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Construction audit fundamentals: Analyzing and monitoring project labor costs
November 24, 2025 @ 1:00 pm – 2:00 pm EST
In today’s volatile construction environment, the success of a project hinges not only on execution but on the clarity and enforceability of its contractual terms — especially those governing direct labor. During this complimentary CPE webinar, we’ll explore why a thorough review of labor-related contract provisions is essential to managing financial exposure, ensuring billing accuracy and maintaining project integrity.
Attendees will learn how vague or unfavorable labor terms can lead to significant cost overruns, and how proactive contract analysis can mitigate these risks. We’ll also examine the importance of labor rate decomposition — breaking down hourly rates into their component parts (base rate, burden, overhead, etc.) — to detect duplicate charges, hidden fees and markups, and validate billing compliance.
Finally, this session will highlight best practices for monitoring labor throughout the project life cycle, including how to track hours, validate labor classifications and ensure that labor charges align with contractual expectations. Real-world examples will illustrate how overlooked labor terms and weak oversight can result in costly disputes — and how to avoid them.
Learning objectives:
- Discover how contract terms related to direct labor impact project cost and risk
- Discover how to perform labor rate decomposition to identify overcharges and ensure compliance
- Explore strategies for monitoring labor charges throughout the project to prevent abuse and ensure transparency
Presenters:
- Robert Zellmer, CCA, Director, Baker Tilly
- Tania Beltran, Manager, Baker Tilly
Who should attend:
- Internal audit professionals
- Facility administrators
- Project professionals
- Chief Financial Officers (CFOs)
- Chief Operating Officer (COOs)
- Directors of capital projects
- Other professionals involved in construction project management and facilities development Internal audit professionals
Register today!
This webinar is a part of Baker Tilly’s Construction audit toolbox webinar series. Check out other webinars in this series here.
For more information regarding administrative policies such as complaint and refund policies, please email [email protected].
Baker Tilly is registered with the National Association of State Boards of Accountancy as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: nasbaregistry.org.
