Renewal & rate increase advice

[northernladuk]

Does your client engage other contractors at or near market rates?

Or are they just engaging with you because you are offering them a good deal.

Started contracting as I moved to Asia because my partner had a good job opportunity here. First 6 months I was on a very low day rate (£150) Due to working fully remote & the time difference to the UK I felt that I had to dangle a carrot to get the client to initially commit.

Recently departed contractor colleague told me that the go-to rate has been £420 per day.

Based on the fact that some of those guys are more experienced than myself & they are physically based in the UK, I thought that £300 would be reasonable.

I am currently based in SEA

The information is there if you can be bothered to read it.

[northernladuk]

Understood. I am currently based in SEA so unfortunately cannot simply pick & choose from a plethora of jobs. With regards to being a 'Drone', I am arguably as skilled as some of the other contractors, it's more my location & the associated time zone difference which has driven my low rate although I agree that I have almost certainly been renewed due to cost saving. I work in a very technical engineering discipline within a very skilled agile team writing industry leading software so there are much worse places to be regarding not continuing to learn although I would like to upskill in a new technology or two if I had the time. They didn't offer a maximum £50 increase, I asked for that increase & they agreed without issue, sorry if I didn't communicate that clearly.

You've just said the 420 guys are more experienced. You will be a drone as you aren't based in the time zone and will be seen as an offshore bod so not as integral. Experience for a contractor isn't just knowing one product. It's about having multiple engagements, being able to get up to speed quickly and understand how new clients work and their experience. Just moving to a new job will add a new level to your CV. Moving clients to get on a career path where you are a member of the team and not a bit of an outcast can also help as well.

If everything is as hard as you say then I'd take the 50 and get my head down. If you start pushing the rate up it could jeopardise your position as well. You'll no longer be the cheap resource they have you down for and less willing to deal with the remote/timezone issues.

[Fraidycat]

If they think you are really good, and worth well above £300 a day, then they will pay £300 a day, no brainer.

If they see you as just average, then they will pay £300 a day if the cost of hiring a replacement is going to be way more than £300 a day, which it will be. And they will want to avoid the hassle of finding a replacement. Interviewing etc

However if they can get away without replacing you. Then you are you out of luck.

[northernladuk]

If they think you are really good, and worth well above £300 a day, then they will pay £300 a day, no brainer.

If they see you as just average, then they will pay £300 a day if the cost of hiring a replacement is going to be way more than £300 a day, which it will be. And they will want to avoid the hassle of finding a replacement. Interviewing etc

However if they can get away without replacing you. Then you are you out of luck.

Completely missed the other key factors that are in play here.. I quoted you them so no excuse this time.

[NowPermOutsideUK]

If they think you are really good, and worth well above £300 a day, then they will pay £300 a day, no brainer.

If they see you as just average, then they will pay £300 a day if the cost of hiring a replacement is going to be way more than £300 a day, which it will be. And they will want to avoid the hassle of finding a replacement. Interviewing etc

However if they can get away without replacing you. Then you are you out of luck.

Completely not true. Many salaries are based on negotiation when being hired. Someone great in a bad year will get less than someone bad in a hot year. Getting a 20% pay rise either perm or contract nowadays is frankly impossible never mind 50%. You will have to move