To ask the Scottish Executive what measures it will take to fulfil its commitment to uphold the terms and conditions of Clyde and Hebrides lifeline ferry services’ workers by ensuring that the tender specification does not allow the establishment of a two-tier workforce.
We attach great importanceto the future of CalMac staff should another operator be successful in its bid.We will do everything we can, within EU and domestic legislation, to secure thecontinued employment of those staff and the protection of their terms andconditions, and pension rights. We will ensure that the protection available toCalMac employees is as robust as possible.
We consider that Transfer ofUndertakings (Protection of Employment) is very likely to apply to anytransferring employees as a consequence of the tendering of the Clyde and Hebridesferry service. Transferring employees would be entitled to be employed on thesame terms and conditions as they had at the point of transfer.
In addition, the contractwill include mechanisms for protecting the terms and conditions of the existingworkforce during the contract period. We will include provisions in thecontract that make it clear to bidders that, if the successful operator wishedto cut staff costs, they would be responsible, from their own resources (i.e.outside the terms of the subsidy arrangements) for the cost of any redundanciesor compensation involved. In addition, any in year savings in staff costs thatarose would be taken into account in the annual profit claw back and wouldproduce an equivalent reduction in subsidy in subsequent years through thebudget restatement process. This should create a major disincentive to anyoperator considering reducing the terms and conditions of existing staff orreplacing the existing staff with lower paid personnel.