LCQ2: Specifying minimum manpower in works contracts impractical

Following is a question by the Hon Ip Kwok-him and a written reply by the Secretary for the Environment, Transport and Works, Dr Sarah Liao, at the Legislative Council meeting today (March 10):

Question:

Regarding the management of government departments' road excavation works, will the Government inform this Council whether:

(a) the contractors are required to set out clearly the manpower arrangements in each stage of the road excavation works in their tenders for such works; and

(b) the works contracts contain stipulations that, once the road excavation works commence, the contractors must ensure a minimum number of hours per week or per day work is carried out at the work sites, except in circumstances beyond their control (such as inclement weather) and, in case of unsatisfactory progress of the works, that the contractors have to increase the manpower as demanded by the authorities; if so, of the details of such stipulations; if not, the reasons for that?

Reply:

Madam President,

(a) Under normal circumstances, works departments do not require their contractors to specify in their tenders the manpower needed to complete the works, either in stages or as a whole.  The contracts hold the contractors entirely responsible for the provision of all necessary resources to complete the works within the specified time limits.  For complicated projects, works departments may require tenderers to employ staff with some specific expertise.  However, the aim of such a requirement is to ensure the contractors would provide staff with the  suitable qualifications and experience to complete the contract, rather than specifying the number of staff to be employed for each stage in a project.

(b) It is impractical to specify in a contract the minimum workforce that the contractor has to employ for each stage in a project.  In accordance with the General Conditions of Contract, the contractor has the discretion to allocate resources according to his own programme provided that the scheduled completion date specified in the contract will not be compromised.  Government interference in these areas may result in higher tender prices and lead to claims by the contractor.  In case of unsatisfactory progress of works, the department concerned may, in accordance with the contract conditions, request the contractor to step up the progress by deploying suitable staff and resources so as to ensure the timely completion of works.  In addition, liquidated damages to be paid by the contractor as compensation to the Government for any works delayed are usually specified in works contracts.

Other than the regulating actions via the contract conditions as mentioned above, the Highways Department also stipulates in the excavation permits requiring the permit holders and their contractors to complete the works as soon as practicable and ensure that works sites are attended on every working day.  However, if works are not carried out on site for some technical reasons, such as pipe testing in progress, concrete curing or inclement weather, etc. the contractor should display a notice board on site stating the reasons for site idling.  Unless there are special reasons or prior approval has been obtained, the contractor should cover the openings at an unattended works site with proper decking so that the road can be re-opened to traffic in the interim.

Ends/Wednesday, March 10, 2004
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