Prevent cost, time overruns
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Funds crunch is one of the main reasons for delay in completion of buildings. Shortage of labourers and contractors not sticking to the deadline can also lead to delay.
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— Photo: S. Ramesh Kurup
SLOW PACE: Delayed construction can lead to cost escalation.
A Kozhikode-based businessman, P.S. Abdul Gafoor, and his wife, V. Ruksana, will tell you how irritating it is to answer queries from friends, neighbours and relatives about when they are shifting to their new house.
All of them know that the construction of their 2,000-sq.ft house in Kozhikode city started in August 2005, and the couple was sure that they would be moving into their dream house at least by December 2006. But things did not work out that way.
Their house is still under construction, fortunately in the last stages. "Maybe, I will move in by May first week, hopefully," Mr. Gafoor says.
Wonder what led to the delay in the construction of his house? One of the major reasons most people cite is financial constraint. Not so in the case of this couple. "Money was not the problem. I was not able to get skilled labourers to complete the jobs on time," Mr. Gafoor says.
Like Mr. Gafoor and Ms. Ruksana, a vast majority of those building their houses has to confront the problem of shortage of labourers and contractors not sticking to the agreed timeframe in completing the works.
Ideal timeframe
Ideally, the construction of houses with areas ranging from 1,500 sq.ft to 2,000 sq.ft takes 52 weeks, according to a well-structured plan. A 40-week period is required right from the planning to plastering stages. During this time, all works, such as construction of foundation, pillars, soil-filling, plinth construction, lintels, roof slabs, brickwork and curing and creating ducts for electrical wiring, can be completed.
The next 12 weeks are crucial in time management. If you get the right contractors and skilled labourers, flooring, electrical wiring, plumbing, fixing of doors and windows, painting and interior finishing, including of kitchen, can be done in the last three months, experts say.
How can you overcome time and cost overruns? One suggestion is engage professionals in awarding works. Secondly, reach an agreement between the owner and the labour contractor for all activities. Usually, an owner-contractor agreement is confined to construction of the structure. However, the timeframe should be mentioned for each and every work.
Mr. Gafoor says that 90 per cent of the owners never go for such agreements with contractors. Without the agreement, the owners cannot initiate legal steps if there is any fault in the work done by his labourers. Nothing can be done even if the contractor stops midway the work and refuses to complete it. Looking for a fresh contractor to complete the unfinished task will be another Herculean task, he says.
Usually, contractors, even without sufficient labourers, take up works for different houses at the same time. Thus, they are unable to complete any of the houses undertaken on time. "This exactly happened to me, resulting in a delay of five months in the completion of the house," Mr. Gafoor says.
Normally, an agreement between the owner and labourer is drawn on a Rs 20 stamp paper. But it is always wise to check with a lawyer in this regard. Labour contracts can be entered into item-wise or per-square basis.
The measurement is simple in the case of per-square basis. But there should be a clear understanding between the labour contractor and the owner. The agreement form made between the owner and the contractor should contain the names and addresses of the two. The supply of items for works should be mentioned in the agreement. These should include fixing of doors, windows, ventilators in wood or steel, plastering of inside and outside surfaces of walls, ceiling, parapet, waterproofing, painting and electrical and plumbing works.
Stages of payment should also be made in the agreement. Advance for starting the work, usually about five per cent to 10 per cent of the total cost, has to be mentioned, experts say.
Some labour contractors prefer weekly payment. Agree to such a proposal only if it is convenient..
BIJU GOVIND
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