shame on you; fool me twice, shame on me!
Day in, day out, Kier Highways Ltd (KHL) are attending emergency incidents, their AIW staff undertaking a difficult job efficiently (in most cases). But behind the scenes calculations are undertaken and invoices churned out following many of the 5,400 incidents KHL deal with per annum. To grease the wheels of those considering and paying the charges, KHL provide a document, ‘An Insurer’s Guide to Incident Management & Claims Recovery’ – click here.
If the incident occurred on a weekend evening, between 5pm and 8am*, you will be charged 2.5x. The £70 / hour charge presented will rise to £175 / hour for each AIW. But when we challenged this, the rate was dropped to x2. Why?
*just who dictates these hours and why? click here to learn more.
In 02/2016, KHL advised:
“Now the reality is we were initially, we had actually applied a 2.5 uplift on a Sunday and that was incorrect, and that has been changed. Because again it’s a bit of learning model. When we went through the payroll data, the only time our guys are paid 2½ times is when they work an actual bank holiday, and that is to take into account the day in lieu and whatever else, which is absolutely fair enough. So that applies to things like Christmas Day, New Year’s Day, that sort of scenario.”
However, the ‘guide’ continues to display 2.5x and this continues to be charged. We have asked that the rate be amended in the ‘guide’; we have yet to learn that this has occurred. In the scheme of things, you may consider the extra £35 / hour for 2 people (£70 / hour) insignificant. If so, now ask yourself why there is a multiplier at all …
- Enquiries indicate that these enhancements are not necessarily paid to the AIW staff. If not, what justification is there for any increase; what extra cost is there to KHL, what (or who) are the monies for?
By reference to the above table of rates, if an incident occurs at 7pm of a weekday, the rates are:
- £105 / hour to you
- £ 25 / hour to England Highways
Therefore, for a 2 hour attendance (including travel time), by 2 AIW’s (they work in pairs – usually), the bill will be:
- £420 to you
- £100 to Highways England, TFL & Councils
On top of this you can add a charge for the AIW’s vehicle; £35 / hour to you, £15 / hour to Highways England … for doing the very same job, using the very same labour, plant and materials. Who agreed this?
Then there is the question of how it is believed £70 / hour is appropriate … why are drivers, fleets and insurers not asked to pay the £25 / hour (approx.) that KHL charges Highways England?