State Government to pay train drivers, other rail workers, $15,000 incentives to transfer to private operator Keolis Downer
Train drivers and other rail workers will be paid $15,000 to transfer to Keolis Downer, the company taking over the operation of Adelaide’s trains next year.
SA News
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The State Government is paying its train drivers and other rail staff $15,000 each as an incentive to work for a private company it chose to operate Adelaide’s rail network.
About 350 workers are eligible to receive the “transfer payment” to move across to Keolis Downer, under a pay deal struck on Tuesday.
If all workers transfer to the company, it will cost taxpayers about $5.2 million.
Of this, more than $2.6m in payments will go to 174 train drivers.
It is understood about another 100 rail staff may also be offered cash payments to move to Keolis Downer.
It is unclear exactly how much they will be paid, but sources say it could also be as much as $15,000 each.
If that was the case, it would bring the potential total outlay to $6.6m.
Expressions of interest to transfer to Keolis Downer close on Friday.
Treasurer Rob Lucas said the payment of incentives was consistent with previous practice under the Labor Government.
“I’m advised that no train drivers or rail staff have received the payment yet as the Government’s offer has only just been accepted,” he said.
Opposition transport spokesman Tom Koutsantonis described the payment as “another example of waste”.
“It seems to me that this privatisation is costing South Australians a lot more than the government is telling us,” he said.
A Keolis Downer spokesman said “this is a matter for the Government”.
The government announced in September that it was handing over the operation of the train network to Keolis Downer.
The company will run the network for up to 12 years from the end of January next year, under a $2.14bn contract.
The Government has stressed that while Keolis Downer will operate the rail system, infrastructure and ticket pricing would remain under the Government’s control.
It also says the privatisation will save taxpayers about $9.8 million a year.
As part of the contract, the company is, among other things, expected to deliver faster and more services upon completion of the electrification of the Gawler line; create more than 2200 new services per year to the new Flinders line; and extend a security trial on platforms.
Meanwhile, train workers have voted in favour of a 2 per cent per annum pay increase over the next three years.
The agreement comes after similar State Government deals were struck with tram drivers, nurses and teachers.
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