Unite the Union

Unite the Union

November 23, 2007 10:15 ET

Unite Comments the NAO's Report into the Sale of Qinetiq

LONDON, UNITED KINGDOM--(Marketwire - Nov. 23, 2007) - Unite the Union has welcomed the National Audit Office's (NAO) report into the sale of Defence Research Firm Qinetiq, and has called for lessons to be learnt.

The union, which represents thousands of members in both Qinetiq and the Ministry of Defence, believes that the excessive gains made by senior managers were only possible due to the company being undervalued by the MoD.

Ian Waddell, Unite National Officer, said:

"The report demonstrates just how much the dogma of privatisation is being driven by the Government at a time when the Defence budget is under extreme pressure. Qinetiq was seen as a dying asset by the MoD and no-one had the imagination to see its potential. As a result it was sold off at a bargain price, and the market soon realised its true value. Unfortunately, we are still facing the same problems in the MoD, and lessons must be learnt from this debacle.

"Qinetiq increased in value because of the unique skills of our members, and fortunately the Carlyle Group gave all employees the chance to invest which brought some of them windfalls at flotation. In contrast, I am amazed that the MoD continues to ignore the importance of its staff and the defence-critical skills they possess. This report really must act as a wake-up call for the MoD and should force a u-turn on the clamour to sell off any and every part of the Department."

Unite has argued that its members working for the MoD possess key skills which are critical for the Nation's defence, and which should be protected by the MoD, not sold off.

Contact Information

  • Unite Press Office
    Ashraf Choudhury
    020 7420 8914 or 07980 224 761