If you are procuring a project on design and build, you will be offered an employer's agent. If you have asked around about project management, you will have been offered a project manager. The two are frequently discussed as though they are alternatives, and the fees quoted for them can look similar enough that choosing feels like a matter of preference.

They are not alternatives, and the difference is not cosmetic. One is a role defined inside your building contract. The other is a management appointment that exists whether or not a contract has been signed. Understanding which questions each one answers, and where the boundaries fall, is what stops a client discovering in month four that nobody is doing something they assumed was covered.

What is an employer's agent?

The employer's agent, usually shortened to EA, is the person the employer names to act on their behalf under a JCT design and build contract.

The RICS practice information on the role describes the EA as having authority to receive and issue applications, consents, instructions, notices, requests and statements, acting for the employer under the contract conditions. In practical terms, the EA is the client's voice inside the contract once it is running.

Typical EA duties include:

  • Administering the contract conditions after award
  • Issuing instructions and managing change control
  • Monitoring the contractor's compliance with their obligations
  • Reviewing contractor-submitted design information
  • Valuing work and issuing payment notices
  • Inspecting quality and certifying practical completion
  • Managing defects and settling the final account

Design and build contracts do not contain a formal contract administrator role in the way traditional contracts do, so the EA fills much of that space. It is a real, defined, contractually significant appointment, and on a straightforward design and build scheme it does a great deal of work.

What is a project manager?

A client-side project manager is appointed by you and works only for you, across the whole life of the project rather than the life of the contract.

The role covers the brief, the budget, the procurement strategy, the appointment and coordination of the consultant team, risk management, programme leadership and the reporting that lets you make decisions. If you want the detail of what that involves week to week, we have written about what a client-side project manager actually does separately.

The important structural point is timing. The project manager's most valuable work happens before there is a contract to administer: shaping the brief, testing whether the budget and programme are realistic, choosing the procurement route, and assembling the right team. By the time an EA's authority begins, most of the decisions that determine whether the project succeeds have already been made.

The comparison, side by side

ComparisonEmployer's agentClient-side project manager
What it isA contractual role under JCT design and buildA management appointment
Defined byThe building contractYour appointment document
Typically startsAround tender and contract awardAt brief and feasibility, before the design team
Core focusAdministering the contract correctlyDelivering your objectives
Owns the briefNoYes
Chooses the procurement routeNo, usually advises within itYes
Appoints and coordinates consultantsNoYes
Certifies payment and practical completionYesNo
Must act impartially on some mattersYes, on valuation, claims and certificationNo, acts in your interests throughout
Ends atFinal accountHandover, and often beyond into occupation

Read down the “owns the brief” and “typically starts” rows and the shape of the issue appears. These roles are not competing for the same work. They are covering different periods and different questions.

Mid-construction residential apartment blocks with scaffolding under an overcast sky

The impartiality gap, and why it matters

Here is the part that surprises clients, and it is the single most useful thing to understand about the EA role.

Although the employer appoints the EA and the EA acts on the employer's behalf, the law of agency and contract require the EA to remain impartial in certain functions. RICS states this directly: the employer's agent is required by law to remain impartial with regard to the valuation of the works, the processing of claims, and duties relating to certification.

That is correct and proper. Certification would be worthless if it were partisan. But follow the consequence through. On the specific matters where money moves between you and the contractor, valuations, claims, extensions of time and certificates, the person you are paying is obliged to act even-handedly rather than to argue your corner.

So who does argue your corner on those matters?

If the answer is “nobody”, the client is unrepresented at exactly the moments that determine the final account. A client-side project manager carries no impartiality duty. Their job is to interrogate the claim, test the extension of time, question whether the variation was truly a variation, and make sure you understand the commercial position before it hardens. That is not a criticism of employer's agents. It is a description of a boundary the role is designed to have.

The second gap: everything before the contract

The other gap is chronological.

An EA's appointment usually starts around tender and contract award. But the decisions that determine whether a project comes in on budget happen well before that: what is actually being built, whether the budget was ever realistic, which procurement route suits the risk profile, whether the design team is the right one, and what the programme genuinely allows.

Get those wrong and no amount of excellent contract administration recovers them. An EA administering a badly conceived contract, on an optimistic budget, with a design team appointed on the wrong scope, will administer it very correctly all the way to an overspend.

This is why the sequencing matters more than the job titles. If you appoint only an EA, and you appoint them at tender, you have bought careful management of the second half of your project and left the first half to chance.

Watch the NEC naming trap

One more source of confusion, and it catches people in tender documents.

The employer's agent is a JCT design and build term. Under NEC contracts, the equivalent contract-facing role is itself called the “project manager”. So the phrase “project manager” can mean two entirely different things depending on which contract you are reading: a contractual administrator under NEC, or a client-side management consultant appointed under a separate professional appointment.

When you are comparing fee proposals, check which one you are being quoted for. Two proposals both titled “project management services” can describe quite different scopes, and the difference will not always be obvious from the fee.

Hands reviewing a bound contract document beside a laptop on a desk

Which do you need?

Some practical guidance, given the above.

On a design and build scheme, you will need the EA function. It is contractually necessary. The question is not whether, but who and when.

If the project is significant to your organisation, appoint project management first, and early. Brief, budget and procurement decisions are where the money is won or lost. This is also the answer for anyone whose real question is “can I get away with just an EA”: you can, on a small, well-defined, low-risk scheme with an experienced client team. On anything else it is a false economy.

One person can hold both roles, and often should. On many projects the same consultant acts as project manager through the early stages and takes the EA role when the contract is let. That gives you continuity and a single point of accountability. It also means you should be explicit, in writing, about the impartiality boundary: when your consultant is wearing the EA hat on a certification matter, they are not advocating for you, and you should both understand the moments when that applies.

Ask the question directly at appointment. “When you are acting as EA on a valuation or a claim, who is representing my commercial interest?” A good consultant will give you a clear answer. If the answer is vague, that is your finding.