Contract Market Melting Down

[AnthonyQuinn]

I am not sure if I am the only screwed up bloke here. My rate hasnt increased in the last 7-8 years. Have generally been well appreciated at work. and yet contracts have become more difficult to land and now with another recession looming I am wondering if I should pack it all in and do something else, like flip burgers.

[Batcher]

We need more information to make a proper judgement:

What is your current rate?
What is your main skillset?
Where are you based?
Can you give us two names with contact details for references?

[BlasterBates]

In my view it has definitely got more difficult for dev contractors.

Increasingly companies are using offshore contractors.

If you're a dev contractor you definitely need to look at niche skills, be more prepared for bench time.

Not sure whether there is a recession coming though. I would say not imminently.

[sal]

The market is not melting down - it's maturing. Going by the mount of ads on Jobserve, I would say that the amount of roles for contractors in IT is not decreasing, but the supply of contractors is increasing constantly and much higher rate than the roles available. This is due to factors like offshoring, immigration, permies going contracting because of the stagnating wages.

I fail to understand how do you expect ever increasing rates for the same service, during a recession on top of everything? You are not a permie (or are you?). If you think flipping burger or some other occupation will earn you more money - go for it, by all means, it's a free world.

[BolshieBastard]

I am not sure if I am the only screwed up bloke here. My rate hasnt increased in the last 7-8 years. Have generally been well appreciated at work. and yet contracts have become more difficult to land and now with another recession looming I am wondering if I should pack it all in and do something else, like flip burgers.

Have you stayed in the same role with the same client for 7 - 8 years?

I really cant believe that if someone has moved regularly in that time, they havent seen their rate go up (and down) in that period. Even if you've stayed with the same client, Id be amazed that someone hasnt asked for and got a rate increase at least every 2 years.

Have you fallen for the agents 'how much is your current rate \ what's the lowest rate you'll work for?' routine? Or, are you a sockie?

[AnthonyQuinn]

Have you stayed in the same role with the same client for 7 - 8 years?

I really cant believe that if someone has moved regularly in that time, they havent seen their rate go up (and down) in that period. Even if you've stayed with the same client, Id be amazed that someone hasnt asked for and got a rate increase at least every 2 years.

Have you fallen for the agents 'how much is your current rate \ what's the lowest rate you'll work for?' routine? Or, are you a sockie?

have moved client every 2 years. Been a retail business analyst.

I think some of the previous posts about there being a glut of contractors seem to be valid

[BolshieBastard]

have moved client every 2 years. Been a retail business analyst.

I think some of the previous posts about there being a glut of contractors seem to be valid

Even a BA should see a change in rate. Are you at or near the top rate for a BA?

[LadyPenelope]

have moved client every 2 years. Been a retail business analyst.

I think some of the previous posts about there being a glut of contractors seem to be valid

I'm a contract BA also (have been for last 10 years). I do think there must be a lot of us looking at the moment, maybe it's the time of year because I normally get more response to my CV than I'm having this time around. March/April 2012 when I last looked for work, it was definitely easier to get interviews. Then again contracting is a bit random in terms of what's available at any given time. Rates seem to have gone up a little from what they were in 2009 recession, but they were still better back in 2000 as far as I can remember.

I work in telco/digital stuff, bit of finance occasionally. It used to be really easy to get jobs in London possibly because of supply and demand, but the provinces seem to be where it's at lately, simply because fewer candidates can get to the client if they are in one of the Shires etc so less competition and they have to be more flexible.

Is there really a recession on the way? It's still much better than 2009 - quite a few jobs to go for at least.

[lukemg]

I think most areas have the potential to go stagnant and rates flat-line or drop (see support) as more move in to the area, off-shoring etc etc.
For an individual, you need to be looking a bit further ahead, whats going to keep you ticking over, whats my next move PLUS whats my exit plan/plan b.
I got stung in the past with skills becoming commodity/NMW, got another chance at the game and spent considerable effort in making myself Financially Independent.
Warchest is always good but I am beyond that now - I am nearly immune from anything that happens in the market/having to live away/take or stay in job I hate.
I think all contractors should be thinking about getting to this stage, it feels great and I don't expect to work another summer from this point...

[billybiro]

I fail to understand how do you expect ever increasing rates for the same service, during a recession on top of everything?

Same reason everyone else (irrespective of industry or permanent/contract status) expects rates/wages to rise over time: Inflation.