Network Rail aims to save �13bn

The rail infrastructure company says cutting middle and senior management across the country by 15% will save between �25m and �30m a year.

The job losses are part of up to 2,000 cuts announced in the summer by the not-for-profit company, which took over from Railtrack to run the UK's railways.

But union officials are shocked by the speed of the redundancies - and the fact they are compulsory - and are calling for the "misguided and ill thought-out" cuts to be put on hold.

A spokesman for the Transport Salaried Staffs Association (TSSA), which represents many of the managers, said: "We are worried about the impact that this news will have on health and safety at Network Rail. How can managers be expected to concentrate on their job of running the railway safely when they have this looming over them?"

How can Network Rail hope to get rail back on track having axed so many workers TSSA general secretary Richard Rosser

In a 10-year business plan published in June, Network Rail announced its 14,500-strong workforce - including signalling staff, engineers, administration workers and other employees - could be reduced to 12,000 by 2006.

The company said the aim was to save �13bn, as it strove to meet government targets.

Unions immediately threatened industrial action, describing the cuts as "obscene" and questioning how service could be improved with fewer staff.

TSSA general secretary Richard Rosser said at the time: "We always knew that Railtrack was inefficient, but not so inefficient that it employed 2,000 people too many.

Safety aim

"How can Network Rail hope to get rail back on track having axed so many workers?

"This simply does not add up."

Network Rail's efficiency programme includes savings of �266m from the maintenance budget and a �246m cut in operating costs.

Deputy chief executive Iain Coucher, said: "We are absolutely determined to drive down costs... while ensuring quality, performance and renewals volumes are maintained.

"Our key objective remains unchanged - to deliver safe, reliable and efficient rail infrastructure."