Is it normal to pay the builder a large bonus after finishing a project?

frozenbanana

Hi all. I recently got a large enough extension done, approximately 6 month long project. At the end I was told that all crew needs bonuses, all and all it amounted to nearly 15% of the cost of the built, that's on top of the weekly wage they were getting.

Fair enough if its a standard practice I never had anything that big build before but why didn't they tell me about it before they started the project? I've no other issues with that crew, seemed to be honest with supplies money and the built quality is good.

I guess my question is is it a standard practice in Ireland and was I taken for a ride?

fliball123

https://www.boards.ie/discussion/2058311340/is-it-normal-to-pay-the-builder-a-large-bonus-after-finishing-a-project

You were taken for a ride not standard precise and I would be taking legal advice if I was you

DC999

https://www.boards.ie/discussion/comment/121042628#Comment_121042628

Plus1 to that

Allinall

I've never heard of that.

It should be up the the builder to give their staff bonuses if they think it's deserved.

If the workers were particularly obliging then a bottle of whiskey or a few quid in an envelope might be appropriate.

SteM

Their employer pays them their bonus ffs.

Deeec

https://www.boards.ie/discussion/2058311340/is-it-normal-to-pay-the-builder-a-large-bonus-after-finishing-a-project

Please say you didn't pay them a bonus 🤦. They obviously see as gullible and has money and are taken advantage.

Treppen

Ride, you have been taken for.

Doop

What contract for the works do you have in place? I suggest you review the clauses.

It would generally be captured for a financial penalty for a delay in executing the works, bonuses? rarely... however provision can be included for a Bonus for completing the works ahead of schedule but it all comes back to the contract and for a domestic/residential situation it would be very unusual and if it was included you would be aware (it would usually be a commercial client who would suggest such a provision... ie if you get our retail unit open one month ahead of xmas there is a bonus of x amount.)

You mention weekly wages, was this a fixed price contract or were you employing direct labor? either way there is still no compulsion to pay a bonus.

Mitzy

I have just had a large renovation done on my house. I paid the builder the agreed price (plus some extra costs for additional works I asked for).

If he wanted to pay his staff bonus's then that was up to him. As the others have said you are being taken for a ride. Only pay it if you want to.

z80CPU

Is it an established builder? Y/N

Not asking for a business name here

More importantly -

Are you overseeing this project on your own as the client?

frozenbanana

Thanks for all the replies.

I suspected as much. What makes it complicated is that the builder is wife's family. Makes asking questions very awkward that's why I want to make sure I have a full picture before I start complaining.

Sleeper12

The only way I'd consider paying bonuses would be if there was no builder & I arranged all of the workers myself.

If you engaged the services of a builder then it's totally up to him to pay all wages and bonus. I'm a tradesman myself and bonus isn't usually paid to the tradesmen by anyone. Builder might bring everyone out to the pub and put cash behind the bar but that is about it

Dodge

https://www.boards.ie/discussion/comment/121043195#Comment_121043195

The family aspect makes it even worse IMO

Scandalous from the builder

cosanostra

Sounds like the builder is trying to drain every last cent out of you

BorneTobyWilde

I guess it depends on the costs, was it done at family rates, and to make a profit it required that little extra..

ec_pc

Madness, is it not common practice to withhold a percentage of the final bill for 1 year? We kept back just over 5% of the final bill for one year to cover any issues / fallout with builder. We were advised to do this by the engineer, builder had no issue with that.

Why pay over the odds for what you are getting?

SteM

https://www.boards.ie/discussion/comment/121044211#Comment_121044211

Then why say it's for a crew bonus?

L1011

I had a sparks employed by a fitout firm try and tap me for a 'bonus' for putting in a few data points *that were on the spec sheet that was given to him by the fitout firm before he quoted them*. I was a contractor for the computer provider for the person who was paying him!

Seems to be something some people play for when they think you're a mark. He didn't get a cent off me, or anyone I hope.

Xander10

https://www.boards.ie/discussion/comment/121043195#Comment_121043195

You don't need to complain, you just need to tell him to **** off !

Risteard81

https://www.boards.ie/discussion/comment/121044221#Comment_121044221

No-one would accept you holding a retention for a year.

Kurooi

Don't pay any bonuses lol. And always withhold some of the payment for when work is done.

AyeGer

Quite often you hire someone close to the family and they take the piss.

Asking you to give his staff/tradesmen a bonus is crazy. Maybe your relation gave you a cheap price (doubtful) but those tradesmen owe you nothing so they wouldn’t have done the work on a cheap rate for you.

Deeec

OP what is the total amount of this 'bonus'?

Happyhouse22

https://www.boards.ie/discussion/comment/121044406#Comment_121044406

I thought holding a retention was normal? Recently built a new house and 2.5% of the total cost was retained for 12 months.

1373

https://www.boards.ie/discussion/comment/121043195#Comment_121043195

Just remember , the builder didn't feel any family awkwardness asking you for a bonus, so now it's time for you to stand up . And no , it's not normal to ask for a bonus after job completed . I'd go so far as to say , a builder who'd be crooked enough to try this on is the same guy who'd never pass on a bonus to his workers

Mike3549

https://www.boards.ie/discussion/comment/121045318#Comment_121045318

Op mentioned nearly 15% of all costs

Ronney

As mentioned above the ide of looking for a bonus is not common practice.

But 15% of all costs is actually taking the complete P*ss! Lets just take Labour costs as being 50% this would mean a 30% bonus to the workers!

Deeec

https://www.boards.ie/discussion/comment/121045361#Comment_121045361

Yes but what figure is 15% of all costs - Are we talking a very large number here? Was this crowd responsible for the whole job or just part of the job.

Deeec

https://www.boards.ie/discussion/comment/121045356#Comment_121045356

I completely agree. I would actually also have to question the quality of this guys work if he resorted to this trick. It could indicate that his business is cash strapped and in these circumstances quality workmanship and materials is often compromised. Op I hope you had an engineer engaged to verify this guys work and that your build meets standards.

Donald Trump

Was it the wallet inspector who told you about it?

Oscar_Madison

Get busy paying someone to review the work is completed - do not pay any more money until this is done. Do not under any circumstances pay them a ‘bonus’ of any kind no matter what pressure you feel under.

If I read correctly you mentioned paying their weekly wages? This sounds like you didn’t pay per job you paid per the amount of time they said it would take to do the job? It’s likely you’ve paid over the odds for the work done to date- or it’s also possible you paid quality prices for a sub standard quality work.

Either way I would get the building work independently assessed - if it’s good then great, thank the guys and send them on their way- if it’s not, write to them outlining the issues

PARlance

https://www.boards.ie/discussion/comment/121043195#Comment_121043195

We don't have the full picture from you though so I wouldn't be taking advice from here.

We don't know what kind of arrangement you had with the builder. Was there a contract in place? Or was it a very informal arrangement? Were materials and or labour supplied at cost? Did he complete the works way ahead of schedule etc... all we know is that family was involved and it can get messy quickly in cases like that.

15% bonus does sound very unusual but if he was supplying materials and labour at cost for e.g, then an extra 15% might still result in you having gotten a very good deal.

brokenbad

In my experience, using relatives to do works on your house is a bad idea. Never again. Had a brother in law do a tiling job few years back that i wasn't happy with and let's say that communcations between us have been frosty since....

There is a saying that no one will rip you off quicker than your own.

Oscar_Madison

https://www.boards.ie/discussion/comment/121045503#Comment_121045503

It’s good to keep positive options open , especially if it’s as you describe, but it’s also good to maintain a healthy level of skepticism here- a 15% “bonus” on an extension could be 15-20k . As others have said it’s not at all “common”

-absolutely no guarantee the crew will get this bonus if paid to the builder

-why ask now? If it’s a surprise to the OP then something is amiss - did the builder over run on costs? If so, why didn’t he alert the OP to this?

It’s hard after a project is done to admit that maybe these guys weren’t as good as they said they were. In addition the family link can bring additional challenges in that many would feel they can’t speak their mind on sub standard work.

The OP appears to be satisfied with the work but on what professional basis was this work signed off and was that person truely independent?

They’re simple questions- I’m not rushing to judge either way but if there’s no independent assessment of the work, then I’ll remain skeptical.

PARlance

https://www.boards.ie/discussion/comment/121045572#Comment_121045572

Agreed with the skeptical approach and I mentioned in my post that the 15% bonus seems very unusual. However, I'm also skeptical when an OP doesn’t give the full information.

Oscar_Madison

https://www.boards.ie/discussion/comment/121045704#Comment_121045704

Ah yeah we need a bit more context and detail too- very true.

fliball123

https://www.boards.ie/discussion/comment/121044406#Comment_121044406

I had the same tactic keep 5% till the following year its all on how you negotiate if the builder does a good job whats the problem?

easygoing39

https://www.boards.ie/discussion/comment/121044406#Comment_121044406

My company has a retention for 6 months.I would often have to go back within the 6 months to fix/amend issue's that would occur after we pulled off the site.

Wanderer78

...straight to a solicitor, best of luck with it!

1373

The op don't want to get ripped off twice

Risteard81

https://www.boards.ie/discussion/comment/121045790#Comment_121045790

The problem very obviously is cashflow, and sitting out money for a very long time. It is not usual for a domestic building contract - commercially moreso.

Risteard81

https://www.boards.ie/discussion/comment/121045790#Comment_121045790

Cashflow.

ec_pc

https://www.boards.ie/discussion/comment/121044406#Comment_121044406

They did in my case, granted it was a relatively small amount out of a large budget.