We've been working with a remote developer for a two months. The developer was expected to finish mid-June. That has not been the case. We're paying them a substantial amount (£400 a day) only to find out that the developer is working no more than 4 hours a day.
We've given him a warning that further payment will be held as not only has he missed he agreed deadline but he's not been working full days.
There have been no surprise or nothing more has been asked of him.
The developer has asked for the payment and claims he will be evicted from his flat and cannot finish the job if he's not paid.
How should this scenario be handled? Let him go and find somebody else before the situation escaltes?