Network Rail has been fined £14 million because works carried out over the Christmas and New Year period at Liverpool Street Station, Glasgow and Rugby were not completed on time.
What is the point of fining a public sector company? It is taxpayers' and passengers' who will have to pay. It may be possible for NR to pass the fine on to its consultants, but I doubt if that will happen.
The reason for the over-run, apparently, is the shortage of qualified people to put up the overhead electric wiring, like those in the picture. If there was even a small rolling programme of electrification, there would have been more trained staff available, but it turned out that workers were being poached between sites by team leaders desperate to get the work completed.
I got involved in a discussion with a Youtuber called “Philosophy all along”. This was in connection with criticism of Trump’s policy of deporting illegal migrants, which he argued would be bad for the economy as it would reduce demand. This implies that there is a need to import people to sustain demand. There is no obvious reason why a population should not be able to consume everything that the same population produces. If it can not, then something else is going on. It is a basic principle that wages are the least that workers will accept to do a job. Wages are a share of the value added by workers through their wages. The remainder is distributed as economic rent, after government has taken its cut in taxes. Monopoly profit is a temporary surplus that after a delay gets absorbed into economic rent. Land values in Silicon Valley are an example of this; it's like a gold rush. The miners get little out of it. Rent and tax syphon purchasing power away from those who produce the g...
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