The backdown follows the contractor’s failure to block strike action and threats from the Teamsters union in the USA against Balfour Beatty’s operations over there.
BBES was the biggest of seven members of the Heating & Ventilation Contractors Association (HVCA) that was proposing to introduce new contract conditions, called Building Engineering Services National Agreement (Besna), in place of long-standing Joint Industry Boards (JIB) agreements.
The imposition of the new contracts by BBES was at the heart of a long running dispute that prompted electricians, plumbers, heating and ventilating engineers to vote overwhelmingly for strike action twice.
The withdrawal of the contracts follows talks between Unite general secretary Len McCluskey and BBES chief executive officer Mike Peasland. They will be followed by further high level talks.
A joint statement issued by Unite and Balfour Beatty Engineering Services today said: “The current dispute between Unite and the seven companies who are promoting the BESNA agreement is causing serious concern within the industry and threatens to escalate into a damaging conflict.
The objective of the seven companies was to address perceived shortcomings within current working rules agreements and to offer ways to create a more modern approach in the current competitive environment.
“Unite understands the questions raised by those seven companies and believes a review of the JIB and other industry working rule agreements is desirable.
“BBES has agreed to withdraw the BESNA contracts and Unite has agreed not to pursue further industrial action or protest on the basis that wide ranging talks will now take place on modernising the industry. Both parties are committed to high level talks within an agreed timeline with the aim of creating new proposals and ensuring agreed terms are honoured.
“It is the intention of Unite, along with the employers’ associations and reputable companies, to bring stability and fairness to this section of the construction industry.”
Unite general secretary Len McCluskey added: “Balfour Beatty’s decision to withdraw these contracts, the threat of dismissal and to enter high level talks is a welcome move. Not only is it a victory for common sense, but it is testament to the resolve of hard working construction workers who have stood shoulder to shoulder to defend their livelihoods.
“Continuing to impose these contracts would have resulted in a race to the bottom that would have been bad for the industry. We expect the other six construction firms to see sense and follow Balfour Beatty’s lead in talking seriously about securing livelihoods and bringing stability to the industry.”
Got a story? Email news@theconstructionindex.co.uk
