National Union of Rail, Maritime & Transport Workers (RMT)

ITF signals further breakdown on Thai Railways

2010-02-07T10:31:20Z

ITF: 5 February 2010

The head of a delegation that investigated problems for workers’ on Thailand’s state railways has reacted angrily to news that conditions and morale have deteriorated further

]]> Øystein Aslaksen, ITF Railway Workers’ Section Chair and President of the Norwegian Locomotive Drivers’ Union today wrote to the head of the State Railway of Thailand to register his and the ITF’s dissatisfaction with the deteriorating situation on the country’s railways. Aslaksen headed an international delegation of railway trade unionists who went to the country last month to investigate reports of poor rail safety standards and anti-union practices by employers and the government (see www.itfglobal.org/press-area/index.cfm/pressdetail/4075 for details.)

Writing to Yutthana Thapcharoen of the State Railway of Thailand, Øystein Aslaksen stated:

“I am writing to you on behalf of the ITF Safety Mission that we organised in Thailand in January 2010 and as the Chair of the ITF Railway Workers' Section, representing 1.2 million workers in 92 countries globally, to express our serious concern over the attitude of the SRT towards the State Railway Workers’ Union of Thailand (SRUT).

The Mission made it very clear in our meeting with your Deputy Governor, Prachak Manodham and later at our press conference on 15 January in Bangkok that the SRT management must cease its current anti-union stance towards SRUT and establish a co-operative industrial relationship with the SRUT and its members. The goal should be for SRT and SRUT to both strive to improve the safety standards within the Thai railways. In this regard, the ITF General Secretary, David Cockroft, wrote to the Thai Prime Minister on 18 January requesting your organisation to stop its anti-union activities and respect and fully implement the decision of the Tripartite Panel on 15 January, which voted against the dismissal of the six Branch officials of the SRUT in Hat Yai.

Despite the requests of the ITF Safety Mission and the ITF General Secretary, the SRT, with the suspected involvement of your Transport Minister, has continued with further actions against the union. On 21 January, your organisation suddenly submitted a charter of 65 demands to the SRUT designed to revoke the important aspects of the collective bargaining agreements pertaining to rail safety. It was then withdrawn on 25 January as the employees of your organisation correctly expressed their deep concern with regards the possible and potential consequences that such demands, if implemented, could bring to the workplaces.

We also have reason to believe that some union members were influenced by your senior management to sign a petition against the current SRUT leadership in November 2009. This resulted in an extra-ordinary meeting of the union being held on 3 February 2010.

History demonstrates that all attempts by management to interfere with the democratic procedures of a genuine trade union are bound to fail. SRT’s attempts were in fact defeated firmly by the members at the union’s extra-ordinary meeting.

The ITF, once again, calls upon the SRT to stop its anti-union policies towards the SRUT and to start building a sound industrial relationship. We will condemn your move to take the dismissal case to court, and as we have repeatedly expressed explicitly and publicly, such action will be met by stronger protest from trade unions around the world and the ITF will submit a complaint to the ILO's Freedom of Association Committee where your government and your organisation will be subject to further scrutiny from the ILO.

Should you cease your hostility and aggression towards the SRUT, the ITF is prepared to assist your organisation in rebuilding a better industrial relationship and social dialogue with the union and to restore and improve the reputation of your organisation globally.”.

ENDS

For more information contact ITF press officer, Sam Dawson.
Direct line: + 44 (0)20 7940 9260.
Email: dawson_sam@itf.org.uk

DB Schenker Rail takes majority stake in NordCargo

2010-01-13T13:56:28Z

IFW: 13-01-2010
By Damian Brett

DB Schenker Rail has acquired a majority stake in Italian rail freight operator NordCargo.

]]> The German firm has increased its share in the NordCargo by a further 11% giving it a total stake of 60%.

As a result of the share increase, DB Schenker Rail Italia will transfer its current business to NordCargo and the activities of both companies will merge under the umbrella of NordCargo.

Alexander Hedderich, chairman of DB Schenker Rail, said: “The amalgamation of these two companies will enable us to improve our product portfolio in Italy and along the north-south-bound corridors, thus laying the basis for attracting more transport onto rail in both the international and the Italian domestic markets.”

NordCargo has a workforce of about 200 and generated revenues of roughly €40m (US$58m) from international and domestic transports.

The company is licensed to operate on the Italian rail network, runs 7,000 trains, 1.4m train km per annum, and provides traction on routes along the Adriatic and Tyrrhenian coasts between Milan and Naples.

Italy is one of DB Schenker Rail’s most important foreign markets, with transports to and from Italy accounting for roughly one quarter of the company’s total international revenues in 2008.

Alex Gordon is elected as RMT President

2009-12-31T09:43:40Z

RMT NEWS RELEASE: December 21, 2009

TRAIN DRIVER Alex Gordon has been elected to serve as the President of RMT, Britain’s biggest specialist transport union, for the coming three years.

]]> In the postal ballot that closed today Bristol-based Alex, who will take up office in January, beat four other candidates and replaces John Leach, a London Underground worker whose term of office ends at the close of the year.

RMT’s President is the most senior lay official in the union, whose responsibility is to uphold the union’s rulebook and to preside over meetings of the union’s executive bodies, including the sovereign annual general meeting.

“Alex Gordon is a highly respected RMT activist who has served his union at all levels, from the all-important local rep to the union’s executive, and I know he will make an excellent President,” RMT general secretary Bob Crow said today.

ends

'Rip-off ' rail firms accused of hiding 15% fare increases

2009-12-31T01:42:05Z

Daily Mail: 31st December 2009
By Ray Massey

'Highway robbery': Train fares are to increase by 15 per cent

]]> Rail passengers are facing inflation-busting fare rises of up to 15 per cent in the New Year, sparking accusations that 'rip-off ' increases are being disguised.

Tomorrow annual fare increases come into force which train company chiefs say will see passengers paying an average of 1.1 per cent more for their tickets.

This is largely thanks to a 0.4 per cent fall in the cost of regulated fares – including season tickets, savers and standard day returns – which are capped by the Government.

But passenger groups and rail unions say the average figure masks the full extent of the New Year rises.

Some passengers will see rises of up to 15 per cent in unregulated fares, which include most cheap day returns, long distance open, leisure and advance fare tickets.

These prices are set by the train companies themselves, with the average rise being around 5 per cent.

However the TSSA rail union said some advance purchase tickets would rise much more.

It highlighted a supersaver fare from London to Swindon rising from £20 to £23, an increase of 15 per cent.

TSSA general secretary Gerry Doherty said: 'These people have no shame. 'If there is a chance of legally ripping off the passenger they will take it. This is modern highway robbery.'

The RMT union has described the rises as a 'taxpayer-sponsored ripoff' and said that train companies were guilty of 'spin and gloss' to disguise 'massive fare hikes' on some lines.

There is particular anger that the Association of Train Operating Companies (ATOC) has chosen not to announce how much unregulated fares are rising.

ATOC normally gives separate figures for the regulated and unregulated increases.

Regulated fares, which make up around 40 per cent of all fares, will be going down from tomorrow as they are capped according to the formula of Retail Price Index measure plus 1 per cent, based on the July inflation rate.

The recession and deflation meant RPI was minus 1.4 per cent in July, meaning prices must go down by 0.4 per cent.

But details from individual train companies paint a very different picture.

For example Virgin Trains, which operates London to Scotland services on the West Coast main line, said its unregulated fares were rising by an average of 2.8 per cent.

But some tickets are going up by as much as 6 per cent, including London to Manchester anytime standard returns, from £247 to £262.

Anthony Smith, chief executive of rail customer watchdog Passenger Focus said: 'This is a sting in the tail.

'Many unregulated fares will continue to soar above inflation as the average figures will mask steep rises on individual routes.

'We are also concerned that some train operators will tinker with off-peak ticket restrictions, forcing passengers into buying more expensive tickets.'

Liberal Democrat transport spokesman Norman Baker said: 'We all recognise that times are tough but putting rail fares up will not get people back on to the railways.'

ATOC chief executive Michael Roberts defended the presentation of fare changes by saying: 'Not only is the average rise the lowest since privatisation, but it will come in well below the rate of inflation, meaning a real-terms cut in prices for many passengers.'

He said rail travel 'continues to be good value for money'.

Adonis commissions private consultants KPMG to work out how to save UK govt's rail franchising system

2009-12-31T00:56:02Z

The Financial Times reports ('Review ordered into rail franchising', December 29 2009) that UK Transport Secretary, Lord Adonis has commissioned private consultants KPMG as part of a wider review into rail franchising by next summer when competition for rail contracts begins.

]]> The FT speculates the government may change the way it hands out rail contracts in the new year, as it fights to restore the system's credibility following renationalisation of the UK's biggest rail contract, the East Coast main line.

According to the FT the reforms being considered include:

* a restructuring of the revenue-sharing agreement between franchise winners and the government to reduce the likelihood of them handing back a contract to run a service during a downturn;
- this translates as more public money to bail out loss-making private operators in the 'tough times'. Precisely the eventuality that Adonis' predecessor, Tom Harris boasted the current round of rail franchise negotiations had been designed to avoid.

* the adoption of longer 15-year franchises as the industry norm to buy greater stability. Most are currently seven years but passenger satisfaction is higher on Chiltern Railways, for example, which has a 20-year contract;
- this is a capitulation to a long-held ambition of the Association of Train Operating Companies who have lobbied the Department for transport for years on this issue. If stability is the issue, why not get rid of franchises altogether and run an integrated, publicly-owned, national network?

* changing the role played by train companies so that they could, for example, improve stations and rolling stock;
- this is a complete red herring. All major rail station refurbishments (Reading, Birmingham New Street, Euston) are jealously guarded by Network Rail and the DfT because of their immense importance for regional and national spatial planning strategies. They won't let a bunch of venal morons who can't run the 16.13 from Worcester Foregate Street on time, anywhere near major station improvement programs. Which just leaves the train companies fighting for the right to put up bicycle racks and hanging baskets, something that they already unfortunately responsible for, with generally dire results. The same goes for rolling stock refurbishments - anything that costs money will likely end up being funded by the taxpayer. Train companies will be allowed to continue painting the aging rolling stock different colours to distract the punters from the grim reality.

* the awarding of franchises on the basis of quality, not just price, so that train operators would be encouraged to submit proposals for improving services at the bidding stage. Furthermore, Passenger Focus, the lobbying group, would be consulted.
- genius! Awarding contracts on quality, not just on the lowest bid. Unfortunately the entire franchise awarding system is based on far more political and financial considerations, such as preventing any one operator having a monopoly of London terminii for example. Quality ain't cheap and if this review ends up recommending a solution that costs the government or the train operators more money to run train services it will be about as welcome as a fart in a spacesuit.

The FT admits the review is an attempt to shore up the rail franchise system, under fire since National Express said in July it would hand its loss-making East Coast main line back to the government. The changes are likely to disappoint unions, which have called for the railways to be renationalised.

Currently, companies bid for the right to run trains on routes. Contracts are often awarded to the train operator that offers the highest premium payments or, if the route requires heavy subsidies to be profitable, to the company that requires the lowest level of state backing.

But MPs, rail chiefs and union leaders have complained that the system places more weight on the financial payback to the government than on passenger services. It also means there is little stability for rail operators, which make their bids according to projected passenger numbers but are vulnerable to any recession.

Train executives complain that a highly regulated structure gives them little leeway to cut service levels in a recession such as the current one.

Train operators are protected by a "cap and collar" arrangement, which ensures that the government funds up to 80 per cent of losses on a franchise contract if a train operator is missing revenue targets after four years.

But while the Association of Train Operating Companies wants this subsidy to be brought forward, the government is also considering linking a proportion of it to gross domestic product. This would reduce the risk of companies reneging on a contract during a downturn.

The Department for Transport confirmed to the FT it was re-examining the franchise system but said it was "not meant to be a fundamental review".

Signals out in south Wales as workers plan more strikes

2009-12-29T10:35:22Z

Morning Star: 23 December 2009
by John Millington

Rail signallers in south Wales will stage six more days of strike action next month, followed by an overtime ban, over the imposition of roster changes by Network Rail.

]]> RMT members will kick off strike action running from midnight on January 4 to midnight on Saturday January 9, the union has announced.

In addition union members have been instructed not to work unreserved overtime between Sunday January 10 and Saturday February 6.

The series of actions follows a previous six "rock solid" days of industrial action by RMT earlier this month.

Union mmbers are aggrieved by management's insistence that rosters and shifts must be fundamentally altered without consultation with the union.

RMT general secretary Bob Crow accused Network Rail of cost-cutting and demanding workers be at bosses' "beck and call."

"After six days of rock-solid strike action, which saw managers drafted in from England with a few hours' training to run the signalling with serious consequences for services and safety, RMT members are even more determined now to stop the ripping up of agreements and the imposition of new rosters that would wreck their work/life balance," he said.

"This dispute is all about money. Our members will not be treated as slabs of meat that the management can pull off the shelf when it suits them."

Mr Crow added that RMT remained available for talks but that "senior Network Rail bosses have refused point blank to negotiate a settlement to this dispute."

Regional organiser Phil Bialyk accused the employer of breaching a 1994 national rostering agreement by imposing the changes.

"The majority of signallers work a 12-hour shift over a three-day week," he said. "Members have grown used to this and have family commitments.

"Now the employer wants us to switch to an eight-hour shift over a five-day week."

Mr Bialyk was particularly sceptical of a new "fatigue index" which managers say is the reason for the changes in shift patterns.

"Members will still be expected to work 12 hours in case of emergencies," he noted. "Where is the fatigue index for that?"

See also:

Rail signallers union plans further strike in new year

South Wales Echo: Dec 24 2009
by James McCarthy,

ANGRY signal workers are to stage six more days of strikes and ban overtime in a row over new rosters.

The Rail Maritime and Transport (RMT) union said South Wales members would walk out from January 4 until midnight on January 9 following a “rock solid” six-day stoppage earlier this month.

And it warned it would be balloting more signal workers in South Wales for strikes, escalating the dispute.

General secretary Bob Crow, pictured, said: “After six days of rock-solid strike action, which saw managers drafted in from England with a few hours’ training to run the signalling with serious consequences for services and safety, RMT members are even more determined now to stop the ripping up of agreements and the imposition of new rosters that would wreck their work-life balance.

“This dispute is all about money. It’s about cutting corners and demanding that staff are at management’s beck and call regardless of the impact on home lives. Our members will not be treated as slabs of meat that the management can pull off the shelf when it suits them.

“Senior Network Rail bosses have refused point blank to negotiate a settlement to this dispute.

“RMT remains available for talks and we will continue to press management to get around the table and negotiate an agreement.”

Network Rail said it was “disappointed” with the new strikes.

It claimed it had invited the RMT to meet next week to try to resolve the dispute.

The firm said services would run as normal with “tried and tested” contingency plans in place.

Route director Chris Rayner said: “Despite our best efforts to resolve this dispute, we are bitterly disappointed that RMT do not appear to want these discussions to happen with the latest strike action.

“We urge RMT to suspend this latest strike to come back to the table so we can get this matter sorted as quickly as possible.

“Limiting passenger disruption remains our top priority and we are confident to be able to achieve that with our robust contingency plan.

“There will be full staff strength with competent and trained signallers stepping into the breach, so that passengers will remain unaffected by this futile strike action.”

After the action earlier this month, Network Rail said 95% of trains ran.

Services from Cardiff to Bridgend, from Radyr to Coryton and from Penarth to Bargoed were all affected.

See also:

New year strikes for rail workers over rosters

BBC News: 25 December 2009

Rail workers on the picket line in Newport during the last strike

Railway signalling workers who took six days of strike action in the run-up to Christmas are expected to walk out again in the new year.

Hundreds of Rail Maritime and Transport (RMT) union members based in south Wales and the Marches are expected to go on strike from 4 to 9 January.

It is in protest at the "imposition" of rosters at a control centre due to open in Cardiff in January.

Network Rail insisted passengers would not be inconvenienced.

The union is also banning overtime as part of the action and announced it would be balloting more signal workers in south Wales for strikes, escalating the dispute.

It comes after signalling workers from areas including Cardiff, Newport, Port Talbot, Vale of Glamorgan and the Rhymney valley walked out between 14 and 19 December.

"It's about cutting corners and demanding that staff are at management's beck and call regardless of the impact on home lives" - Bob Crow, RMT union

General secretary Bob Crow said: "After six days of rock-solid strike action, which saw managers drafted in from England with a few hours training to run the signalling with serious consequences for services and safety, RMT members are even more determined now to stop the ripping up of agreements and the imposition of new rosters that would wreck their work/life balance.

"This dispute is all about money. It's about cutting corners and demanding that staff are at management's beck and call regardless of the impact on home lives.

"Senior Network Rail bosses have refused point blank to negotiate a settlement to this dispute."

But Network Rail said its plan to hold talks with to the union on 30 December had been broken off by the RMT.

It said it had "tried and tested contingency plans", which were brought in during the previous strike.

"Limiting passenger disruption remains our top priority and we are confident to be able to achieve that with our robust contingency plan" - Chris Rayner, Network Rail

The company has extra staff who can step in to ensure a full service, it added.

Chris Rayner, route director for Network Rail, said: "Despite our best efforts to resolve this dispute, we are bitterly disappointed that RMT do not appear to want these discussions to happen with the latest strike action," he said.

"We urge RMT to suspend this latest strike to come back to the table so that we can get this matter sorted as quickly as possible.

"Limiting passenger disruption remains our top priority and we are confident to be able to achieve that with our robust contingency plan.

"There will be full staff strength with competent and trained signallers stepping into the breach, so that passengers will remain unaffected by this futile strike action."

The action is in response to a consultation by Network Rail about changing roster hours to eight hours, which the company said will provide "more productive hours for employees while lowering the level of fatigue risk".

Arriva reports rail revival

2009-12-17T12:37:43Z

Press Association: 17 December 2009

The operator of the CrossCountry rail franchise has said that there had been a "substantial improvement" in passenger revenues in recent weeks.

]]> In a trading update, Arriva reported a 2.1% rise in CrossCountry revenues for the year to date, accelerating to a gain of 6.1% over the past 13 weeks.

Despite the upturn Arriva said the improvement was still insufficient to compensate for declining franchise support payments.

The company warned at the start of this year that it needed passenger revenue growth of around 10% a year to maintain 2008 profits. Revenue support measures from the Department for Transport do not kick in until 2011.

The CrossCountry franchise, which Arriva secured in 2007, covers 1,400 miles and calls at more than 100 stations between Aberdeen and Penzance, Bournemouth and Manchester and Cardiff and Stansted in Essex.

Across the business, which operates in 12 European countries, Arriva said it continued to trade in line with expectations, helped by ongoing cost reductions as it offsets recessionary pressure and a £60 million fuel cost rise.

The company said: "Whilst the economic environment remains challenging there is evidence of recovery in passenger revenue growth in our UK trains division."

At Arriva Trains Wales, passenger revenues growth was 7%, compared with the 6.7% improvement reported in October.

Revenues in the UK bus division increased by 4.4% in the 11 months to November 30, compared with 4.9% in the nine months to September. The company said it had cut mileage on regional routes in a bid to reduce its cost base.

See also:

Arriva accelerates despite fuel rises and franchise subsidy falls

Guardian: 17 December 2009
Nick Fletcher

Cost cutting and signs of recovery in train revenues have helped transport group Arriva offset a hefty £60m hike in year-on-year fuel costs.

In a trading update Arriva said bus revenues rose 4.4% in the eleven months to the end of November, while passenger revenues at CrossCountry trains rose by 2.1% in the first 48 weeks and by 6.1% in the last 13 weeks. Its two train franchises have cut costs by £15m but the company warned this would not be sufficient to make up for falling franchise support payments.

The company expects a £45m credit from an agreed change to the largest of its defined benefit pension schemes, a £70m gain from a tax settlement, but a £30m charge from scaling back its Portuguese operations.

In all Arriva said it was trading in line with expectations, and it was confident about its medium term prospects. Its shares have added 3.7p to 485.9p.

The update prompted a buy note from company broker Royal Bank of Scotland:

"There were two key messages that we were keen to hear to continue to support our buy case at this point: 1) group is trading in line with expectations and this is management's view and; 2) that CrossCountry is continuing to stabilise - in fact revenue trends are improving."

Meanwhile Panmure Gordon repeated its hold recommendation, with analyst Gert Zonneveld saying:

'The company is one of the most defensive in the subsector, with the vast bulk of its profits coming from resilient UK bus and mainland European bus and rail operations. The medium and long term outlook is good, supported by a £13bn order book and the fact that more than 60% of its revenues are from government contracts.

"The stock is now trading on a prospective PE of 9.8 times 2010 estimates and the dividend yield is 5.5%. We downgraded to a hold a few months ago when the share price was near 500p. Even though the shares do not look expensive at current levels, we believe they are unlikely to bounce strongly in the current market environment."

And Investec went the whole hog and issued a sell note:

"Arriva's trading update this morning is in line with its expectations. While bus remains solid and the rail recovery continues, Continental European operations appear to have weakened. Although we are now more comfortable that the potential scale of rail-related risks is diminishing, we continue to think it too early to buy the shares and retain our sell recommendation for now."

EARLY DAY MOTION 482 IN NAME OF PAUL FLYNN, MP BACKS RMT SOUTH WALES SIGNALLERS STRIKE

2009-12-16T13:50:14Z

RMT: 16 December 2009

Paul Flynn, Member of Parliament for Newport West and a member of RMT's Parliamentary Group of MPs has put down an Early Day Motion EDM 482 in the House of Commons in support of RMT Signalworkers who are on strike against Network Rail's assault on their terms and conditions. An Early Day Motion is a petition MPs sign to highlight issues of concern to their constituents. So far 5 MPs have signed EDM 482 (Paul Flynn, Katy Clark, Colin Burgon, Jeremy Corbyn and RMT Parliamentary group convenor, John McDonnell). If your MP has not yet signed EDM 482 please ask them to do so by writing, faxing or emailing their office. You can contact them automatically by clicking the link: Write to them.com. Don't delay - Do it today!

]]> SOUTH WALES SIGNAL WORKERS STRIKE
EDM 482: 15.12.2009

Flynn, Paul

"That this House applauds the committed and skilled work of railway signalling workers who keep the railways moving; notes that signal workers are engaged in strike action in South Wales in protest at the imposition of new working hours by their employer Network Rail; is deeply concerned that Network Rail is seeking to force through change that will be detrimental to workers and that this is also taking place whilst company directors continue to award themselves significant bonuses; congratulates the signal workers on their solidarity; is alarmed at the safety consequences of insufficiently trained managers being brought in from throughout the UK to cover the work of the signal workers during the strike; and believes that instead of increasing the risks to safety and strike-breaking, Network Rail should concentrate their efforts on achieving a fair negotiated settlement."

Paul Flynn, Newport West (Lab)
Katy Clark, Ayrshire North & Arran (Lab)
Colin Burgon, Elmet (Lab)
Jeremy Corbyn, Islington North (Lab)
John McDonnell, Hayes & Harlington (Lab)

Further information:

Geoff Martin 0207 255 9146 (RMT Media Office)
07831 465 103 (Mobile)

Go-Ahead rail arm under pressure

2009-12-15T08:31:59Z

ShareCast: 15 December 2009

LONDON - Bus and train group Go-Ahead expects interim profits from its rail business to halve though its bus business is doing better.

]]> Rail profits are expected to slide as growth in passenger numbers across its three franchises will not be sufficient to offset the reductions in net franchise subsidies from the government. Go-Ahead expects that first half operating profit will be broadly half of the first six months of last year's 34.9m.

First half operating profit from its buses will be slightly ahead of the first half of last year's £31.4m. In the regulated London bus operations, first half revenue growth is anticipated to be 6-7% and mileage to be up around 5%. Unregulated revenue will be up by 7%.

Aviation Services, most of which has recently been sold, will break even in the half, but there will be first half exceptional charges of around £41m (H1 2008/9: £58.4m), consisting of the impairment charge for aviation services of around £35m and around £6m of restructuring costs to date.

'At this stage of the year, we have not changed our expectations for the full year results. We continue to believe that the economic climate will remain difficult and we will take management action accordingly,’ Go-Ahead said.

'We expect our bus operations to remain strong in the second half of this year and to benefit from a full year of acquisition contributions, and a fully hedged reduction in fuel costs of around £6m, in the next financial year. In rail, we expect revenue growth before initiatives to be modest in the second half given the low fare increases in January 2010,'it added.

See also:

Go-Ahead Trades In Line; Rail Profit To Fall By Half

Wall Street Journal: DECEMBER 15, 2009
By Kaveri Niththyananthan

LONDON (Dow Jones)--Go-Ahead Group PLC (GOG.LN) Tuesday said it was trading in line with expectations but added profit from its rail division for the first six months of its fiscal year would be half of the GBP34.9 million posted a year ago because of reduced government subsidies.

The bus and rail operator said it continues to believe the economic climate will remain difficult and it will act accordingly, without giving details. It said it has not changed its expectations for the full year.

The company said its bus unit continues to perform well and now forecasts an operating profit for the 27 weeks to Jan. 2 ahead of the GBP31.4 million posted a year ago. London bus operations will grow between 6% and 7%. Go-Ahead added it expects first-half revenue at its deregulated bus operations to increase by 7% with passenger numbers increasing by about 5%.

It expects bus operations to "remain strong in the second half of this year and to benefit from a full year of acquisition contributions, and a fully hedged reduction in fuel costs of around GBP6 million, in the next financial year."

Fuel costs will increase by GBP2 million over the six-month period to Jan. 2, part of which will be recovered by increasing fares, it said.

First-half passenger revenue growth at its Southern and London Midland rail franchises will be 10% as passenger volumes increase between 3% and 4%. It expects Southeastern to grow 4% despite a 2% fall in passenger numbers. Revenue growth in the second half will be modest due to low fare increases planned for January 2010.

Go-Ahead's shares have fallen 14% over the past three months and closed Monday at 1271 pence.

See also:

Go - Ahead Sees H1 Rail Profit Down

New York Times: December 15, 2009

LONDON (Reuters) - Transport group Go-Ahead said first-half profit at its rail unit would be 50 percent down on last year due to reductions in government subsidies but that its bus business was performing well.

"We continue to believe that the economic climate will remain difficult and we will take management action accordingly," Go-Ahead's chief executive Keith Ludeman said.

"We expect our bus operations to remain strong in the second half ... in rail, we expect revenue growth before initiatives to be modest in the second half given the low fare increases in January 2010."

The company, which operates its commuter rail franchises through majority-owned joint venture Govia, expects operating profit at its rail unit to be broadly half the 34.9 million pounds it reported last year due to reductions in franchise subsidies from the government.

It added that passenger numbers were growing steadily across the rail business, however.

The firm, which operates bus companies and runs three London rail franchises, said first-half bus revenues would be 7 percent higher than last year but that its fuel costs for the year were hedged at 47 pence per litre compared to 43 pence last year.

Go-Ahead, which earlier this month sold its aviation services unit, said it would likely spend around 70 million pounds on acquisitions and investments in the full-year.

Go-Ahead is expected to report an average pretax profit of 81.16 million pounds for the year to the end of June 2010, according to a Thomson Reuters I/B/E/S poll of 13 analysts.

Shares in Go-Ahead, which have risen 20 percent in 2009, closed at 1271 pence on Monday, valuing the group at around 545 million pounds.

Six days of strike action

2009-12-14T08:15:16Z

Rail-news: December 11, 2009

RAIL UNION RMT today confirmed solid support for six days of strike action by a group of signalling staff in the Wales and the Marches Operations area – starting first thing Monday morning – over the imposition of rosters at the new South Wales Control Centre due to open in January 2010.

South Wales Control Centre: one of Network Rail's new 'Signalling Factories'

]]> RMT warned today that managers from other parts of the UK are being brought in at short notice to try and run signaling services with union members reporting that they are receiving five hours of briefing for duties that would normally require a minimum of a month’s full training. RMT have raised the potential safety risks of trying to run rail signalling on such an ad-hoc bas in an effort to break the strike.

The strike action will run from 00.01 hrs on Monday December 14 through to 23.59 hrs on Saturday December 19.

The strike will involve RMT signalling grades members at the following NR signalling locations in the Wales and Marches Operations Area; the new South Wales Control Centre, Newport panel, Vale of Glamorgan (Barry Box, Barry Relief, Aberthaw Box, Cowbridge Road Box), Rhymney Valley (Heath Junction, Ystrad Mynach, Bargoed), Cardiff panel and Port Talbot panel.

RMT General Secretary Bob Crow said:

“Our members are rock solid in their determination to stop the bulldozing through of rosters at the new South Wales Control Centre which we believe are all about saving money and which unilaterally rip up existing agreements.

“This is nothing less than an attempt by management to impose working conditions that will allow them to shove staff around at will and force them to work up to 13 days back to back to cover for vacancies and save Network Rail money. That goes right to the heart of this dispute.

“RMT maintains that the existing 12 hour roster is tried and tested and that the 8 hour roster that Network Rail are trying to impose at the new South Wales Control Centre when it opens in January will have damaging consequences for both staff and the service. Work-life balance arrangements will be wrecked in a drive to make financial cuts.

“Rather than taking risks with safety by drafting in under-trained managers from other parts of the UK in an effort to break this strike it would make much more sense for Network Rail to get back around the table to negotiate a settlement to this dispute.”

See also:

Rail workers to strike over roster

Press Association: 13 December 2009

Railway signal workers are due to launch six days of strike action in a row over rosters at a new control centre.

The Rail Maritime and Transport union said the walkout by workers in the Wales and the Marches area will hit services, although Network Rail denied there will be any disruption.

The union claimed that managers standing in for the strikers had received five hours of briefing for duties that would normally require a minimum of a month's full training.

Head of Railroad Union Arrested

2009-12-14T08:07:49Z

The Korea Times: 12-13-2009

Kim Ki-tae, head of Korean Railway Workers' Union, has been arrested for leading an illegal strike waged by Korean Railroad (Korail)'s labor union.

]]> Judge Kim Hyung-doo of the Seoul Central District Court, who issued the warrants at the request of prosecutors, said, "Kim's arrest was necessary because he is apparently very likely to destroy concerned evidence and flee."

Kim called off the strike on Dec. 3, and turned himself into a police station of Dec. 9. Kim had been on the police's wanted list.

Korail's unionized workers launched a strike Nov. 26 to thwart the management's attempt to shed jobs and cut wages as part of restructuring steps. The company said the union's action has dealt severe damage to the company, estimated at over 20 billion won.

Even while under arrest, Kim was quoted as saying, "If the government and management continue to provoke the union, we will stage a stronger struggle."

See also:

Railway union leader detained over illegal strike

Yonhap News Agency: 2009/12/13

SEOUL, Dec. 13 (Yonhap) -- Police took the head of a railway workers' union into custody on Sunday, accusing him of disturbing the service of the state-run Korea Railroad (KORAIL) by leading an illegal walkout.

An arrest warrant was issued for the Korean Railway Workers' Union leader, Kim Ki-tae, during the Nov. 26- Dec. 3 strike. Kim turned himself in to police Dec. 9 after seeking refuge at an umbrella labor union's office.

Some 15,000 union members, excluding 10,000 workers essential for railway maintenance, had taken part in the eight-day strike, protesting the management's decision to shed jobs and cut wages as part of restructuring steps.

KORAIL claims the walkout, the longest ever by the nation's railway workers, caused an estimated 20 billion won (US$17 million) in losses.

It said it will proceed with disciplinary procedures against 12 union leaders and seek compensation for damages from the union.

Rail cuts cost lives

2009-12-08T11:54:21Z

RMT BRISTOL RAIL - Fighting Network Rail Job Cuts

CALLING NOTICE: Day of Action
Thursday, 17th December 2009 from 07.00-09.30am

• BRISTOL TEMPLE MEADS
• BRISTOL PARKWAY

]]> As part of our campaign against the threat to 1,500 Network Rail maintenance jobs, the RMT Council of Executives has called a day of action on Thursday 17th December 2009.

On that day we are holding a mass leaflet of passengers outside Britain’s major railway stations. Our message to the public is: ‘rail cuts cost lives’.

Please join us outside the following stations, from 07.00-09.30am

• BRISTOL TEMPLE MEADS
• BRISTOL PARKWAY

Please join us – contact 01278 450562

To keep up the political pressure on the Government and Network Rail against these job cuts, a series of Early Day Motions will be drafted on the regional effects of the job cuts

DIY train buffs go loco

2009-12-08T11:30:56Z

Ananova:

Train buffs are facing jail after building their own ramshackle locomotive and taking it on the public rail network.

Ramshackle loco /Europicss

]]> The six-seater train - made out of garden furniture and salvaged train parts - was powered by an electric motor and even had its own refreshments car in the shape of a crate of beer.

Police in Erfut, Germany, were alerted after residents of properties adjoining the railway spotted the unorthodox vehicle - and were aware that there should have been no traffic running.

Police however had to call in a helicopter to find and follow the makeshift train as the police cars could not follow it along the tracks.

The helicopter pilot was able to radio ahead to other officers who set up a makeshift barrier at a station to stop it.

Railway bosses had been asked to suspend all services to avoid a collision although the train buffs had chosen to have their drive when there had been no trains scheduled.

"It seems to be one of those mad pub ideas that actually happened. They didn't seem to realise they could have caused a serious accident if they'd got anywhere near a real train," said one officer.

Six men who were arrested on the unauthorised vehicle are currently facing public safety charges.

Network Rail Wales & Marches, Signallers’ Dispute - Public Meeting

2009-12-07T01:38:52Z

RMT SW&W Regional Council has called a STRIKE SUPPORT MEETING

WHEN: Thursday, 10th December 2009
WHERE: Cardiff Transport Club - 59-61 Tudor Street, Cardiff
SPEAKERS: RMT Executive Committee, Alex Gordon
Commencing at 18.30hrs

]]> RMT has called six days of strike action by Network Rail Signallers in Wales and Marches over imposition of rosters at the new South Wales Control Centre due to open in January 2010.

The strike will run from 00.01 hrs on Monday, 14 December through to 23.59 hrs on Saturday, 19 December 2009.

RMT General Secretary Bob Crow said: “Our members are furious at the attempt to bulldoze through rosters at the new South Wales Control Centre which we believe are all about saving money and which unilaterally rip up existing agreements. Their support for strike action in this ballot shows just how determined they are to force a management rethink.”

Please make every effort to attend Solidarity with our striking members!

Organised by RMT South Wales & West of England Regional Council
Secretary, Steve Skelly – Mobile: 07766 020531 - email: bridgendllantrisant@rmt.org.uk

Finch joins National Express sinking ship

2009-12-07T01:35:28Z

The Financial Times reports (December 7 2009) that National Express is to appoint Dean Finch, boss of London Underground maintenance company Tube Lines and former chief operating officer of rival bus and rail operator FirstGroup as its chief executive.

]]> The previous National Express chief executive, Richard Bowker resigned in July, after it became clear the company couldn't afford to run the lossmaking East Coast railway line between Edinburgh and London, which was renationalised last month. By taking the franchise back from National Express and holding it for more than a year the government is losing out on payments of £179m due under the contract in 2010/2011, putting further strain on a state rail budget that is already pumping an estimated £500m into struggling franchises in the form of revenue support over the next two years.

The franchise will be owned by a new company called 'Directly Operated Railways', whose chief executive is Elaine Holt, former head of the First Capital Connect franchise. "DOR will be responsible for the East Coast main line operations and will then continue to manage the franchise until it is re-let again to a new private operator – anticipated in mid-2011."

National Express has £1bn of debt and was forced to go to shareholders for a £360m rights issue two weeks ago. But the financial crisis has sparked a dispute with NX's majority shareholder and deputy chairman Jorge Cosmen, who campaigned against the equity-raising attempt on the grounds that the amount sought was too large and the business lacked a well-defined strategy.

Mr Cosmen feared National Express would be sacked from the rail business when Lord Adonis, UK transport secretary, threatened to take back two remaining train franchises - C2C and East Anglia - as a penalty for withdrawing from East Coast. In the event, Adonis pulled his punches, allowing National Express to retain the contracts until they expire in 2011.

National Express has been subjected to three takeover bids, two of which Mr Cosmen supported.

See also:

Business big shot: Dean Finch

The Times: December 8, 2009
Angela Jameson

Dean Finch, chief executive, Tube Lines

Rail commuters will be familiar with the problem. You are strap-hanging on the 5.45 when you spy an empty express train pulling into the platform opposite. Do you make a run for it and risk missing both of them? Or, worse, do you make the express train, only to find that its crew has gone AWOL and the engine will not be leaving the station any time soon.

Such a dilemma faces Dean Finch, chief executive of Tube Lines, London Underground's maintenance company — indicating the dearth of management talent in the transport sector.

It is only six months since Mr Finch jumped from FirstGroup, where he was chief operating officer and tipped for the top, to Tube Lines, where he got to run his own show for the first time. Now another rail and bus company — National Express — wants Mr Finch to be its chief executive and an announcement was expected this week to say that he had jumped fenders. But David Begg, chairman of Tube Lines, has decided to put up a fight. Mr Begg said yesterday that his chief executive was still considering the National Express approach and would make a decision over the next week.

Mr Finch, known for being a details man and razor-sharp, trained as an accountant with KPMG before joining First nine years ago. He quickly made himself essential to Sir Moir Lockhead, the chief executive, and was rewarded with a year’s spell in America, where he integrated the Laidlaw bus and coach business, FirstGroup’s $3.5 billion acquisition that propelled it into the top tier of global private transport operators. However, such was his influence on the British company that there were concerns that operational difficulties, particularly on First Great Western, could mount while his time was taken up elsewhere.

When he returned from the United States, he became First’s chief operating officer and was expected to take over from the 64-year-old Sir Moir. But Mr Finch, approached by Tube Lines last year, decided not to wait.

Too clever to be a bruiser, according to one industry insider, but also someone who does not suffer fools, he would relish the challenges that steering National Express would pose. However, the fact that the troubled transport group is likely to be a rail operator for only another two years may have made him hesitate, so keen is he on the railways. His track record goes back a long way, having worked on the privatisation of the industry and the rail franchising model at KPMG.