GMB Letter To Southern Cross Landlords
Thursday 16th June
2011
GMB HAS WRITTEN TO 11
SOUTHERN CROSS LANDLORDS SETTING OUT LEGAL RIGHTS OF STAFF IF
LANDLORDS TAKE CONTROL OF HOMES
As GMB is the recognised union
by Southern Cross union members have the right to be consulted
collectively prior to any transfer of their jobs to a new provider
of care and are also protected from any attempts by the incoming
employer to force cuts in terms and conditions prior to the
transfer
GMB the recognized union for the
42,500 care and support staff at Southern Cross yesterday wrote to
11 landlords setting out the legal rights of the staff and
seeking urgent meetings with them in the event of the landlords
taking over some or all of the homes. See copy of letter in notes
to editors below.
This letter was sent to the landlords
before the announcement by Southern Cross and the landlords last
evening that the company will be broken up with between 351 and 501
homes to be run by new operators.
The letter was sent to the 11 Southern
Cross landlords that GMB is aware of namely: London & Regional
90 homes; Vector Property Group not known ; NHP 249 homes; Loyds
Properties 49 homes; Zest Investment Group 4 homes; Bondcare Group
39 homes; Four Seasons 40 homes ; Prestbury Investments LLP 30
homes; Lifestyle Care not known and Care UK not known. These own
over 500 of the 753 homes.
GMB is now seeking urgent talks with
both Southern Cross and the landlords to clarify what is planned.
Talks with the company are scheduled for next Tuesday 21st June on
the proposals made to GMB by Southern Cross to cut labour costs by
at least £20 million. This would see 3,000 job cuts and wholesale
changes to terms and conditions of employment and new work
patterns. The proposals are set out in the Consultation/Engagement
Document Labour Effectiveness 8th June 2011.
Justin Bowden GMB National Officer for
GMB members in 751 Southern Cross care homes across the UK told the
landlords" We are also duty bound to raise with you the
issues regarding the Transfer of Undertakings Protection of
Employment (TUPE) provisions, which are certain to come into play
in respect of any transfer of ownership.
As GMB is the recognised union
by Southern Cross, our members have the right to be consulted
collectively prior to any transfer of their jobs to a new provider
of care.
In addition and as you are
aware, GMB members have their full terms and conditions of
employment guaranteed in law following their transfer to any new
< employer. They are also protected from any attempts by
the incoming employer to force cuts in terms and conditions prior
to the transfer.
You should record this letter
as formal notification of your responsibilities under TUPE towards
our members
For our part you should note
that GMB has taken the following steps:
We have advised all our
members of their detailed legal rights.
We have instructed our members
to refuse to sign up to any changes in their working
conditions.
We have provided GMB members
with personal and collective access to some of the best employment
law advisors in the
UK.
We have committed to provide
every GMB member with personalised legal advice and the full
support of the union in the event they need to launch a legal
challenge.
The cuts in working conditions
proposed by Southern Cross in their consultation paper will have a
major impact on the quality of care our members can provide –
despite their dedication and commitment to the residents of the
homes.
We know you share our members
concern for the 31,000 residents in these homes and the impact that
the suggested £20 million cuts in staff costs would inevitably have
on the delivery of their care plans.
We hope you will join with us
in agreeing a consensual and workable plan to secure the future of
the 31,000 residents, as well as responding to the concerns of our
members who they rely on every day to care for their loved
ones.
We look forward to hearing
from you at the earliest possible opportunity in order that we can
find an effective strategy to move forward together"
End
Contact: Justin
Bowden GMB National Officer 07710 631 351 or GMB officers in
regions: Paul Maloney South East and South West 07801 343 839 or
Amanda Gearing West Midland 07957 265 678,or Barry Fletcher
Scotland 07921 885775 or Jon Smith Yorkshire 07918 905 615 or Kelly
Andrews Wales and Avon 07980 753 131 or Shaun Graham London and
Eastern 07885 706 556, or Martin McGinley East Midlands 07977
161 305, or Karen Atkinson North West 07740 8040 51 or Suzanne Reid
Northern Region 07870 176 728 or Eamonn Coy Northern Ireland 07968
109 355
Notes to Editors
Copy of letter to landlords
Dear Sir / Madam
We are writing to you on behalf of
our 12,000 members currently working in the 753 Southern Cross care
homes to seek an urgent meeting to discuss the future of Southern
Cross' care homes business. We are doing so following media
reports this morning that the landlords of Southern Cross care
homes intend to take control of the business.
No doubt you share our concerns
about the way this business has been run to date. We have
held serious concerns since 2006 that the strategic business plan
of the Southern Cross board is simply not workable. Just like
the directors of the major banks they built their plans around an
assumption that Government would be the funder of last resort and
Southern Cross was too big to fail. It appears likely at this
stage that the landlords of Southern Cross buildings will
ultimately be forced to step in and take over the
business.
We are writing to you now as a
major stakeholder in the business to ask that we meet at the
earliest possible date to ensure we can work together to protect
the future of Southern Cross, so that our members can feel
reassured and secure in their jobs, and get on with providing the
best possible care for residents across the country.
We are sure you are aware of
the advice GMB members have been given by their union in response
to the proposals by Southern Cross to cut labour costs by at least
£20 million. (Consultation/Engagement Document Labour
Effectiveness 8th June 2011) and we are happy to
discuss that advice with you.
We are also keen to discuss future
plans for the business to ensure a smooth transition, and to seek
solutions together to Southern Cross' many problems.
We are also duty bound to raise
with you the issues regarding the Transfer of Undertakings
Protection of Employment (TUPE) provisions, which are certain to
come into play in respect of any transfer of ownership.
As GMB is the recognised union by
Southern Cross, our members have the right to be consulted
collectively prior to any transfer of their jobs to a new provider
of care.
In addition and as you are aware,
GMB members have their full terms and conditions of employment
guaranteed in law following their transfer to any new <
employer. They are also protected from any attempts by the
incoming employer to force cuts in terms and conditions prior to
the transfer.
You should record this letter as
formal notification of your responsibilities under TUPE towards our
members
For our part you should note that
GMB has taken the following steps:
We have advised all our members of
their detailed legal rights.
We have instructed our members to
refuse to sign up to any changes in their working
conditions.
We have provided GMB members with
personal and collective access to some of the best employment law
advisors in the UK.
We have committed to provide every
GMB member with personalised legal advice and the full support of
the union in the event they need to launch a legal
challenge.
The cuts in working conditions
proposed by Southern Cross in their consultation paper will have a
major impact on the quality of care our members can provide –
despite their dedication and commitment to the residents of the
homes.
For example, we obviously have
concerns that any prospect of lower pay and fewer holidays will
result in even higher staff turnover and major breaches in the
continuity of care many vulnerable residents require. Equally
the loss of any kind of sick pay scheme will force care workers to
come to work when ill and so significantly raise the risk that
vulnerable residents will become sick. You will be aware that
under existing management, over 25% of Southern Cross homes are
failing to reach minimum standards of care as set out by the
regulator.
We know you share our members
concern for the 31,000 residents in these homes and the impact that
the suggested £20 million cuts in staff costs would inevitably have
on the delivery of their care plans.
We hope you will join with us in
agreeing a consensual and workable plan to secure the future of the
31,000 residents, as well as responding to the concerns of our
members who they rely on every day to care for their loved
ones.
We look forward to hearing from
you at the earliest possible opportunity in order that we can find
an effective strategy to move forward together.
Yours sincerely
Justin Bowden
National Officer