Transport for London (TfL) has today announced its intention to appoint Cleshar Contract Services Limited to take over maintenance work on London Overground's East London Line. The new contract is subject to a 10 day standstill period and is due to commence from 1 April 2018.
The new contract has been awarded on the basis that existing Carillion employees will transfer to Cleshar Contract Services Limited with their terms and conditions protected.
Until the new contract gets underway, TfL are working with PwC, appointed to assist the Liquidator of Carillion Construction Limited, to finalise an agreement that enables Carillion to continue to fulfil the East London Line maintenance contract. This agreement will give guarantees to support Carillion employees' continued work and payment until the new contractor takes over. This agreement will also ensure London Overground services between Highbury & Islington and New Cross Gate continue to operate as normal.
Jonathan Fox, TfL's Director for Rail and Sponsored Services, 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.'