Transport Scotland botched contract means uncertainty for pensions

The failure of Transport Scotland to recognise that they needed to stipulate an equivalent pension be provided to staff transferring to the private sector may lead to a large financial compensation claim or to an expensive variation of the contract.

The staff concerned operated the transport information system - Traffic Scotland. Contractors Atkins have not provided a comparable pension scheme as they are required to under Cabinet Office guidance because this was not stipulated in the contract.

Despite constant pressure from UNISON, neither Transport Scotland nor the Minister responsible accepted these responsibilities under Cabinet Office guidance, before the staff transferred from Glasgow City Council to Atkins late in January. H

owever a meeting subsequently with the Minister responsible - Stewart Stevenson MSP - has at last led to a dialogue which may deliver a possible solution.

The union had cast doubt on whether the system would be able to operate effectively in the short term, as over half the operators involved have either managed to move to other jobs in the council, or have left the service rather than transfer under these conditions.

Chris Stephens, UNISON's Land and Environmental Services Convenor, in Glasgow said, "Feelings are running very high. This is the first bulk transfer/contract that we are aware of from the council where admitted body status was not sought by the new employers."

UNISON has raised the issue with the Minister and is awaiting a response.

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