Removal of Consolidated Contracts at Fugro

Member Joined: Oct 08, 2005 Location: Inversnecky

Ray, 225, etc.

I wouldn't be reading too much into this as to the state of the industry.

Management types will be looking at the current quiet spell as a perfect time to amend contracts, screw day rates down etc.

I know a lot of the senior management in quiet a few companies didn't take too well to the massive hikes in day rates a couple of years ago.

You're on the inside Ray. Is this a move prompted by the senior management left over from Rovtech? They certainly didn't pay salaries or have consolidated contracts.

ROVworld Webteam Joined: Dec 26, 2003 Location: Scotland

225 wrote:

Its a mismanagement of personnel. If they can not give those on a consolidated salary who should be quality, core staff. At least 156 days a year, then there has been a gross error in workforce priorities. In the days of companies being run by accountants. These core staff should have been given priority over any other personel and I am surprised this has happened in both 2008 and 2009 and into 2010

If they can not provide 156 days when the pressure is on them (staff already paid this amount) then what hope is there when the financial pressure is off?

LoL, there may be the nub of the problem "those on a consolidated salary who should be quality, core staff". Consolidated was the standard contract, the majority of all new personnel taken on in the last 2 years are all on this. i.e. many are much less experienced, not core or quality. It was nothing to do with how good, bad or indifferent you were.

You talk about core staff, there is no such thing, there are staff and there are not. You cannot fairly say Employee A we will send you offshore as we are paying an offshore allowance to you anyway while Employee B has to sit at home and only get his basic. All work must be equally shared out amongst each grade.

I would agree that there are too many people to match the amount of work available, but I suppose there must be a difficult balance. You have to take people on and train them up now to be available in 2-3 years time. Take them on and have no work in 3 years = too many people. Take on no Trainees now and in 3 years time you are short.

The only "inside|" I am on is that I am an employee of the company, I have not been in the office for a year or two and have little/no contact with anyone there so my opinions are purely that.

Consolidated contracts IS an ex-Rovtech thing. We at Fugro Survey before the buyout just had the standard salary plus allowance for days worked, not guaranteed days. This consolidated thing was the way Rovtech used to do it and it became adopted at the standard contract. Maybe at the time it looked like a good idea, you know exactly how muc h you will be paying out over a year, smooth out the peaks and troughs. But with less work and more people, it doesn't make sense (for them) now.

Member Joined: Jun 10, 2009

Quote:

You talk about core staff, there is no such thing, there are staff and there are not

I agree but there is staff and day-rate. It seems they have got the balance completely wrong, employ the wrong staff or give far to much work to contractors if the staff increasingly are under-utilised. Staff are always a priority when things are quiet, regardless of the type of contract they have. I actually dont think the outlook for Fugro is that bad. Its perhaps seen by management as a good oportunity in the current climate to bring in some changes.

ROVworld Webteam Joined: Dec 26, 2003 Location: Scotland

225 wrote:

Quote:

You talk about core staff, there is no such thing, there are staff and there are not

I agree but there is staff and day-rate. It seems they have got the balance completely wrong, employ the wrong staff or give far to much work to contractors if the staff increasingly are under-utilised. Staff are always a priority when things are quiet, regardless of the type of contract they have. I actually dont think the outlook for Fugro is that bad. Its perhaps seen by management as a good oportunity in the current climate to bring in some changes.

I would agree the balance does seem wrong. I know that the use of Agency staff has been going down and down over the last few years so I dont think its a case of Agency getting the work instead of Staff.

Note that I speak of Agency, there are maybe about a dozen people on dayrate contracts within the company but this is purely a method of how they are paid. All staff are treated as staff no matter which way you are paid and all are on the whole given work no matter method of payment.

They may be worried that if they don't get work they are going to have a lot of people being paid for days they are never going to work.

It will be interesting to see the response from the 170 on the contract and whether they are willing to change or not. I know there are a fair few of you out there under other names Smile

Care to comment on the thread?

Member Joined: Jun 10, 2009

Quote:

It will be interesting to see the response from the 170 on the contract and whether they are willing to change or not

willing or not, I can't see it being optional.

Member Joined: Dec 23, 2003 Location: Scotland

3 years without a pay rise !!!

People are voting with their feet !!

FSSL is Rovtech Mk2 !! me thinks !!!

ROVworld Webteam Joined: Dec 26, 2003 Location: Scotland

And the holiday pay introduced last January was....what?

People come, people go, there has been no mass exodus of late.

rayshields wrote:

.....And the holiday pay introduced last January was....what?
.....

I feel it was nothing to do with Fugro giving a voluntary a pay rise. My understanding is that the holiday pay was forced on UK companies by UK legislation. I suspect that without such legislation 'holiday pay' would never have happened.

I therefore see Bacaruda's point as valid.

ROVworld Webteam Joined: Dec 26, 2003 Location: Scotland

Afraid not, the offshore workers won the right in 2008, the Employers appealed and their appeal was upheld in 2009.

http://www.shepwedd.co.uk/knowledge/article/972-2352/offshore-workers-lose-holiday-claim-in-the-employment-appeal-tribunal/archive/?page=4

Offshore companies do not have to pay holiday pay, some do, some don't.

I'm not sure why an old thread was resurected to try and imply people are leaving in droves as I do not believe that to be true. I'm not sure what the point is as it is not relevant to the topic.

As such, the thread is now locked, please feel free to start a new one with a relevant title if you wish.