Construction Magazine October 2015 | Page 14

GENERAL CONTRACTING
WITH EVER-GROWING costpressures and the need to make use of a workforce ’ s time as efficiently as possible in a competitive industry , many companies are subcontracting more work than ever .
Contractors of all sizes will subcontract either to save money , because their own resources are insufficient or required elsewhere or because they believe the required expertise is not available in-house and the job could be better performed by a third party .
Subcontracting will always have an effect on the quality of services delivered versus performing all work in-house , be it positive or negative , but it is important to understand the reasons for both outcomes .
Benefits
Perhaps most importantly to many , subcontracting offers an opportunity to save money in certain areas . Although hourly rates for subcontracted employees may not always be lower than those for your own , considerable savings are to be made on tax and insurance as well as training in the long run . Using another company may also offer access to specialist skills and expertise that the main contractor themselves may lack . The subcontractor will be a specialist in the particular area , for example electrics , and have the ability
A subcontractor offers specialist skills
14 October 2015