We were the contractor on an ECC contract which the employer terminated for convenience, that is for a reason other than R1 to R21. Can we expect to be paid for our people until they are re-deployed to another project under clause 93.1 (A1)? If yes, what is considered a reasonable timescale to re-deploy staff to other parts of the business and have these costs reimbursed?
For example, if staff had not long been employed, you would be expected to make them redundant rather than employing them in the hope of finding something for them in future. The same would apply to all self-employed or agency staff – it would cost you nothing to stop employing them. You would also be expected to use your best endeavours to find work for employees including, for example, using them to replace agency or self-employed people elsewhere within your organisation. Also, note you would have had to meet the cost of redeployment even if the contract had run to its full term.
So, the chances of recovering ongoing people costs are slim and, even if you succeed, it is unlikely to be a lot of money.