Retentions campaign has mixed reactions
The campaign against retentions had a mixed week, receiving a shot
in the arm and a slap in the face in swift succession.
While the House of Commons promised a select committee
investigation into the practice, the Office of Fair Trading forced
the Lift and Escalator Industry Association (LEIA) to retract its
ban on members accepting contracts with retention clauses.
The Constructors' Liaison Group (CLG) was celebrating after being
informed by the trade and industry select committee chairman Martin
O'Neal that an inquiry would begin during the next parliamentary
session.
CLG chief executive Rudi Klein described the move as "a massive
step".
The committee is expected to invite interested parties to make
submissions, possibly in July or September, and a half-day oral
hearing may be held in November. Klein believes the committee's
report could be handed to the government by Christmas.