The Guardian 27/11/19

FirstGroup (FGP) has hired all of Virgin Trains’ existing management team to run the London to Glasgow West Coast service when First takes over from Virgin next month. Phil Whittingham, the managing director of Virgin Trains since 2013, and a Virgin man since 1999, will become managing director of First’s West Coast Partnership rail service on 8 December. First confirmed that the existing senior management team at Virgin Trains will also join him – a host of directors in charge of people, finance, commercial, information technology, and corporate affairs. Even existing interim appointments – including acting customer experience and operations directors – will take their roles to the new organisation. While the majority of rail staff such as drivers and crew are automatically given jobs at the new operating company under TUPE transfer rules when a franchise changes hands, it is unusual for all the senior managers to retain their roles. The move could be seen as a tribute to Virgin’s performance – or another indictment of the rail franchising system which has been condemned as unfit for purpose and is now subject to review. The West Coast Partnership was awarded in August despite the fact that Keith Williams, chairing the rail review, had indicated franchising was dead, and not long after another major franchise competition, South Eastern, had been scrapped. Virgin, with partner Stagecoach Group (SGC), had been disqualified from bidding after a row over pensions liabilities and is still pursuing legal action.