Category: water

Opinion: Thames Water makes case for renationalisation … now!

By UNISON’s head of environment, Donna Rowe-Merriman

Shadowy overseas private equity firms have sucked all the good out of Thames Water and saddled it with billions of pounds of debt. So reports that it is scrambling to find extra cash, after handing out millions of pounds to shareholders and bonuses to top bosses in recent years, are hardly surprising.

Even its shareholders won’t keep it afloat, having refused to pay £500m by the end of the month, saying regulatory requirements make its business plan “uninvestable”, and insisting that bills must go up – company boss Chris Weston told the BBC today that they need to rise by 40%.

It’s clear that the business model for Thames Water has failed and the company is unviable.

The company is privately owned by a mix of people and businesses. The consortium of pension funds and sovereign wealth funds owns the entire business. The largest shareholder, as of July 2023, is the Canadian pension fund Ontario Municipal Employees Retirement System (Omers) with approximately 32%.

Mr Weston also stated that it was “business as usual” at the company. The business appears to be lurching from one crisis to another, leaving staff with an uncertain future and customers facing ever more massive bills.

In the 21st century, the issue of water pollution is a national disgrace. The government and regulator have failed to stop water companies to pollute our rivers, canals and coastline.

Saturday’s Boat Race organisers have issued new safety guidance for the races, warning rowers not to enter the water and to cover any open wounds, after high levels of E.coli bacteria were found on the River Thames course.

Provision of water should never have been privatised, allowing millions to be taken out of the industry to line the pockets of shareholders and company executives, while infrastructure was allowed to crumble.

The government must intervene and take control of a business and renationalise Thames Water and now.

The article Opinion: Thames Water makes case for renationalisation … now! first appeared on the UNISON National site.

Opinion: Thames Water makes case for renationalisation … now!

By UNISON’s head of environment, Donna Rowe-Merriman

Shadowy overseas private equity firms have sucked all the good out of Thames Water and saddled it with billions of pounds of debt. So reports that it is scrambling to find extra cash, after handing out millions of pounds to shareholders and bonuses to top bosses in recent years, are hardly surprising.

Even its shareholders won’t keep it afloat, having refused to pay £500m by the end of the month, saying regulatory requirements make its business plan “uninvestable”, and insisting that bills must go up – company boss Chris Weston told the BBC today that they need to rise by 40%.

It’s clear that the business model for Thames Water has failed and the company is unviable.

The company is privately owned by a mix of people and businesses. The consortium of pension funds and sovereign wealth funds owns the entire business. The largest shareholder, as of July 2023, is the Canadian pension fund Ontario Municipal Employees Retirement System (Omers) with approximately 32%.

Mr Weston also stated that it was “business as usual” at the company. The business appears to be lurching from one crisis to another, leaving staff with an uncertain future and customers facing ever more massive bills.

In the 21st century, the issue of water pollution is a national disgrace. The government and regulator have failed to stop water companies to pollute our rivers, canals and coastline.

Saturday’s Boat Race organisers have issued new safety guidance for the races, warning rowers not to enter the water and to cover any open wounds, after high levels of E.coli bacteria were found on the River Thames course.

Provision of water should never have been privatised, allowing millions to be taken out of the industry to line the pockets of shareholders and company executives, while infrastructure was allowed to crumble.

The government must intervene and take control of a business and renationalise Thames Water and now.

The article Opinion: Thames Water makes case for renationalisation … now! first appeared on the UNISON National site.

UNISON calls on water regulator to protect customers and nature

UNISON is calling on the UK water regulator Ofwat and the UK government to stop water companies from increasing bills.

The union says that instead, there should be a focus on legislation to make companies – not the public – pay to restore the waterways to good health and protect jobs in the industry.

The water industry has hit the headlines again this week because of Ofwat’s plans to consult on banning bonuses for the bosses of water companies that have been found to have harmed the environment.

But as well as failing the environment, companies are failing customers and workers as well, claims UNISON, with several companies proposing to increase bills to fund necessary repairs and investment in water infrastructure.

Last year saw water companies consistently hitting headlines for negative reasons, including financial mismanagement, illegal discharge of sewage into waterways and leaving customers without running water – much of which can be put down to a lack of investment in infrastructure.

Yet according to analysis by the Labour Party, water company bosses have received over £25m in bonuses and incentives since the last general election. The analysis found that nine water chief executives were paid £10m in bonuses, £14m in incentives and £603,580 in benefits since 2019.

In addition, in 2023, senior executives from five of the 11 water companies that deal with sewage took bonuses. During this time, the water industry saw below-inflation pay settlements, recruitment freezes, job losses and customers facing the prospect of an increase in water bills just as households are struggling from the cost-of-living scandal.

UNISON national secretary Donna Rowe-Merriman said: “It’s obvious that the water companies in England are regional monopolies – and this model is not working for consumers or the environment.

“For years, profits in the water industry have landed in shareholder and executive pockets, and now, when infrastructure investment can’t be ignored any longer, they want customers and workers to pay the price.

“Privatising the profits and nationalising the cost is not a sustainable way to run any industry. Public ownership of the water industry is desperately needed so that the profits of this national asset benefit UK citizens and not just a small group of shareholders.”

The article UNISON calls on water regulator to protect customers and nature first appeared on the UNISON National site.

UNISON calls on water regulator to protect customers and nature

UNISON is calling on the UK water regulator Ofwat and the UK government to stop water companies from increasing bills.

The union says that instead, there should be a focus on legislation to make companies – not the public – pay to restore the waterways to good health and protect jobs in the industry.

The water industry has hit the headlines again this week because of Ofwat’s plans to consult on banning bonuses for the bosses of water companies that have been found to have harmed the environment.

But as well as failing the environment, companies are failing customers and workers as well, claims UNISON, with several companies proposing to increase bills to fund necessary repairs and investment in water infrastructure.

Last year saw water companies consistently hitting headlines for negative reasons, including financial mismanagement, illegal discharge of sewage into waterways and leaving customers without running water – much of which can be put down to a lack of investment in infrastructure.

Yet according to analysis by the Labour Party, water company bosses have received over £25m in bonuses and incentives since the last general election. The analysis found that nine water chief executives were paid £10m in bonuses, £14m in incentives and £603,580 in benefits since 2019.

In addition, in 2023, senior executives from five of the 11 water companies that deal with sewage took bonuses. During this time, the water industry saw below-inflation pay settlements, recruitment freezes, job losses and customers facing the prospect of an increase in water bills just as households are struggling from the cost-of-living scandal.

UNISON national secretary Donna Rowe-Merriman said: “It’s obvious that the water companies in England are regional monopolies – and this model is not working for consumers or the environment.

“For years, profits in the water industry have landed in shareholder and executive pockets, and now, when infrastructure investment can’t be ignored any longer, they want customers and workers to pay the price.

“Privatising the profits and nationalising the cost is not a sustainable way to run any industry. Public ownership of the water industry is desperately needed so that the profits of this national asset benefit UK citizens and not just a small group of shareholders.”

The article UNISON calls on water regulator to protect customers and nature first appeared on the UNISON National site.

Water firms should invest in services rather than shareholder payouts

Commenting on the move by South East Water to pay out £2.3m in dividends to investors despite huge losses, UNISON head of environment Donna Rowe-Merriman said:

“Failing and polluting water companies are jeopardising water quality, killing wildlife and causing untold damage to the environment.

“It beggars belief these firms are prioritising shareholder payouts over investment in services to their customers.

“The regulator must step in to force them to focus on providing safe water supplies and maintaining cleaner rivers, not generating vast profits.”

Notes to editors
– UNISON is the UK’s largest union with more than 1.3 million members providing public services in education, local government, the NHS, police service and energy. They are employed in the public, voluntary and private sectors.

Media contacts:
Fatima Ayad M: 07508 080383 E: f.ayad@unison.co.uk
Anthony Barnes M: 07834 864794 E: a.barnes@unison.co.uk

The article Water firms should invest in services rather than shareholder payouts first appeared on the UNISON National site.

Water firms should invest in services rather than shareholder payouts

Commenting on the move by South East Water to pay out £2.3m in dividends to investors despite huge losses, UNISON head of environment Donna Rowe-Merriman said:

“Failing and polluting water companies are jeopardising water quality, killing wildlife and causing untold damage to the environment.

“It beggars belief these firms are prioritising shareholder payouts over investment in services to their customers.

“The regulator must step in to force them to focus on providing safe water supplies and maintaining cleaner rivers, not generating vast profits.”

Notes to editors
– UNISON is the UK’s largest union with more than 1.3 million members providing public services in education, local government, the NHS, police service and energy. They are employed in the public, voluntary and private sectors.

Media contacts:
Fatima Ayad M: 07508 080383 E: f.ayad@unison.co.uk
Anthony Barnes M: 07834 864794 E: a.barnes@unison.co.uk

The article Water firms should invest in services rather than shareholder payouts first appeared on the UNISON National site.

Thames Water announces it is to consult on axing 300 jobs

Thames Water, the UK’s largest water company, has announced the start of a consultation to remove over 300 roles in order to “reduce costs further and become more efficient”. This could mean over 140 redundancies, and many roles axed through the removal of vacancies.

As the largest union in the employer, UNISON is raising serious concerns about the proposals – for example, whether sufficient analysis has been done on the impact of the job cuts on workloads and whether there have been more vacancies removed over the past month than have been quoted.

The consultation also comes as the company is still working through this year’s severely delayed pay negotiations, with the union having been told that, if the implementation of the pay deal happens after December, staff who are being made redundant would not receive the backpay and bonus payment they are due.

This raises significant questions about whether workers facing redundancy would be forced into voting to accept an unsatisfactory offer for fear of losing out entirely.

UNISON regional organiser Jay Williams said: “UNISON has long argued the workforce is Thames Water’s greatest asset. Forcing redundancies to secure the profit margin for shareholders is not only short-sighted, but an affront to the workforce and customers alike.

“As well as there being devastating consequences for those facing the axe, their colleagues will have to take the strain of an increased workload. Services to customers will no doubt worsen as a result.

“UNISON will fight to protect jobs. But this announcement must be added to the ever-growing list of reasons why the water industry would be better off in public hands.”

The article Thames Water announces it is to consult on axing 300 jobs first appeared on the UNISON National site.

Thames Water announces it is to consult on axing 300 jobs

Thames Water, the UK’s largest water company, has announced the start of a consultation to remove over 300 roles in order to “reduce costs further and become more efficient”. This could mean over 140 redundancies, and many roles axed through the removal of vacancies.

As the largest union in the employer, UNISON is raising serious concerns about the proposals – for example, whether sufficient analysis has been done on the impact of the job cuts on workloads and whether there have been more vacancies removed over the past month than have been quoted.

The consultation also comes as the company is still working through this year’s severely delayed pay negotiations, with the union having been told that, if the implementation of the pay deal happens after December, staff who are being made redundant would not receive the backpay and bonus payment they are due.

This raises significant questions about whether workers facing redundancy would be forced into voting to accept an unsatisfactory offer for fear of losing out entirely.

UNISON regional organiser Jay Williams said: “UNISON has long argued the workforce is Thames Water’s greatest asset. Forcing redundancies to secure the profit margin for shareholders is not only short-sighted, but an affront to the workforce and customers alike.

“As well as there being devastating consequences for those facing the axe, their colleagues will have to take the strain of an increased workload. Services to customers will no doubt worsen as a result.

“UNISON will fight to protect jobs. But this announcement must be added to the ever-growing list of reasons why the water industry would be better off in public hands.”

The article Thames Water announces it is to consult on axing 300 jobs first appeared on the UNISON National site.

Scottish Water staff to strike for four days in November

UNISON sent notices to Scottish Water this week, to inform it that members will be taking strike action for four days starting on 10 November.

The strikes come after UNISON members at Scottish Water voted overwhelmingly (78%) for action over a pay and grading dispute earlier this month.

The dispute comes after Scottish Water proposed changes to employment contracts without properly engaging with unions, causing anger amongst staff. The union says the proposals will cause years of wrangling over pay grades and push the lowest paid onto even lower wages and cause significant problems around equality legislation.

UNISON has also written to the cabinet secretary with responsibility for Scottish Water, Màiri McAllan MSP, to ask her to intervene, in a last effort to avert industrial action.

The union says that the four-day strike, from 10 to 13 November, will have serious implications for water and sewage services – emergency repairs will not be done, water quality checks will not take place and, if the public report problems with their water supply, sewage or drainage, they will not be dealt with while staff are on strike.

Branch secretary for UNISON Scottish Water branch, Patricia McArthur said: “I am dismayed it has come to this. Scottish Water managers are imposing a new pay structure with no involvement from staff, which is not acceptable. It is storing up problems for the future.

“Scottish Water is a public utility and supposed to be the jewel in our public services. Yet staff are being treated worse than if we worked for one of the private water companies down south.”

UNISON regional organiser Emma Phillips said: “Industrial relations in Scottish Water are at rock bottom. Scottish Water staff know sewage when they see it and have strongly rejected their employers slap dash proposals.

“However, Scottish Water are insisting they are still going to implement the changes to employment contracts and pay structures.

“We have written to the Scottish government asking the cabinet secretary to – at very least – talk to unions to explore if we [can] get meaningful talks started. We have stressed to her that Scottish Water are ripping up the government’s fair work and equality guidance.

“If the Scottish government don’t intervene, then they have been warned that they are storing up problems over pay structures and future equal pay, and strikes will go ahead. Re-grading has to be done properly with the full involvement of staff and unions.”

The article Scottish Water staff to strike for four days in November first appeared on the UNISON National site.

Scottish Water staff to strike for four days in November

UNISON sent notices to Scottish Water this week, to inform it that members will be taking strike action for four days starting on 10 November.

The strikes come after UNISON members at Scottish Water voted overwhelmingly (78%) for action over a pay and grading dispute earlier this month.

The dispute comes after Scottish Water proposed changes to employment contracts without properly engaging with unions, causing anger amongst staff. The union says the proposals will cause years of wrangling over pay grades and push the lowest paid onto even lower wages and cause significant problems around equality legislation.

UNISON has also written to the cabinet secretary with responsibility for Scottish Water, Màiri McAllan MSP, to ask her to intervene, in a last effort to avert industrial action.

The union says that the four-day strike, from 10 to 13 November, will have serious implications for water and sewage services – emergency repairs will not be done, water quality checks will not take place and, if the public report problems with their water supply, sewage or drainage, they will not be dealt with while staff are on strike.

Branch secretary for UNISON Scottish Water branch, Patricia McArthur said: “I am dismayed it has come to this. Scottish Water managers are imposing a new pay structure with no involvement from staff, which is not acceptable. It is storing up problems for the future.

“Scottish Water is a public utility and supposed to be the jewel in our public services. Yet staff are being treated worse than if we worked for one of the private water companies down south.”

UNISON regional organiser Emma Phillips said: “Industrial relations in Scottish Water are at rock bottom. Scottish Water staff know sewage when they see it and have strongly rejected their employers slap dash proposals.

“However, Scottish Water are insisting they are still going to implement the changes to employment contracts and pay structures.

“We have written to the Scottish government asking the cabinet secretary to – at very least – talk to unions to explore if we [can] get meaningful talks started. We have stressed to her that Scottish Water are ripping up the government’s fair work and equality guidance.

“If the Scottish government don’t intervene, then they have been warned that they are storing up problems over pay structures and future equal pay, and strikes will go ahead. Re-grading has to be done properly with the full involvement of staff and unions.”

The article Scottish Water staff to strike for four days in November first appeared on the UNISON National site.