Olympic delivery partner CLM earns £50m bonus

Grant Prior 11 years ago
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The Laing O’Rourke-led CLM consortium overseeing construction of the 2012 Olympics earned a £50m bonus last year for keeping the Games on target.

Annual accounts from the Olympic Delivery Authority show CLM was awarded £50m in “performance payments” in 2010-11 after pocketing £47.6m the previous year.

The bonus brings CLM’s fee for Olympic work last year to £116m – or £317,000 a day.

The accounts state: “Performance payments are payable to CLM for the achievement of key programme milestones and cost targets.”

The full bonus payments will be made after this month and March 2013 “provided currently projected completion dates and cost savings are achieved.”

CLM consists of Laing O’Rourke, Mace and CH2M Hill. O’Rourke and CH2M Hill both have a 37.5% stake with Mace owning the remaining 25%.

The accounts also show that the ODA employed 224 permanent staff on an average salary of £67,200.

An ODA spokesman said: “Payments to CLM are based entirely on their performance in working with the ODA to manage the programme and we are on track and under budget.

“We are not talking about men in suits. These are site engineers, planners and construction experts with huge experience of managing Olympic Games construction projects.

“They are not an optional extra. These are skills we would need for this project whether we hired them directly or went down the Delivery Partner route.”

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