Workers on the final section of the new Dublin to Limerick motorway in Co Offaly who have not been paid since November 1st last, have vowed to prevent the motorway from opening.
The workers who earlier today blockaded entrances to site compounds along the 36-kilometre route between Borris-in-Ossory, Co Laois and Moneygall, Co Offaly said they would keep their blockade in place until their wages were paid.
They have also called on Taoiseach Brain Cowen, in whose constituency the motorway section is located, to intervene to get their wages paid before Christmas.
The workers have the support of their employer, K C Civil Engineering, a subcontractor on the €345 million project. Managing director of KC Civil Engineering Chris Wholey said his company had not been paid by the main contractor Bowen Somague Joint Ventu, which is in turn seeking payment of a conciliation award of €26 million from Laois County Council.
Mr Wholey said he had “a lot of sympathy” for the workers who were “all good men. If I had the money to pay them I would, but I haven’t been paid and the nature of the ’back to back’ contract is that if Bowen Somague do not get paid, then we do not get paid”.
Earlier this year Bowen Somague was awarded €26 million as a result of a conciliation process, based on a claim against Laois Co Council. Bowen Somague had claimed for money for additional work on the motorway scheme.
But the award is being appealed by the county council and while the process does provide for the council to pay the €26 million in advance of arbitration, the council said it requires a bond to be put in place to ensure the return of the money, should it eventually win. The council told The Irish Times it had a duty to protect the public purse.
However, a spokeswoman for Bowen Somague said the company had already put up a three percent insurance bond to ensure satisfactory completion of the motorway. She said the cost of a further bond was 100 per cent of its value, so there was no benefit in taking out a bond. She said the bond issue was something of a “red herring”.
The spokeswoman said all contractors and suppliers “have been paid up to date” for the original work, but she acknowledged some payments for the additional works had not been made, because Bowen Somague has not been paid and the ’back to back’ contracts mean for everyone to be paid the council must first pay.
She said Bowen Somague also had sympathy for the workers and added “it would be all fixed up if the council hadn’t appealed the conciliation award”.
The National Roads Authority is responsible for funding the project but authority chief executive Fred Barry said: “The Local Authority (not to mention the NRA) has no power to intervene in the commercial relationship between the Contractor and his subcontractors, and is not involved in the argument.”
Mr Barry told Local Fine Gael TD Noel Coonan: “Any subcontractor who feels he is owed money should deal with it under the terms of his contract with Bowen Somague “.
But last night Mr Wholey accused Mr Barry of “hiding behind the contract” and said the situation was unfair as it was not of his, or his workers’ making.
He said the dispute was essentially between Bowen Somague, Laois County Council and the National Roads Authority and he predicted his business may not survive if it had to endure a long arbitration process.
A spokesman for the workers who blockaded the site yesterday said they were hoping “some political clout” could be brought in just to pay the wages” even if the dispute is not solved.
He said there were about 30 employees of KC Civil Engineering as well as about 10 to 20 workers of other contractors or suppliers.
The motorway scheme is the last element of the Government’s ¤18billion plan to link the regional cities to the capital by 2010.