Amey Rail acquires Carillion’s Network Rail contracts

Photo: Network Rail.
Photo: Network Rail.

Around 700 jobs are expected to be safeguarded following the sale of Carillion’s Network Rail contracts to Amey Rail.

Network Rail commercial director Matthew Steele said the move will ensure the delivery of a number of major rail projects across the East Midlands, London and North West London.

Network Rail remains in close contact with the Official Receiver’s special manager PwC over transition agreements for the remaining contracts.

Whilst this process is ongoing, the remaining contracts continue to be delivered under an arrangement with PwC to enable an orderly transition.

Last month, it was agreed that PwC will pay Carillion employees’ wages for work done supporting Network Rail’s contracts until after Easter. Many of the construction companies smaller rail suppliers were paid the arrears they were owed to ensure the continued delivery of projects.

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Matthew Steele added: “We do recognise that this has been a very unsettling period for the employees of Carillion and would like to thank them for the continued commitment to the delivery of these projects.

“We remain focused on the transfer of remaining projects and employees to new arrangements over the coming weeks and months.”

RMT general secretary Mick Cash added: “RMT’s preferred option since the collapse of Carillion has been for their rail works to be taken directly in house but we recognise that today’s announcement should guarantee up to 700 rail workers jobs and we will now be sitting down with Amey to work through the key details around continuity of employment and pensions.

“RMT remains concerned that some of Carillion’s rail infrastructure works may not be covered by this agreement and we will continue discussions with Network Rail, TfL, the train companies and PwC to secure the future employment for all staff and that includes workers on Carliion contracts in other parts of the rail network.”

Carillion went into liquidation last month after its lenders and the government failed to reach a deal to save it.

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