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From The Socialist newspaper, 24 October 2018

Tories ensured Carillion meltdown went unchecked

Carillion, photo Elliott Brown/CC, photo Elliott Brown/CC

Carillion, photo Elliott Brown/CC, photo Elliott Brown/CC   (Click to enlarge)

Sam Witts, Birmingham Central Socialist Party

The story of the catastrophic collapse of Carillion took an even more shocking turn recently.

It has emerged that the private construction giant's two flagship projects - the Midland Met Hospital in Sandwell and the Royal Liverpool University Hospital - went ahead without any oversight whatsoever from the industry watchdog, the Infrastructure and Projects Authority.

Even more outrageously, the Guardian reported last week that this complete lack of accountability happened after senior civil servants working for Jeremy Hunt when he was health secretary in 2015, successfully lobbied the Cabinet Office to specifically exempt the hospitals' construction from public oversight.

In other words, Hunt and the Tories trashed the rulebook to make sure that their fat-cat pals in Carillion could do whatever they wanted with our hospitals without us knowing anything about it. No wonder the Carillion crisis has demonstrated some of the worst consequences of privatisation and capitalism.

Fat cat handouts

For masterminding its demise, Carillion's former CEO Richard Howson got a hand-out of 688,000 plus a benefits package for a year after he left. And the interim CEO has been on an even higher salary of 750,000.

Meanwhile, over 2,000 workers have lost their jobs, construction of the much-needed hospitals remains at a complete standstill and the taxpayers are set to foot the 150 million bill to kick-start construction.

Carillion has also had to apologise for disgracefully blacklisting its workers for trade unionism.

This latest revelation rubs salt in the wound and shows how the bosses' representatives in government and big business will always collude to exempt themselves from any rules that limit their reckless exploitation and profiteering. They cannot be trusted for a minute longer.

We need a different system now, not when the current contracts expire. We need to nationalise the major construction companies, with compensation paid only on the basis of proven need, i.e. not to the fat cats.

Only a socialist society - based on democratic workers' control and management of all major industry - will be able to put these injustices right for good.

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In The Socialist 24 October 2018:


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Related links:

Carillion:

triangleThe murky world of the 'Big Four' accountancy firms

triangleKeep Middlesbrough hospital staff in the NHS

triangleYes to NHS - No to PFI!

triangleCity vultures make millions from Carillion chaos

triangleSocialist nationalisation: what it is and why we need it

Tories:

triangleTories Out! General election Now!

triangleTories out now to save our NHS

triangleTories out - we need socialism!

triangleSave Our Schools

Construction:

triangleChina: Impressive, coordinated and daring crane drivers' strikes

triangleUnofficial strike reinstates victimised workers

triangleHinkley workers win back unpaid wages after sit-in protest

Workers:

triangleOccupy and demand nationalisation to save Devon shipyard

triangleAnother victory against NHS privatisation

Hospitals:

triangleThousands march against overnight closure of Shropshire A&E

Privatisation:

triangleHealth services in meltdown - fight to save our NHS

Liverpool:

triangleProtesters drive far right out of Liverpool

Fat cats:

triangleCare crisis cashing in

Nationalise:

trianglePrivate firms and toothless regulator to blame for trains chaos - nationalise rail now!

Big business:

triangleWest London Socialist Party: Seattle council's struggle against big business on wealth tax

Blacklisting:

triangleSalford Socialist Party: Blacklisting

Capitalism:

triangleCarlisle Socialist Party: The 1918 German Revolution

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