Chief operating officer Andrew McNaughton insists modernisation agreement with Unite was turning point

Balfour鈥檚 Beatty鈥檚 operations boss has denied that threats from US unions or the current race for much-coveted nuclear new build contracts were the reason the firm dropped its controversial wage agreement.

Balfour Beatty Engineering Services鈥� surprise move to ditch the BESNA pay and conditions scheme last month came after the firm lost a court bid to block a strike by the firm鈥檚 Unite union members over the plans.

Reports had suggested the firm dropped the proposals due to threats from the US Teamster union to lead industrial action in the US market, as well as fears ongoing industrial action might impact on the firm鈥檚 bids to win nuclear contracts from EDF and Horizon.

But chief operating officer Andrew McNaughton said those issues were 鈥渋rrelevant鈥�, with the decision to abandon BESNA made after an agreement was reached with Unite that the industry must be modernised.

He said: 鈥淭he issue was about us being able to get to a point that jointly we can recognise the need to modernise.

鈥淭he organisations were in different places about the need to modernise. But now we鈥檝e got to that position and we鈥檙e now actively engaged in how we take it forward.鈥�

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