NEC PSC: Option E staff rates

Aside from the named Key People, the staff rates were included as categories/ roles due to the services being carried out by a larger number of staff. No CVs were issued for those people (or requested) and nor were the key people replaced. We are now being asked to demonstrate that the staff charged to the project under each ‘category’ or ‘role’ are actually employed in that same role. Why is this relevant? if the services have been delivered and all obligations met, then the ‘role’ commands that rate? the records are there all signed and counter signed too.

I believe the Client just wants to understand that He/She is not paying for something that has not been used to provide the Service. For example, You are charging for a Senior Design Engineer but it is actually a graduate engineer providing the Service.

I share your Client’s view regarding this. The Staff Rates are not carte blanche to just pick and choose there needs to be substantiation that those roles have actually worked with the use of time sheets, site diaries etc…

I’d say you and your Client need to identify how best to demonstrate this which should be fairly straight forward. You know who has been providing the service, you know their title and you can therefore apply a rate this is suitable.

I think the comment has sensibly answered your question.

Just a further point to add, the definition of ‘Time Charge’ includes the words ’ … staff time appropriate to that rate … ', with the Employer having the right to inspect the accounts and records of Time Charges, which you are obliged to facilitate at any time during working hours.