The portion of a project's total budget allocated to labour costs, expressed as a percentage. Subcontractors use it to bid competitively and protect margins. Tracking it against actual labour spend reveals cost overruns early.
Planned Labour Percentage
Related Terms
Utilization Rate
WorkforceThe percentage of available working hours that crews or equipment are actively billable to a client. A low utilisation rate signals idle resources draining overhead costs. Subcontractors track this metric closely to assess profitability across projects.
Nonemployer Establishment
WorkforceA business that generates revenue but has no paid employees — typically a sole proprietor or owner-operator. Many field subcontractors and independent tradespeople operate this way. Statistics Canada tracks these firms separately in labour and industry data.
Co-Employment
WorkforceA legal situation where both a subcontractor and a client company share employer responsibilities over a worker. This creates liability risks around benefits, termination, and labour standards if boundaries aren't clearly defined. Subcontractors should maintain clear contracts and independent operating practices to avoid unintended co-employment claims.
Independent Contractor
WorkforceA self-employed individual or company hired to complete specific work under contract, rather than as an employee. In field service, this covers most subcontractors supplying labour or specialised skills to operators and prime contractors. Independent contractors are responsible for their own taxes, insurance, and equipment.
Job Openings Rate
WorkforceThe percentage of unfilled positions relative to total jobs in a sector at a given time. For subcontractors, a high rate signals strong demand for field crews and leverage in rate negotiations. It helps forecast labour shortages before mobilising for large campaigns.
Remote Loading
WorkforceA payroll method where crew wages are loaded directly onto pay cards or accounts without physical cheques. Common on remote sites where workers have no bank access. Subcontractors must confirm platform compatibility with their payroll systems before mobilisation.
Latest Workforce News
Prince Rupert Strike Threatens AltaGas Propane Exports
AltaGas posted record Q3 LPG exports, but a strike at neighboring Trigon and a labour board ruling are expected to slow shipments through Ridley Island in the months ahead.
20 hours agoWorkforceConocoPhillips Cuts Canada Staff and Contractors Effective Tuesday
ConocoPhillips told Canadian staff of a workforce reduction covering employees and contractors, effective Tuesday. The company did not disclose headcount, affected assets or spending plans.
3 days agoWorkforcePermian Frac Crews Hit 106 as DUC Inventory Drops 13%
Enverus counted 106 frac crews in the Permian as of Oct. 16, up from 93 a year earlier, while the basin's DUC inventory fell to 2,060 wells. Here is what it means for completions-related subcontractors.
3 days agoWorkforceUXO Clearance Shaped Work on 641-MW Bellefield Solar Build
The 3,080-acre Bellefield site near Mojave, Calif., was a former munitions depot, so unexploded ordnance scanning ran ahead of all ground disturbance. Here is what that means for survey, grading, pile and trenching subs.
4 days agoRelated Guides
When Your Crew's Behaviour Becomes a Business Problem: Managing Field Conduct on Active Subcontracts
What subcontractors are liable for when field personnel create conflict on a GC-managed site, and how to protect your contracts before it becomes a termination issue.
Workforce GuideHow to Get Your First Oilfield Job: A Practical Guide for Tradespeople and CDL Holders
No oilfield experience? No problem. Learn which certifications, service lines, and job boards actually get tradespeople and CDL holders hired.
Workforce GuideFrom the Field to the Office: What Oilfield Workers Should Know Before Making the Switch
Thinking about moving from field work to an office role? This guide covers how your field experience translates into technical and operations positions, what the transition actually looks like, and the trade-offs most people do not talk about until it is too late.
Stay sharp on field operations
Industry news and insights, delivered to your inbox.
Subscribe to FieldNews
