PC Harrington workers ordered to take 15% pay cut

PC Harrington is cutting pay rates for workers by 15% as it struggles to win new contracts.

The concrete frame specialist wrote to its site workforce last week outlining plans to slash wages from January.

The letter from PC Harrington Formwork states: "Despite cutting margins, material costs and plant rates, PCHhas been unable to successfully compete in securing workload for 2009.

"In our efforts to win work against stiff competition in difficult conditions and to try to avoid future redundancies, we are now forced to consider other cost reductions.Accordingly, we must advise that we are unable to provide work for you at your current rate beyond 31 December 2008 and your current contract will expire on that date."

The letter forwarded to CJ then goes on to detail a 15% drop in pay from £10 to £8.50 an hour.

A reply form is also included for workers accepting the offer to return to PC Harrington.

The move has outraged workers and union officials. Both have accused the company of acting cynically after threatening redundancies earlier in the month.

One worker said: "I've been hereyears and resent thistreatment. Theytalked about redundancies a few weeks ago and now have come up with this pay cut. They think we're grateful still to have a job and will put up with anything."

Unite London regional official Harry Cowap said: "We have to fight this all the way. Contractors were hardly showering people with bonuses when times were good so why should they get away with outrageous pay cuts the moment things take a turn for the worse.

"We as a union will fight on behalf of our members at Harringtons who have been threatened with pay cuts. Grievance letters have already been sent to the firm and the battle has begun."

PC Harrington declined to comment on their pay policy.