AIW Rates 2014 to 2016

05/05/2018 in response to an FoIA request (ICO ref: FS50664292), Highways England provided the following three documents:

  1. Copy of Kier Operating Contracts 1_3_9 and 13 AIW_reate_release (3)
  2. Sample Schedule 1_Schedule of Cost Components
  3. Area 3 ASC S I Annex 23 CONTRACT Rev 0

The content of ‘1’ (excel) and ‘2’ (pdf) above are produced below.

It is apparent Highways England are far form keen to release this data – see FoIA: ‘Kier Highways Ltd INCIDENT RESPONSE‘.

The data below details out the hourly rates charges by Kier to Highways England for Asset Incident Watchmen (all grades) for Third Party Claims which are pursued by Highways England (predominantly where the initial estimate for the cost of the repair exceeds £10,000.00).
The data has been captured for rates in use between the 1st January 2014 to 23rd September 2016 for all of Kier Operating Contracts that have a role of Asset Incident Watchmen

Asset Incident Watchmen (AIW) Rates : Asset Support Contract Area 9
14/07/2014 29/09/2015 08/12/2015 31/12/2015 02/02/2016
to to to to to
Employee Position 24/09/2015 23/11/2015 27/12/2015 26/01/2016 11/04/2016
1 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
2 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
3 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
4 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
5 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
6 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
7 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
8 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
9 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
10 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
11 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
12 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
13 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
14 Asset Incident Watchman  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
15 Asset Incident Watchman  £    22.74  £    20.19  –  £    23.46  £    23.71
16 Deputy Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
17 Deputy Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
18 Deputy Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
19 Deputy Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
20 Deputy Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
21 Deputy Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
22 Deputy Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
23 Deputy Route Steward AIW  £    22.74  £    20.19  –  £    23.46  £    23.71
24 Deputy Route Steward AIW  £    22.74  £    22.94  –  £    23.46  £    23.71
25 Deputy Route Steward AIW  £    22.74  £    22.94  –  –  £    23.71
26 Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
27 Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
28 Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
29 Route Steward AIW  £    22.74  £    20.19  £    22.94  £    23.46  £    23.71
30 Route Steward AIW  £    22.74  £    32.25  £    29.21  £    28.32  £    28.32
31 Route Steward AIW  –  –  –  –  £    23.71

Asset Incident Watchmen (AIW) Rates : Asset Support Contract Area 3

Employee Position 01/01/2014 01/01/2015 01/01/2016 01/01/2017
1 Assistant Asset Incident Watchman  £           –  £    27.26  £    40.25  £    40.25
2 Assistant Asset Incident Watchman  £           –  £    21.78  £           –  £    40.25
3 Assistant Asset Incident Watchman  £           –  £    53.47  £    40.23  £    40.25
4 Asset Incident Watchman  £           –  £    25.61  £           –  £    48.13
5 Asset Incident Watchman  £    19.54  £    53.47  £           –  £           –
6 AIW (Asset Incident Watchman)  £    15.31  £    43.84  £    48.13  £    48.13
7 Assistant Asset Incident Watchman  £    19.97  £    21.78  £           –  £    40.25
8 Assistant Asset Incident Watchman  £           –  £    53.47  £    53.47  £    40.23
9 Assistant Asset Watchman  £           –  £           –  £    43.84  £    48.13
10 Environmental Asset Watchman  £    29.99  £           –  £           –  £           –
11 Assistant Asset Incident Watchman  £    11.64  £    43.84  £    40.24  £    40.25
12 Asset Incident Watchman  £           –  £           –  £    48.13  £    48.13
13 Assistant Asset Incident Watchman  £           –  £    21.78  £    48.13  £    48.13
14 Asset Incident Watchman  £    10.99  £    21.78  £    48.13  £    48.13
15 Asset Incident Watchman  £           –  £    27.26  £    48.13  £    48.13
16 Assistant Asset Incident Watchman  £           –  £           –  £    40.23  £           –
17 Assistant Asset Incident  Watchman  £           –  £    21.78  £           –  £    20.89
18 Assistant Asset Incident Watchman  £           –  £           –  £    20.89  £    20.89
19 Asset Incident Watchman  £    33.53  £    32.17  £           –  £    48.13
20 Asset Incident Watchman  £           –  £    43.84  £    48.13  £    48.13
21 AIW (Asset Incident Watchman)  £    25.52  £    22.24  £    48.13  £    48.13
22 Assistant Asset Incident Watchman  £           –  £           –  £    40.25  £    40.25
23 Asset Incident Watchman  £           –  £    53.47  £    48.13  £    48.13

NOTE 1: AIW Rates captured on rest periods for Area’s 3 and 9 when recalculated by the Service Provider. For Area’s 1 and 13 the role of the Asset Incident Watchman (AIW) did not exist under these Operating Contracts with the role undertaken by a 1st responder. Consequently there are no defined AIW rates in Areas 1 and 13*.

*(amended from the original following HE’s subsequent comment ‘Please note that at the end of  Note 1, the figure should be 13 not 3.’

NOTE 2: The AIW rates are calculated using the Schedule of Cost Components as set out under Schedule 1: Cost Components in the Conditions of Contract for each Operating Contract (a schedule has been extracted from the Asset Support Contract (ASC) Area 3 Contract, this is the same as contained in the ASC Area 9 Contract).
NOTE 3 : The AIW rates in ASC 3 tapering in from 1/Jan/2015 included the cost of a vehicle in the People Cost (hence the step increase), Under the Schedule of Cost Components vehicle costs may be included within the build up to the people cost; this does give an apparent different rate profile for an AIW, however this is more of an apparent issue with the provision of the AIW as a Service rather than real disparity as where a vehicle is not included in the AIW rate the vehicle would be charged separately.
NOTE 4: Attached is a sample Annex 23 Third Party Claims, this sets out the principles for when a claim is pursued by Highways England (the example given is from ASC Area 3 Contract though for the scope of the FOI raised is the same as the Annex 23 in the ASC Area 9 Contract).


Area 3 ASC Contract   SCHEDULE 1: COST COMPONENTS

SCHEDULE 1 – SCHEDULE OF COST COMPONENTS

An amount from this schedule is included only in one cost component and only if it is incurred in order to Provide the Services.

1                 People

The following components of the cost of people who are engaged in Providing the Services and are directly employed by the Provider (excluding people engaged only in providing the supporting functions identified in the Fee Schedule).

  • Wages, salaries and amounts paid by the Provider for people.
  • Payments to people for
    • bonuses and incentives
    • overtime
    • working in special circumstances
    • special allowances
    • absence due to sickness and holidays
    • statutory redundancy and notice severance on a pro rata basis for the period engaged in Providing the Services where redundancy arises because the person is no longer required to be employed to Provide the Services and that person cannot be deployed elsewhere. The amount of the statutory redundancy and notice severance will relate only to the length of service of that person in Providing the Services.
  • Payments made in relation to people for
    • travel
    • subsistence and lodging
    • relocation
    • medical examinations
    • passports and visas
    • travel insurance
    • items (a) to (f) for dependants
    • protective clothing
    • National Insurance contributions
    • meeting the requirements of the law
    • life assurance
    • death benefit
    • occupational accident benefits
    • medical aid
    • a vehicle
    • safety training specific to Providing the Services in the Area Network and/or the Regional Technology Network (SE)
    • vetting in accordance with the Service Information.
  • The following components of the cost of people who are engaged in Providing the Services and are not directly employed by the Provider but are paid for by him according to the time worked (excluding people providing services for or in connection with the management, administration and/or operation of the contract and/or providing head office functions supporting the provision of the Services).

Amounts paid by the Provider.

2                 Equipment and Temporary Accommodation

The following components of the cost of Equipment and Temporary Accommodation which is used within the Working Areas (excluding Equipment which is used for Lump Sum Duties and Equipment cost covered by the percentage for people overheads).

  • Amounts for Equipment and Temporary Accommodation assessed at open market rates multiplied by the time for which the Equipment or Temporary Accommodation is required.
  • Payments for the purchase price of Equipment which is consumed.
  • Unless included in the open market rates, payments for
    • transporting Equipment and Temporary Accommodation to and from the Working Areas other than for repair and maintenance,
    • erecting and      dismantling      Equipment       and      Temporary

Accommodation and

  • constructing, fabricating or modifying Equipment and Temporary Accommodation as a result of a compensation event.
  • Payments for purchase of materials used to construct or fabricate Equipment and Temporary Accommodation.
  • Unless included in the open market rates, the cost of operatives is included in the cost of people.
3                 Materials

The following components of the cost of Materials.

  • Payments for
    • purchasing Materials,
    • delivery to and removal from the Working Areas,
    • providing and removing packaging and
    • samples and tests.
  • Cost is credited with payments received for disposal of Materials unless the cost is disallowed.
4                 Charges

The following components of the cost of charges paid by the Provider.

  • Payments for provision and use in the Working Areas of
    • water,
    • gas and
  • Payments to public authorities and other properly constituted authorities of charges which they are authorised to make in respect of the Services.
  • Payments for
    • cancellation charges arising from a compensation event
    • leasing of land
    • compensation for loss of crops or buildings
    • royalties
    • inspection certificates
    • charges for access to the Working Areas
    • facilities for visits to the Working Areas by Others
    • advertising, leaflet drops and the like in connection with the Services
    • specialist services excluding payments for people providing services for or in connection with the management, administration and/or operation of the contract and/or providing head office functions supporting the provision of the Services
    • consumables and equipment provided by the Provider for the

Service Manager‘s offices.

  • A charge calculated by applying the percentage for people overheads stated in the Contract Data to people items 11, 12, 13 & 14. The charge includes provision and use of equipment, supplies and services, but excludes accommodation, for
    • telephone, telex, fax, postal and electronic mail, radio and CCTV
    • computing
    • copying
    • cleaning
    • catering
    • medical facilities and first aid
    • recreation
    • sanitation
    • security
    • surveying and setting out
    • hand tools not powered by compressed air.
5                 Insurance

The following are deducted from cost:

 the cost of events for which this contract requires the Provider to insure and  other costs paid to the Provider by insurers.