Latest news with #DannySullivanGroup
Irish Post
22-06-2025
- Business
- Irish Post
Danny Sullivan Group says no evidence of deliberate wrongdoing over worker status claims
LABOUR supply firm Danny Sullivan Group (DSG) has said an external review over claims about the misclassification of self-employed workers has shown 'no evidence of bribery or deliberate wrongdoing'. It follows claims first reported in the i paper that self-employed CIS staff supplied by the firm to work on the West Midlands section of the HS2 project were instead classified as PAYE salaried staff. As well as rejecting any wrongdoing, the company said that as part of the review, it is undertaking 'a significant programme of transformational investment'. "This ensures we can continue to satisfy ourselves and our trusted clients and partners that our best-in-class service is matched by best-in-class operational and compliance functions and controls," it added. Executive team reorganisation In its statement, DSG said that as a business with a long and reputable history, it took the allegations extremely seriously. As part of its investigation into 'the erroneous engagement of Construction Industry Scheme (CIS) workforce operatives', it commissioned an externally-led review by a leading professional services firm. "The findings and recommendations of this report have been shared with our trusted clients, and where mistakes have been made, we have and continue to put these right," it said. "This includes having taken all the necessary steps to ensure full contractual compliance. "This review was carried out in conjunction with a significant programme of transformational investment, including a major reorganisation of our executive team and functions and upgrades to the company's governance, processes, technology and culture." It added: "Throughout this process, no evidence of bribery or deliberate wrongdoing involving any employees of our business has been identified." 'Stronger and better' Addressing the issue of worker classifications under contractual agreements, DSG confirmed that it is 'fully compliant with all tax obligations, and are confident that all relevant taxes have been — and continue to be — paid'. "As a large employer and trusted partner of some of the UK's biggest infrastructure companies, we take our responsibility to uphold the highest standards of governance to all our stakeholders extremely seriously," it continued. "We are confident that our robust response and substantial investment in resolving these issues will ensure that we emerge from this situation a stronger and better company with best-in-class compliance and governance processes. "Our work continues on the landmark HS2 projects and many other critical infrastructure projects with our long-standing clients and partners across the UK." See More: Danny Sullivan Group, HS2
The Guardian
26-05-2025
- Business
- The Guardian
HS2 investigates claims company overcharged for supplying workers
The company building the high-speed rail line between London and Birmingham is investigating claims that one of its labour suppliers on the project charged overinflated rates for staff. HS2 Ltd launched an investigation into a subcontractor providing workers to build the West Midlands section of the line, which has been beset with delays and cost overruns, amid allegations about its billing practices. It said Danny Sullivan Group remains suspended from new contracts while the investigation continues. The Department for Transport (DfT) said it would ensure 'any claims of wrongdoing in HS2's supply chain' were 'thoroughly investigated'. HS2's investigation, which began earlier this year, was first reported by the i website. According to the claims, whistleblowers alleged that self-employed staff were being wrongly billed as salaried employees, leading to overpayments. A spokesperson for Danny Sullivan Group has said it takes the allegations 'extremely seriously' and is co-operating fully with the investigation. HS2 also looked into a second firm, which had its suspension lifted 'following a period of remediation' and remains under enhanced monitoring. The two firms being looked at were providing workers to Balfour Beatty Vinci (BBV), one of HS2's main contractors. 'HS2 Ltd treats all whistleblower allegations seriously and we are aware of the claims made in relation to labour suppliers on part of the route,' said a spokesperson for the company. 'An investigation was launched earlier this year into a number of different allegations and our contractor BBV has implemented additional monitoring and controls.' A DfT spokesperson said that the government and HS2 'take all whistleblower allegations extremely seriously and have a zero-tolerance attitude towards fraud, bribery and corruption'. The HS2 project was announced in 2009 with the aim of improving rail links between the north and south of England, and boosting the economy. The project was given the go-ahead in 2012. However, costs have since ballooned even as the ambitions for the high-speed network have been scaled back. It was originally intended to include a second phase of two rail branches to Leeds and Manchester, but the former leg was dropped in 2021 while the then Conservative government axed the latter in 2023, announcing the rail line would now terminate at Birmingham. Sign up to Business Today Get set for the working day – we'll point you to all the business news and analysis you need every morning after newsletter promotion Parliament's spending watchdog, the Public Accounts Committee (PAC), said in February that it was a 'casebook example of how not to run a major project'. In November 2023, the government estimated the cost at £45bn to £54bn, with HS2 Ltd projecting a £54bn- £66bn bill. Both figures are based on 2019 prices. Subsequent rapid inflation means the total bill is approaching £80bn today, according to the PAC. However, there have been reports that the total cost could end up at £100bn. The government ended speculation over the eventual southern terminus by confirming that the service would indeed reach central London, rather than stopping at Old Oak Common in the capital's north-western suburbs, but the PAC said the DfT still did not have a plan for the work at Euston. According to HS2 Ltd, 75% of the tunnelling on the London-to-Birmingham line has now been completed. Separately, in September, the mayors of Greater Manchester and the West Midlands revealed plans for a new rail line linking their regions which would rely on private investment and cost less than the scrapped second phase of HS2.
