NEC3 ECC: Employee or subcontractor in SCC?

Is a person who is an employee of another company (legal entity)from within the same group of companies as the Contractor, treated as an employee or a sub contractor under the defined cost ruels within the SOCC ECC Option C


If I make two connected assumptions :
i. that the person works for and is paid their wages / salary and other things listed in the SCC 11, 12 & 13 by the other legal entity (as you indicate); and
ii. that the Contractor pays this seperate legal entity as per People 14,
then I would go for them being paid for as a labour only subcontractor (note small ā€œsā€) under People 14 (i.e. not a Subcontractor (big ā€˜Sā€™) as defined in clause 11.2(17)).

Note that all Defined Costs have to be incurred in accordance with 52.1 i.e. at open market or competitely tendered prices with all discounts, rebates & taxes recovered.