Fury as rail bosses’ pay soars above inflation: Train chiefs spark anger for ‘lining their pockets’ with 6% wage rise
- Rail bosses behind LNER and Northern Rail networks shared £718k, records show
- This 6 per cent pay rise was awarded despite two-year pay freeze for rail workers
- The Government defended rises saying they reflected fact that ministers had nationalised another network this year but was branded disappointing by critics
Rail bosses have sparked anger for ‘lining their pockets’ with taxpayer money after they were given an inflation-busting pay rise of 6 per cent.
Executives on the six-person board of DfT OLR Holdings, which runs the LNER and Northern rail networks, shared £718,000 this year according to recent filed accounts.
However rail workers continue to endure a two-year pay freeze as the Department of Transport scrambles to lower the cost of the railways to the taxpayer.
Rail bosses have sparked anger for ‘lining their pockets’ with taxpayer money after they were given an inflation-busting pay rise of 6 per cent despite a two-year pay freeze for rail workers
The pay rises came after the state-owned company received a subsidy of nearly £1.4billion to keep services running during the pandemic.
The most recent Government figures put the Consumer Prices Index rate of inflation at 3.2 per cent.
The Government defended the rises, saying they reflected the fact that ministers had nationalised another network during the year.
But former transport minister Stephen Hammond told The Daily Telegraph: ‘At a time of national crisis and restraint it is disappointing.’
The Government defended the pay rises but critics slammed the increases as ‘disappointing’
Chief executive Robin Gisby was the best-paid director at the group – with his pay rising from £195,000 to £206,000.
John Macdonald, of the thank-tank the Adam Smith Institute, said: ‘It is a grim hypocrisy that rail barons are lining their pockets with money taken from taxpayers increasingly struggling with a cost-of-living crisis.’
A Government spokesman said they keep the pay of the senior management team under ‘constant review’.
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