3.12 In order to achieve the test times required under the contract, DVTA is responsible for providing a certain number of examiner hours per year. If the stipulated number of hours is not provided, the contractors' liability for providing sufficient capacity is reduced in direct proportion to the shortfall.
3.13 In October 2003, DVTA acknowledged that it "did not appear to have provided the number of days and the number of minutes per examiner per day agreed in the contract". DVTA had not then produced complete records showing the hours per examiner actually provided, but it has subsequently calculated that the shortfall in comparison to the contractual requirement was the equivalent of 16 examiners in 2003-04, and 43 examiners in 2004-05, when the ongoing industrial action (see paragraph 2.4) was a significant factor. The inability to provide the contractual level of examiner hours has resulted in the MOT2 equipment (for which DVTA makes ongoing unitary payments) not being fully utilised. This has been a factor in preventing DVTA from achieving the required waiting times for vehicle tests (see paragraph 2.10 and Figure 2).
3.14 This shortfall has been one of the causes of the long waiting times for vehicle tests since 2002, and has also contributed to the need for additional unplanned overtime working costing £1.8 million between 2002-03 and 2004-05 (see paragraph 2.16 and Figure 3). In addition, DVTA told us that the requirement to recruit additional staff to address capacity problems caused by longer test times and reduced manpower had brought about the need for additional extended-day working. The shortfall in manpower provision also means that, even if DVTA establishes contractor liability for the productivity problems experienced (see paragraph 3.19), it may be unable to recover the full additional salary and overtime costs incurred since the introduction of the new equipment.
3.15 In our view, it is now essential that DVTA establishes precisely the current levels of manpower required, and provided, for vehicle testing, and the optimum test times achievable with the current MOT2 equipment. This would serve as a basis for determining the extent of each party's liability for inadequate productivity, and the consequential effect on customer waiting times.