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Skanska prepares for world record pipe-jacking task

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A Skanska-led joint venture is starting to prepare the way for a record-breaking pipeline push 30m below the River Humber for National Grid.

Eight 610m sections of concrete cased pipes will be pushed through Humber River tunnel
The firm has just completed the 18-month first stage tunnel drive for the £100m gas transportation project slightly behind programme.

Now preparation work is getting underway to attempt the challenging pipe-jacking feat.

This will involve painstakingly pushing eight, 610m sections of pipe at about one metre a minute through the 5km tunnel.

Before the two hydraulic thrust machines start the epic task next spring, the team must first dismantle the 3.65m diameter TBM Mary.

Steve Ellison, lead project manager of Capital Delivery at National Grid, said: “It’s the first time a tunnel has been constructed beneath the River Humber and a fantastic achievement for everyone involved.

“Over the next few weeks we’ll be dismantling the tunnel boring machine and lifting her out of the ground in sections, ready to be transported back to Germany, where as much as possible will be refurbished and renewed to get her ready for her next tunnelling job.

“The next steps for us here under the Humber involve clearing the pipes, cables and ancillary equipment that has been servicing the tunnel boring machine and preparing for the world record-breaking pipeline installation early next year.”

Hydraulic thrusters will be installed at the Goxhill site on south side of river for the epic pipeline push

The 850-tonne sections of pipe will be pushed on rollers into the new tunnel from Goxhill on the south side. To aid installation the tunnel will be flooded with water.

When one pipe section has been installed, the next will be moved into position, welded to the one in front, and the push will continue until all of the pipeline is installed beneath the river.

When complete it will be the longest hydraulically inserted pipe in the world.

Counter Offers: To Stay or Not to Stay?

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For those unfamiliar with the basic definition; the counter offer is a last-minute bid by a company to retain an employee who has handed in a notice of resignation.

Over the years we have seen many a counter offer put on the table from frantic employers and in this article, we are going to cover both the positives and negatives of accepting; whilst shining some light on the subject.

And In the famous words of The Clash, “Should I stay or should I go now?”

What is a Counter Offer?

A counter offer is an attempt to entice an employee to stay with their employer after they have received an offer for another job position. The counter offer can consist of a raise to salary, an increased benefits package (company car, bonus, etc.), a promotion or new role within the company or just a few words of reassurance and promises of a brighter future. This is done in the hope that this increased ‘deal’ will change the employee’s mind and get them to stay.

Pros of Accepting a Counter Offer

  • The straightest forward counter offer is financial and this tends to benefit employees who are generally happy with their job but feel they are being financially undervalued. This can be resolved by their employer increasing the employee’s annual salary or some of the other financial benefits.
  • If the dissatisfaction runs deeper and is widely felt then a benefit of a long-term, highly regarded employee resigning their post is that it can give a wakeup call to their employer which can lead to change that, not only benefits the individual, but also the overall team. Whilst no one person is bigger than a company, losing key staff can be very disruptive and costly so making a few changes to improve the general feeling can be a benefit to both employer and the team.
  • Where the issue goes beyond finance and self-worth then the employee may be looking for more responsibility and a new challenge. When recruiting, the natural tendency for many employers is to look outside whilst overlooking existing staff who may have transferable skills. A resignation could, therefore, start talks regarding a step up or it could open doors to new responsibilities whilst putting plans in place for further career progression. This can leave the employee in a better position, knowing that their aspirations are being considered and that there is potential to progress within the company.

Cons of Accepting a Counter Offer

  • Financial gain tends to be short-lived once the shine of an increased salary wears off and the extra money has been absorbed into our daily living. Once this happens the other reasons for our dissatisfaction starts to resurface and it’s only a matter of time before we are scrolling through the job advertisements again. Statistically, over 70% of people who accept a financial counter offer start looking for a new job within six months either because of their renewed unease or (in recessionary times) an unexpected redundancy notice.
  • However well regarded an employee is, they are rarely viewed the same by an employer after a counter offer, who may now feel let-down at having been put in that position; and who may forever question the employee’s loyalty. This often shows up when salary reviews, bonus payments and promotions come up; or when cut backs in the company occur.
  • Beware the promise of a brighter future that comes in the form of a promotion or new role ‘in six months’ time’ or ‘once your current project completes’. Talk is cheap and often the promise of change simply buys the employer time to plan for the employee’s departure and line up a replacement.
  • Even if a pay increase or promotion IS forthcoming then consider why it has only been offered in a last-minute bid to stop you from leaving rather than in authentic and planned recognition of your value to them. If your employer knew about your concerns or wanted to improve your circumstances then why did they leave it to such a late stage, and will it take another resignation to get that next increase? Similarly, how will your colleagues feel towards you knowing that you strong-armed your position?
  • For me, the biggest downside is often overlooked. To get to the resignation stage, it’s likely that you invested time in finding and interviewing for a position that you wanted, with a company that you liked; and to whom you suggested (at least verbally) that you would be accepting their offer. Companies rarely enjoy feeling as though their offers have been used and often disregard future applications from those that have ‘let them down’.

There are always pros and cons to decisions and sometimes a counter offer can occasionally be a great opportunity for change while often it’s a quick fix for 6 months before the original feelings return even stronger and it’s back to square one.

If you’re considering new opportunities then head over to our jobs page where you will find an extensive list of current available vacancies, alternatively call either our London or Midlands offices, we’d be pleased to hear from you.

 

Amey to pay £215m to exit Birmingham highways PFI

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Amey is close to striking a deal that could see it stump up £215m to walk away from its troubled Birmingham highways maintenance PFI contract.

Birmingham City Council chiefs are understood to have agreed a proposal with the highways maintenance contractor, which will be formally ratified next month.

It is understood that Amey could pay £130m in cash up front, with a further £85m in staged payments over five years.

Also Birmingham City Council would hold £85m of deductions and penalties imposed on Amey, which have been subject to legal disputes between the two.

Together this would amount to a £300m divorce settlement for the council from Amey’s Spanish parent Ferrovial.

Amey has been locked in a five-year legal battle with the council over performance on its £2.7bn PFI deal. This has already seen Amey Highways suffer serious losses.

The Spanish infrastructure group is aiming to sell-off its UK support services business Amey but the 25-year PFI contract has proved a major obstacle.

A council spokesman would not confirm leaks to Sky News of the proposed deal but said:  “It is now generally accepted by all parties to the contract that in order to move forward Amey must be replaced with a new subcontractor.

“This will require a managed release and handover to a new provider along with an appropriate settlement to rectify the liabilities Amey proposes to leave behind.

“While the terms of this settlement are yet to be agreed and would be subject to further agreement by the Council’s Cabinet, talks in recent days have established how an acceptable settlement could be reached and we will continue to work with all those involved to achieve an acceptable solution.”

An Amey spokesman said: “We are encouraged by recent progress and appear to be arriving at a deliverable solution guaranteed by Amey.

“The next few days are critical to finally concluding this issue.”

Galliford Try issues profit warning

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Galliford Try is undertaking a strategic review of its construction business after issuing a fresh profit warning.


Further hits have been distilled on the completed Queensferry Crossing

The firm said it aimed to reduce the size of the construction business as it focused on key strengths in markets with sustainable prospects for profitability and growth.

Galliford Try warned it expected to report pre-tax profits £30m-£40m below previous forecasts, after final settlement on the £1.4bn Queensferry Crossing project.

Galliford Try’s joint venture with Dragados, Hochtief and American Bridge International had to meet costs of delays due to high winds on the Forth bridge project.

In a statement it said:  “The board anticipates that this review will result in reduced profitability in the current year reflecting a reassessment of positions in legacy and some current contracts and the effect of some recent adverse settlements, as well as the costs of the restructure.”

It said the single largest readjustment related to the Queensferry Crossing joint venture, which has recently increased its estimated final costs on the project.

It said its position over the claim covering the completed Aberdeen Western Peripheral Route, and the £38m work in progress balance in respect of three contracts for a single client was unchanged.

The review will scrutinise contract positions throughout the construction business and assess operational progress. The outcome of the review over the next few weeks will be reported in a trading update in mid May.

Streetwork contractors to be made to give five-year pothole guarantees

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The Department for Transport plans to make utilities contractors guarantee their reinstatement’s for five years.

Transport secretary Chris Grayling has launched a consultation on increasing the guarantee on utility firms’ roadworks form two years to five years, so that if a pothole forms as a result within five years, the company must return to bring the road surface back to normal.

The consultation seeks views on a new edition of the Specification for the reinstatement of openings in highways, a statutory code of practice for street works. It also introduces new asphalt standards.

Transport secretary Chris Grayling said: “Road surfaces can be made worse by utility companies, so imposing higher standards on repairs will help keep roads pothole-free for longer. The proposals also allow for new innovative surfacing to be used, such as asphalt with a high bitumen content that is easier to compact to the required density. This makes it less prone to potholing.”

Article Courtesy of ‘The Construction Index’

£2.3bn London HS2 station contracts awarded

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HS2 has named its preferred construction partners to deliver its two major station projects in London.

HS2 will more than double capacity at Euston station with 11 new platforms

A joint venture between Mace and Dragados has beaten rival bidder Costain/Skanska to secure Euston station with a bid of around £1.3bn, which is below the original project estimate of £1.65bn.

Eleven new platforms for HS2 will be built at the station in two stages as part of a phased approach that means less disruption for passengers.

Mace and Dragados have a strong track record of delivering complex and demanding infrastructure projects including Battersea Power Station (phase 2), Mumbai International Airport Terminal Two and work on delivering the Spanish high speed rail network, including the major new Madrid Atocha and Barcelona Sants stations.

The decision will be a blow for Costain/Skanska, which was considered a frontrunner because it had already mobilised at the London station where it is early works contractor.

Also Costain/Skanska/Strabag have the Hs2 tunnel contracts linking the two London stations.

As part of the wider Euston station area development Lendlease is drawing up a masterplan that could support up to 14,000 new jobs and almost 4,000 new homes, as well as shops, cafes and public spaces.

Old Oak Common station designed by WSP and architects, WilkinsonEyre

The other station at Old Oak Common in north west London will be built by a Balfour Beatty/Vinci joint venture who as construction partner will work with HS2 and designers to coordinate the delivery of the station, including platforms, concourse and links to the London Underground and other rail services.

The full consortium is made up of Balfour Beatty Group /VINCI Construction UK/VINCI Construction Grands Projets /SYSTRA.

It beat bids from BAM Nuttall/Ferrovial Agroman (UK); Bechtel and Mace/Dragados, which under the rules could only secure one station project.

Balfour Beatty and Vinci have experience of some of the world’s most complex construction projects, including the new Tours-Bordeaux TGV, Thames Tideway tunnel and the London 2012 Aquatics Centre.

At Old Oak Common, the arrival of HS2 is expected to help kick-start the UK’s biggest regeneration project, transforming the former railway yards into new neighbourhoods supporting up to 65,000 jobs and 25,500 new homes.

HS2 trains will pass below the conventional station which has overbridge links to Crossrail

This complex station project has also come in just at just over £1bn, again less than the original budget estimates of up to £1.3bn.

A light and airy concourse will link both halves of the station with a soaring roof inspired by the site’s industrial heritage.

The six 450m HS2 platforms will be built in a 1km long underground box, with twin tunnels taking high-speed trains east to the terminus at Euston and west to the outskirts of London.

It is expected that around 4,000 jobs will be supported during construction of the two stations.

HS2 Chief Executive, Mark Thurston said: “Euston and Old Oak Common are two of the most important elements of the project – two landmark stations which will help unlock tens of thousands of jobs and new homes across the capital. Together with our Birmingham stations, they will transform the way we travel and set new standards for design, construction and operation.

“Mace/Dragados and Balfour Beatty/VINCI have a strong track record of delivering some of the world’s most challenging and exciting infrastructure projects and I look forward to welcoming them to the London teams.”

Article courtesy of Construction Enquirer – Feb 2019

Crossrail delayed again as costs rise by another £2bn

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Crossrail has bust its budget by another £2bn as further delays to the opening of the project were confirmed.crossrail liverpool street passageway northern line moorgate
Another extra financing package worth more than £2bn was agreed on Monday afternoon as Crossrail chiefs admitted they couldn’t guarantee hitting the revised opening date of Autumn 2019. The network was originally due to open this week after being heralded for years by the previous management team as “on time and on budget.”

Mayor of London Sadiq Khan said: “It has been increasingly clear that the previous Crossrail Ltd leadership painted a far too optimistic picture of the project’s status.”

Crossrail first admitted this summer that the project had bust its original £14.8bn budget by £590m and was running late. The revised total cost of the project is now £17.6bn.

The latest financing package has been agreed by the Mayor of London, the Greater London Authority and Transport for London. It comes as an independent review by KPMG into financing and governance on the project nears completion. It revealed an estimated £1.3bn to £1.7bn shortfall in funding to complete the project plus the need for an extra £750m contingency fund.

New Crossrail chief executive Mark Wild also confirmed that “having reviewed the work still required to complete the project, an Autumn 2019 opening date could no longer be committed to at this stage.”

It was revealed that “core elements of the infrastructure being delivered by Crossrail Ltd, including the stations and the fit out of the tunnels, are at varying stages of completion and more funding is therefore required to complete it, as well as the extensive safety and reliability testing needed for the new railway systems.”

Mayor Khan said: “I haven’t hidden my anger and frustration about the Crossrail project being delayed. This has a knock-on consequence of significant additional cost to the project. It has been increasingly clear that the previous Crossrail Ltd leadership painted a far too optimistic picture of the project’s status.

“I have ordered the release of all Crossrail Board minutes in the last five years to provide transparency to Londoners on their decision making, and working with the DfT, brought in a new leadership team.”

Tony Meggs will become the new Chair of Crossrail Ltd replacing Sir Terry Morgan who resigned last week.

Meggs, who will step down from his role as CEO of the Infrastructure and Projects Authority (IPA), will oversee the final stages of delivering the Crossrail project.

The Crossrail Ltd Board will be further strengthened with the nomination of former MP Nick Raynsford as Deputy Chair.

Mike Brown, London’s Transport Commissioner, said: “Crossrail Ltd’s announcement of the delay to the Elizabeth line is extremely disappointing and, only now, is the scale of what is yet to be completed becoming clear.

“The confirmation of this funding agreement will now allow Crossrail Ltd and its new leadership to focus on finishing the remaining construction work on the stations and tunnels and then completing the vital safety testing in order to open the railway for passengers as quickly as possible.

Mark Wild, Chief Executive, Crossrail Ltd, said: “Since I joined Crossrail Ltd in November I have been reviewing the work still required to complete the core stations and rail infrastructure and begin the critical safety testing.

“It is evident that there is a huge amount still to do. Stations are in varying stages of completion and we need time to test the complex railway systems. This means that I cannot at this stage commit to an autumn 2019 opening date.

“My team and I are working to establish a robust and deliverable schedule in order to give Londoners a credible plan to open the railway and provide a safe and reliable service.

“Once that work is completed we will then be in a position to confirm a new opening date.”

Article courtesy of – Grant Prior (Construction Enquirer)

Birmingham’s Curzon Street station worth up to £435m

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HS2 has begun the search for a construction team to deliver the design-and-build package for Birmingham’s Curzon Street station worth up to £435m.

The new station, which is set to open in 2026, aims to unlock 36,000 jobs and 4,000 new homes. The contract has an estimated value of between £355m and £435m.

Early works contractors are on the site in the centre of Birmingham preparing for main construction works.

Designed by WSP and Grimshaw Architects, the new Curzon Street station is described as the first new intercity station built in the UK since the 19th century.

Featuring 400 m-long platforms to accommodate the high-speed services, the station will include seven platforms in 2026 when the first phase of HS2 is expected to open.

The station will be fully integrated into Birmingham’s tram network and will offer connections to the wider West Midlands.

The winning construction bidder will take over the design functions from the WSP-Grimshaw team once the scheme has been granted planning permission.

HS2’s CEO at the CN Summit
Mark Thurston will be on stage tomorrow for Day One of the two-day CN Summit. There’s still time to book your place, plus look out for all the Summit coverage and reaction over the coming days.

HS2’s other Birmingham stop – Interchange – will form part of a new gateway station for the region and is part of a larger transport hub serving the West Midlands, Birmingham Airport and the NEC.

Over the weekend the Sunday Times reported that HS2 could be delivered more than a year late and exceed its official £55.7bn budget.

The newspaper reported that negotiations over the main civils contracts for the new lines had come in “several billion pounds” above the £6.6bn budget.

Commenting on the Curzon Street procurement, HS2 chief executive Mark Thurston said: “HS2 is already unlocking new opportunities to create skilled jobs across the West Midlands and, over the next decade, the winner of the Curzon Street contract will go on to build one of the most exciting and high-profile elements of the project.

“We’re looking for the best the construction industry has to offer. Companies that share our commitment to safety, good design, environmental protection and value for money.

“Together we will deliver an iconic new gateway to Birmingham – a building the city, the wider region and the travelling public can be proud to call their own.”

HS2 unveils Crewe Link £1.6bn civils bid plan

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HS2 has outlined plans to split the proposed West Midlands to Crewe section of the high speed railway into two civils contract packages.

Procurement chiefs said they are still keeping procurement options open with the possibility of running a competition between its four existing phase one joint venture contractors instead of a pre-qualifying a fresh field of bidders.

A current market testing exercise will help to inform the decision about which procurement route to take later next year.

The 39km southern section of the HS2a route is expected to cost up to £870m while the shorter 28km northern section including two short tunnels is estimated to cost up to £750m to build.

The procurement process could start by the third quarter of next year, with bids being invited in the first quarter of 2020, and the winning bidder announced by Spring 2021.

Design work for phase 2a is expected to begin next year, with construction scheduled to start as early as 2021

Article courtesy of Aaron Morby – Construction Enquirer