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NEC3 ECC: Percentage of People Overheads applied to Subcontractor's People

When assessing a CE on Defined Cost, is it correct to apply the percentage of people overheads, as defined in the contract data, to the cost of the subcontractor's people?

For example, if a subcontractor claims say £30/hr for a person (exc the subcontractors fee percentage) and we incorporate this rate into our quotation under subcontract people, can we legitimately add the percentage of people overheads to this rate prior to applying our subcontracted fee percentage?

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