Second major contractor dumps controversial pay and conditions proposals

A conversial wage agreement at the centre of a storm of protests by electricians looks doomed after the second major firm supporting the agreement pulled out.

NG Bailey has become the second major contractor to quit the controversial 好色先生TV and Engineering Services National Agreement (BESNA), after Balfour Beatty Engineering Services (BBES) quit BESNA last Friday after losing a court bid to block a strike by the firm鈥檚 Unite workers.

The move by BBES threw the heavyweight M&E sector into chaos and prompted frantic meetings between the BESNA鈥檚 remaining supporters to determine its future.

NG Bailey said in a statement that Balfour鈥檚 withdrawal made BESNA 鈥渦ntenable鈥 and had prompted its decision to also quit.

The statement said: 鈥淭he BESNA agreement relied on the UK鈥檚 leading engineering companies adopting one single agreement that would introduce a modern working environment.

鈥淔ollowing the announcement from Balfour Beatty Engineering Services last Friday, the future of the BESNA is now untenable. NG Bailey can therefore confirm it will withdraw the BESNA contracts and will continue to work to the current working rule agreements. 

鈥淭he company welcomes Unite鈥檚 statement that it is committed to wide ranging talks on modernising the industry.鈥

It is understood the five remaining BESNA contractors 鈥揅rown House, Shepherd Engineering Services, Gratte Brothers, Spie Matthew Hall and T Clarke 鈥 are now likely to follow suit, stopping BESNA in its tracks.

The Heating and Ventilating Contractors Association (HVCA) 鈥 which drew up the BESNA proposals with the contractors 鈥 refused to comment on the developments this week.

But the HVCA鈥檚 rival trade body, the Electrical Contractors鈥 Association, which jointly runs the 40-year-old Joint Industry Board wage agreement with the Unite union, said it was 鈥渄elighted鈥.

The ECA and Unite called for the firms to enter into dialogue aimed at creating new proposals.

There have been five consecutive months of protests against BESNA, including a 1,000-strong London rally, a sit-in of a contractor鈥檚 headquarters and violent clashes with police.

Over 6,000 workers were asked to sign up to the BESNA pay and conditions proposals by the first week of April or face redundancy. Almost 90% of the workers had done so as of 13 February.