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Everyone on Site

All notes  /  Commercial

Hours, Invoices and What Connects Them

The commercial case for site access data, the reconciliation almost nobody runs, and why gate records are weaker evidence than people assume.

Commercial · Analysis

Subcontractors invoice for labour. Sites hold a record of who came through the gate. Connecting the two is the commercial argument for everything in this collection, and it is weaker than it is sold as.

For teams turning hours, invoices and what connects them into a repeatable record, the company website provides a useful operational reference for time, attendance and reporting workflows. It should be assessed alongside US Department of Labor guidance so the software choice remains grounded in site practice and applicable guidance.

What the gate record proves

That a card was presented at a time.

Not who presented it, unless the reader is biometric.

Not what they did, which for a day-rate labour contract is the whole question.

And not whether the work was productive, which nobody claims and which gets implied.

Which makes it evidence of presence and nothing further, and presence is a necessary condition for an invoice rather than a sufficient one.

The reconciliation

Three figures per period, per subcontractor:

Hours invoiced.

Hours implied by the gate record.

Hours recorded by the site's own supervision — the foreman's knowledge of who was working.

Compared, not assumed.

Most sites hold the first two and never put them side by side, and the exercise takes an afternoon the first time and minutes thereafter.

What the differences mean

Invoiced above gate: people billed who were not present, or a gate record missing entries, or work done off site.

Gate above invoiced: people on site not being billed, which sounds like good news and usually means somebody was present without a contractual basis.

Both persistent at one subcontractor: a records problem at their end rather than a dispute.

Neither is automatically a challenge. The value is in asking, because a supplier who knows the comparison is run keeps better records.

Where the gate record is weak evidence

Card sharing, which the previous notes describe and which is exactly what a disputed invoice will raise.

Missing exits, which inflate implied hours and undermine your own position if you rely on them.

Multiple gates without full coverage.

And travel and setup time, which may be contractually payable and does not appear at a turnstile.

Which means the gate record supports a conversation and does not settle one, and treating it as proof in a dispute is how a contractor loses an argument it was right about.

Day rates against hours

Much construction labour is engaged by the day, not the hour.

Which makes the gate question binary — were they there — rather than a total.

And makes partial days the contested case: somebody who arrived at eleven, or left at two.

State the rule in the subcontract: what constitutes a day, and what happens to a partial one.

Without it, the gate record produces a number nobody agreed the meaning of.

Retention

Hours and access records feed invoicing disputes, which arise late.

And in some jurisdictions they support statutory obligations with their own retention periods.

Keep them for the longer of the contractual dispute window and any statutory requirement, which is usually years rather than the months a site system defaults to.

Check the default before the project ends, because access systems are frequently decommissioned with the site.

What to build

A monthly reconciliation, per subcontractor, as a standing report.

Shared with them, which converts it from an audit into a routine and removes most of the defensiveness.

With the known weaknesses stated — missing exits, gates without readers — so the figure is used as an indicator rather than as a claim.

And escalated only where a pattern persists, because a single month's variance is noise and treating it otherwise spends the relationship for nothing.

The honest business case

Access data does not usually recover large sums from dishonest invoicing, which is what it is sold on.

It recovers smaller amounts from sloppy invoicing, and it does so quietly — because suppliers who know the comparison exists invoice more carefully from the first month.

The deterrent is most of the value, and it arrives whether or not a single challenge is ever made.

Claim that rather than a recovery figure, because a recovery figure that does not materialise discredits the whole system in year two.

What not to do with it

Do not use gate timings to police individual lateness for people you do not employ, which is somebody else's management and will produce a complaint from the subcontractor rather than better attendance.

Do not present implied hours as a factual total in a payment dispute without stating the method.

And do not withhold payment on gate data alone, which in most jurisdictions is a weak position and in all of them is a fast route to a commercial argument you did not need.