Types of Sub-Contractors in a Contract

When entering into a contract, it’s not uncommon to engage the services of sub-contractors to help complete the work. These individuals or companies can provide specialized skills or resources that the main contractor may not have in-house. However, it’s important to understand the different types of sub-contractors and their roles in a contract.

1. Labour Sub-Contractors

These sub-contractors provide additional workers to the main contractor’s team. They may be hired to fulfill a specific role, such as electricians or carpenters. They are paid for their labor and may work alongside the main contractor’s employees.

2. Trade Sub-Contractors

Trade sub-contractors are companies or individuals who provide a specific trade such as plumbing or electrical work. They work independently of the main contractor and provide their own materials to complete the task. They are responsible for the quality of their work and are paid on a job-by-job basis.

3. Professional Sub-Contractors

These sub-contractors provide professional services such as legal or accounting services. They can be hired to provide expert advice or assistance on a specific aspect of the project. They are usually paid on a fee-for-service basis.

4. Material Suppliers

Material suppliers are sub-contractors who provide the materials needed to complete the project. They are usually responsible for delivering the materials to the job site, but may not be involved in the installation or use of the materials.

It’s important to note that these sub-contractors are not employees of the main contractor, and therefore have their own obligations and responsibilities under the contract. The main contractor must ensure that they comply with the terms of the contract and are qualified and licensed to perform the work they are hired to do.

In conclusion, the use of sub-contractors in a contract can be beneficial, but it’s important to understand their roles and responsibilities. Knowing the different types of sub-contractors can help the main contractor select the right sub-contractors for the job, and help ensure a successful project outcome.