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NEC3 ECC: Over Resourcing People under option A

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We have a CE which has caused a delay to planned Completion.  The PM is disputing the Contractors claim within the People element of the costs for two Foremen.  The fact there were two on site is not in dispute however the PM feels that two are not necessary to Provide the Works.  Can the PM justifiably not pay this if indeed two were on site for the duration of the delay?
asked Dec 13, 2017 in NEC3 Compensation Events by LA1 (260 points)  
   

1 Answer

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In short yes - if two foreman were not needed for that activity. A compensation event is based upon what would be a reasonable forecast as to what the event would have cost(63.1) that will included an assessment on how many people, what equipment and how long. If you had 10 operatives for ten days with two foreman doing an activity that I believe could easily have been done by five operatives in five days with one foreman then that is what I would assess - allowing for risk that would have had a significant chance of occurring.
answered Dec 13, 2017 by Glenn Hide (33,710 points)