If you’ve had experience getting work done on your roof or home, you’re probably aware of the fact that the majority of roofing companies use subcontractors when it comes time to actually say, replace a roof. Professional Roofers, Inc. is a licensed general contractor, and we have a dedicated team of subcontractors that we have been in business with for years. This blog aims to inform the consumer or anyone curious as to why a roofing company might utilize subcontractors.
The Costs
To start off, put simply it is far less costly for a business to use subcontractors. Depending on the state, after a company reaches a certain threshold of workers, they are required by law to pay workers’ compensation. In the state of Tennessee, this number is five or more full time employees. This would drastically increase the cost for the contractor as well as the homeowner, as their bill would be higher to accommodate for the cost of workers’ compensation.
There are many variables that go in to how much workers’ compensation costs, but it is estimated in the state of Tennessee to be around $0.81 for every $100 of an employee’s covered payroll. This will really add up if an employer has say, 8 employees.
The Risks
Now you might be wondering what happens to a subcontractor’s employee if they were to get hurt. In Tennessee subcontractors are also required by law to carry a Workers’ Compensation license should they have five or more full time employees. But if they have less than 5 employees, they are not required by law to be licensed. Obviously, this carries a bit of risk for the roofer, but every roofer is well aware of the risk involved with being tens of feet off of the ground on steep sloped roofs. Safety precautions such as roofing harnesses are used to mitigate as much risk as possible.
The Work
A homeowner may think it is riskier to use a subcontractor, but the subcontractor’s work still reflects the contractor, and they will make sure they hire the right subcontractors to reflect the companies morals and values. A contractor’s relationship with a trusted subcontractor is developed over years and years. On top of that, the subcontractor is responsible for their own work. If they cause any damage to the roof, it is on them, and their insurance company will pay for the damages. This leads to more incentive for a subcontractor to do the highest quality work that they can.
So there you have it, hopefully this blog has provided some insight in to the world of subcontracted work. As always, if you have any questions you can always reach out here on our website, or give us a call at 615-778-1440.
