and equal opportunities. Health and safety will also figure with union-appointed safety reps.

George Ashcroft, leader of the employers’ negotiating team, said: “The task now is to launch the agreement, set up the M&E Forum and ensure that clients, contractors, employees and the industry as a whole make the most of the opportunities that the agreement provides.”

The deal is likely to include major PFI projects, Wembley Stadium, large rail infrastructure projects and airport expansion. “Discussions with the client are already taking place to see if the new agreement can help at Heathrow Terminal 5,” said ECA president David Dennison.