A handful of infrastructure and construction companies who have claimed millions of dollars from the wage subsidy are also claimed penalty fees from the Christchurch City Council because they couldn’t work.

The council may be forced to pay out 6.4 million dollars to contractors because of the lockdown.

Construction company Downer received $38,039,173.24 in wage subsidies for 5479 employees according to the Government’s official data base.

Fulton Hogan received $33,315,130.39 in wage subsidies for 4883 employees.

Council General Manager of City Services David Adamson told Newstalk ZB’s Chris Lynch following the Covid-19 lockdown between March and May, the council received contractors’ claims for site disestablishment, site reestablishment and costs associated with extension of time claims resulting from the lockdown period.

72 percent of the claims have been paid out to contractors.

The top ten contractors who have made claims to the council include, Issacs, City Care, Fulton Hogan, BPC, Downer, Hunter Civil, March Construction, GSL, C Lund and Son and Schick.

Newstalk ZB Christchurch wanted to know the exact amount of what was paid to specific companies, but Adamson said what has been received is subject to negotiation and will be confidential until negotiations in relation to all contractor claims have been finalised and agreed.

In the council finance and performance committee report it says as of September 2020, the value of claims received totals approximately $6.4 million.

28 percent of claims are still to be finalised.

David Adamson said council has now drafted special conditions to address any future COVID-19 impacts including cost exposures as well as provide greater clarity for the council and contracting party.