Open for business 3 key practices to follow when hiring subcontractors By Toby Cushing
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iring construction subcontractors is an essential part of the construction industry, so doing it the right way can help make a safer worksite and drive better business results. Hiring the right subcontractors with the right contractual terms and making sure their workers are qualified and safe can be a daunting task, but developing the right process can save millions in future losses. First, making sure your bid documents and subcontracts require the proper training and safety practices is the most important thing. Second, making sure the terms of performance/specifications and contractual risk transfer terms are present is critical to making sure the project will be completed successfully while minimizing risk to the general contractor and the subcontractor.
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Here are some hiring practices that can help you ensure a construction company completes projects correctly and safely.
Pre-Employment Screening of Subcontractors
While going through the selection process to find a subcontractor, take a close look at the candidates. If it is possible, perform a background check for construction laborers applying to work for the business. Ask the subcontractors to give a report on following: > Credentials > Management team > Experience > Expertise > Geographic reach > References > OSHA training
COMMERCIAL CONSTRUCTION & RENOVATION — ISSUE 5, 2021
This report can then be used to take a deeper look at a prospective employee’s work history and see if they have had any lawsuits, claims or bankruptcies. Don’t forget to look at the subcontractors' schedule and projects they are already working on. A general contractor or construction company will want to make sure the subcontractor will have enough capacity to meet the job’s demands in the required timeframe.
Job Site Safety
General contractors (GCs) should make sure their written safety plan is incorporated by reference into subcontracts and or bids, or that the most important parts of the GC’s safety culture and requirements are specifically identified.
