Network Rail regulation and performance


Ex-Carillion employees working on NR projects will be paid until at least April

Network Rail bosses have today confirmed that former Carillion employees working on railway projects will be paid until at least April of this year.

The news follows the announcement that the construction giant – one of NR’s major contractors and a major partner to the HS2 infrastructure project – has gone into liquidation and will no longer be able to follow-through on its commitments.

This has caused problems for the infrastructure manager because Carillion was heavily involved in some major construction work, however the continued employment of the former company’s staff may smooth the transition of the effected projects.

The Official Receiver’s special managers, PwC, have come to an agreement with NR which ensures that they can pay employees’ wages for work done on and supporting NR projects until after Easter.

They have also made arrangements to ensure rail employees are paid as normal in January for work done in January, while the confusion as to Carillion’s status was ongoing.

In a statement, NR said: “Carillion Construction employees working on and supporting Network Rail projects are encouraged to turn up for work as normal and continue to deliver their rail work and projects, secure in the knowledge that they will be paid by PwC for the work they do.

“In addition, funding has been secured to ensure that any suppliers to Carillion will be paid by PwC in respect of work relating to Network Rail projects since Monday (15/01/18) and going forward.”

Together the two groups say they will be working to evaluate the full costs of the work done by Carillion up to liquidation, to provide clarity to suppliers, as well as collaborating on future plans to attempt to ensure these projects are minimally affected.

Initially, warning signs were flagged up when the Financial Conduct Authority (FCA) announced that it would be investigating Carillion following questions about the timeliness of announcements it had made between December 2016 and July 2017.

However, the investigation was announced just days before the company failed, leaving it unable to fulfil its obligations in public contracts across the rail sector as well as other areas of UK industry.

Top image: Network Rail

Have you got a story to tell? Would you like to become an RTM columnist? If so, click here.


There are no comments. Why not be the first?

Add your comment


rail technology magazine tv

more videos >

latest rail news

Tram passengers demand better value for money from services

21/03/2018Tram passengers demand better value for money from services

  Satisfaction with value for money for tram passengers has dropped slightly, the latest Tram Passenger Survey h... more >
West of England to get £9.45bn economic boost from new rail partnership plan

21/03/2018West of England to get £9.45bn economic boost from new rail partnership plan

Rail companies across the west of England have set out a long-term plan for the region’s railway, which will boost t... more >
First Virgin Azuma trains arrive in UK after two-month journey from Japan

21/03/2018First Virgin Azuma trains arrive in UK after two-month journey from Japan

Two brand new Hitachi trains completed their two month journey from Japan yesterday, arriving at Teesport, Middlesborough.... more >

editor's comment

23/01/2018Out with the old...

Despite a few disappointing policy announcements, especially for the electrification aficionados amongst us, 2017 was, like Darren Caplan writes on page 20, a year generally marked by positive news for the rail industry. We polished off the iconic Ordsall Chord (p32), hit some solid milestones on Thameslink (p40), progressed on ambitious rolling stock orders (p16), and finally started moving forward on HS2 (p14) ‒ paving the way for a New Ye... read more >

last word

Encouraging youngsters to be safe on the railway

Encouraging youngsters to be safe on the railway

This summer, Arriva Group's CrossCountry and the Scout Association joined to launch a new partnership to promote rail safety among young people. Chris Leech MBE, business community manager at the TOC, gives RTM an update on the innovative scheme. Recognising that young people are more likely to take a risk trespassing on railway tracks, C... more > more last word articles >

'the sleepers' daily blog

How biometrics can help improve health and safety measures on railway construction projects

20/03/2018How biometrics can help improve health and safety measures on railway construction projects

In this article biometric identity, time and attendance specialists Donseed look at how biometric technology is already starting to enhance health and safety measures on railway construction projects. Advances in technology are starting to transform the way in which the rail network in the UK is managed, operated and maintained. There is ... more >
read more blog posts from 'the sleeper' >


Smart Ticketing: The way ahead

13/03/2018Smart Ticketing: The way ahead

Jacqueline Starr, managing director of customer experience at the Rail Delivery Group (RDG), runs through the nationwide progress in rolling out ... more >
A benchmark year for HS2

13/03/2018A benchmark year for HS2

Jim Crawford, managing director of Phase 1 at HS2 Ltd, discusses the many critical activities set to take place this year as the mammoth high-spe... more >
The North has a plan

13/03/2018The North has a plan

There has always been an incredible thirst for change in the north. Now, there is finally a plan robust and forward-thinking enough to make it ha... more >
EWR: Getting it right

13/03/2018EWR: Getting it right

Peter Austin, delivery director at East West Rail Company (EWRco), argues that completing the link between Oxford and Cambridge as quickly as pos... more >

rail industry focus

  • 08/12/2017A game changer for Midland Metro

    The West Midlands Combined Authority (WMCA) updates RTM’s Luana Salles on the latest projects taking place across the growing Midland Metro...
  • 09/11/2017Testing tomorrow's technology today

    David Brazier, site manager and area sales manager for the UK & Ireland at OMICRON electronics, tells RTM’s Luana Salles about the major...
  • 09/11/2017What next for safety?

    As rail businesses edge towards their target of zero injuries, improving safety performance can plateau. Amey’s sector director for rail, Lee...
View all News


Transforming travel in the north west

06/02/2018Transforming travel in the north west

RTM’s Josh Mines talks to Robin Davis, head of new trains at TransPennine Express (TPE), about the huge rolling stock change journey the co... more >