Sub-Contracting, Employees and Documenting Changes - Section 16

58  The guidance in Section 16 of SoPC on sub-contractors and employees is relevant to a Local Authority social care PFI project.

59  Some Local Authority social care PFI projects will involve the transfer of a number of employees under the Transfer of Undertakings (Protection of Employment) Regulations 2006 ("TUPE"), either involving the transfer of Local Authority employees or a 'second generation' transfer involving the transfer of employees from an existing Service Provider to a new service provider.   

60  Bidders will require appropriate information about the qualifications and experience of each potential transferring employee to be made available as part of the bidding process and for an appropriate level of certainty over the numbers and details of transferring employees to be made available.  Uncertainty over such details or the absence of such information during the bidding process will affect the ability of bidders to appropriately price their bids.  In developing the Model Contract, Local Authorities should also take account of the Code of Practice on Workforce Matters in Local Authority Service Contracts.

61  The Model Contract incorporates standard 4ps drafting on TUPE and other employment related issues (including pensions).

62  There is a new Section 16.4 (Changes to Project Documents and Financing Agreements) which provides guidance on the Local Authority's scrutiny of changes to Project Documents and Financing Agreements.  The suitable drafting set out in this section has been incorporated into the Model Contract.