E6 National Grid: national greed

Submitted by GMB

Congress notes with alarm the notification of redundancies in Newcastle, Northampton and Warwick, given to the joint unions (GMB, Unison and Unite) by National Grid on 4 September 2009.

Congress further notes the 24-hour strike which took place in Newcastle on 11 September, in defence of jobs at risk from the company’s review of its UK Shared Services operations.

Congress applauds the joint unions for organising resistance to these unjustified redundancies, and condemns National Grid for this act of corporate greed. Congress notes that the joint unions have already identified £3m in cost savings, and believes that the plan to make workers redundant and either outsource the work, or offshore it to a low-wage economy, is both socially irresponsible and financially unnecessary.

Congress recognises that National Grid performs monopoly activities in the UK and is set to benefit from Government investment in the UK energy infrastructure. It made over £2.9bn profit last year, whilst seven of its directors shared £9.47m in salary and bonuses, and shareholders are guaranteed a dividend growth of 8% pa until 2012.

Congress calls upon National Grid to withdraw the threat of redundancies and guarantee security of employment to the loyal employees who have contributed towards its success. Congress further calls upon the Government to intervene and remind National Grid of its social obligation to protect jobs during the recession, and for Ofgem to ensure that if these jobs are offshored that the company doesn’t benefit from any investment funded by the British energy consumer. 

Mover: GMB
Seconder: Unite