Transport for London (TfL) is set to award Cleshar Contract Services a contract previously held by Carillion for maintenance on the London Overground’s East London line following the construction giant’s collapse.
The contract is due to begin on April 1 – subject to a 10-day standstill – and stipulates that existing Carillion employees will transfer to Cleshar Contract Services with their terms and conditions protected.
Until the new contract gets underway, TfL is working with PwC, appointed to assist the Liquidator of Carillion Construction, to finalise an agreement that enables Carillion to continue to fulfil the East London Line maintenance contract.
This agreement gives guarantees to support Carillion employees’ continued work and payment until the new contractor takes over and ensures London Overground services between Highbury & Islington and New Cross Gate continue to operate as normal.
TfL’s rail and sponsored services director Jonathan Fox said: “I would like to give my sincere thanks for the continued commitment and professionalism of all employees during this uncertain time and am delighted that we will be able to secure a way forward for this contract and the Carillion staff affected.
“I hope this will provide reassurance to our hardworking staff and our customers on the East London Line.”