We hired someone who spent 30 years working for main contractors such as Balfour Beatty. Someone who drafted contracts designed to pass risk down the supply chain. Someone who, by his own admission, spent his career “subby bashing.”
His name’s Alan Baybut. He’s now teaching us how construction contracts actually work.
The Hire That Nearly Didn’t Happen
Alan’s CV came through Indeed. He was in Spain. Probably had a few drinks when he sent it, by his own admission.
Our first reaction? He’s overqualified. Then Dan read the covering letter. Something clicked.
The role we advertised: understudy to Ash. Learn employment law. Train up in Ash’s image.
Alan flipped it. Let me train you lot up. You know employment status. I know contract law. Let’s combine both.
What We Didn’t Know
We’ve always known employment status inside out. But employment status is one slither of contract law.
Turns out, subcontractor relationships fall under the Construction Act. We’d never had dispute resolution sections in our contracts. Never thought about how operating procedures can completely undermine the test of control.
Alan’s experience is all about risk. Where’s the risk? How do you qualify it? How do you back it off? That’s how main contractors draft contracts.
We draft contracts to reflect genuine working relationships and maintain employment status compliance. Alan drafts contracts to manage commercial risk. Combining both? That’s the sweet spot.
Contract Is King, Additional Documents Are Queen
One of the first things Alan spotted: operating procedures.
A client had detailed documentation showing subcontractors exactly how to do the work. Step by step instructions. From Alan’s main contractor days? Gold. Perfect document.
From an employment status perspective? Disaster. It shows control over how work is done, not just what needs to be achieved. That undermines the entire self-employment argument.
Alan’s job now: understand how firms actually work with their subbies. Incorporate that into compliant contracts. But also review all the additional documents. Site induction materials. Health and safety policies. Operating procedures.
Contract is king. Your additional documents are queen. Both need to tell the same story.
Why Reality Always Wins
Alan told us about a construction firm last week. They had a contract their accountant put together.
Simple question: what did they review the contract against? The legislation.
If the contract doesn’t reflect how they’re actually working, it’s worthless. That’s always been our approach. As long as the contract reflects the true working relationship, how can it be argued as anything else?
Alan’s seeing that now. No two relationships are the same. It’s the nuances that make the difference.
What we’re learning from him? How to make those contracts bulletproof from a commercial perspective too. Not just HMRC-proof. Actually legally binding in terms of negligence, defects, and commercial protection.
Beyond Just Employment Status
Employment status stays paramount. But if we can add commercial protection that benefits clients in terms of risk management, everyone wins.
With Alan on board, we’re not just helping firms use subbies long-term compliantly. We’re helping them understand the entire contractual landscape. What risks they’re taking on from clients above. What they should be pushing back on.
Main contractors operate on 3% margins. Trade contractors often less. Taking on risk you don’t understand can wipe out a business. One bad contract clause and you’re done.
Alan’s walked that walk for 30 years. He knows where the landmines are. He’s seen companies go under because of contractual risk they didn’t spot. Osborne collapsed partly because of COVID-related contractual disputes. These aren’t academic questions. They’re survival issues.
What This Means Going Forward
We’re still the employment status guarantee. But if there’s an opportunity to make contracts useful in other areas of business, why not?
Alan’s now having conversations with our clients about contracts coming down from main contractors. The onerous terms they’re signing. The risks they’re taking on without realising.
He’s spotting things we’d never see. Operating procedures that undermine control tests. Payment terms that turn you into someone’s overdraft. Delay damage clauses that could bankrupt you.
Having someone who spent 30 years on the other side? That’s invaluable. Poacher turned gamekeeper.
We’ve got specialists in both now.