BOOM TIME FOR RAIL PRIVATEERS

RMT helpline 0800 3763706 :: november/december 2010 :: RMTnews 24 At a time when passengers are being warned to expect fare increases of up to 30 per cent over the next few years, RMT has produced new figures exposing massive pay hikes in the boardrooms of Britain’s main private transport operators. The UK transport rich list is topped by Keith Ludeman – outgoing boss of the Go-Ahead group – who saw his salary rise by an incredible 35 per cent from £916,000 on the June 2009 figures to £1,240,000 in July this year. Ludeman was responsible for the Southern Trains franchise which recently announced it was axing toilets on the key inter-city route between Portsmouth and Brighton. Hot on his heels are Brian Souter from Stagecoach on £762,000 and David Martin from Arriva on £743,635 (see full list below). Company profits also show that the big five UK transport operators have posted combined dividends of more than £2 billion since privatisation. There are also clear signals that transport is being lined up as a prime target for ConDem cuts. RMT general secretary Bob Crow said that budget cuts in transport would impact on jobs, safety, services, fares as well as running the risk of bus service being wiped out in rural areas. "Under this ConDem government the public will be forced to pay through the nose to travel on crowded trains and buses on creaking and unsafe infrastructure while the profits, dividends and top bosses salaries of the private companies are ring-fenced. RMT MPS DEMAND ANSWERS Katy Clark, a member of the RMT parliamentary group and MP for North Ayrshire and Arran, secured a parliamentary debate about a number of government reviews that will affect the future of the railways. These include appointing Sir Roy McNulty to look at how the railways can provide better value for money and a consultation on a new franchising policy. Taken together these reviews could lead to a highly detrimental impact on rail including the break up and sale of Network Rail, longer franchises which have greater flexibility to cut services and a significant dilution of safety standards. Katy Clark also secured a parliamentary debate, which gave MPs the opportunity to challenge the Rail Minister Theresa Villiers over rail policy, justice for ex-Jarvis workers and the dispute on London Underground. During the debate Ms Clark paid tribute to the rail workers who work in all conditions to keep Britain moving. “It is important that their voice is heard in this debate and pressed ministers to consider the benefits of having an integrated, publicly-owned railway and to ensure that those conducting the rail review-and the Government themselves-do not just look at the issue on an ideological basis,” she said. Katy Clark also pointed that many Jarvis workers are still without work and have lost their pensions and asked the minister look into their plight. Labour MP for York Hugh Bayley asked “what the government can do to secure jobs for those redundant workers who have not yet got jobs themselves, so that their skills can be retained in the railway industry and used to build new railways?” Julie Hilling MP for Bolton West also reminded MPs that “thousands of jobs have already been lost on our railways, on both the passenger and freight sides, and we are also seeing a gradual attack on train guards as companies try to introduce driver-only operations, which will reduce staffing levels even further and, I believe, raise significant safety concerns”. RMT group convenor John McDonnell, MP for Hayes and Harlington, reminded the rail minister of “question after question over past years in which ministers were asked why we cannot have a public sector comparator”. He asked what calculations and assessments had been made in respect of other systems across Europe that are under integrated public ownership at least some judgment could be made of the private franchising system that has been in operation in this country for the RMT exposes fat cat transport privateers as Parliamentary group demands answers from the ConDem government on budget cuts, franchising, ex-Jarvis workers and the Tube dispute BOOM TIME FOR RAIL PRIVATEERS DIRECTORS PAY Train company Highest Paid Director Arriva Group David Martin £743,635 (31 Dec 2009) Arriva Cross Country 199,000 (01 Mar 2009) Arriva Trains Wales 194,000 (31 Dec 2009) First Group Moir Lockhead £643,000 (31 Mar 2010) First Capital Connect 398,000 (31 Mar 2009) First Great Western 190,000 (31 Mar 2008) Hull Trains Information unavailable. ScotRail 429,275 (31 Mar 2009). First Transpenine Information unavailable. Go-Ahead Group (65% of Govia) Keith Ludeman £916,000 (27 Jun 2009) £1240,000 (July 2010) (35% increase) London Midland Information unavailable. Southeastern Information unavailable. Southern 358,000 (28 Jun 2008) National Express Group Ray O’Toole £644,000 (31 Dec 2009) Interim 6 months ended 30th June 08 C2C 166,852 (31 Dec 2008) Stagecoach Group Interim 6 months ended 31st October 08 Brian Souter £762,000 (30 Apr 2010)