General state of the contract market

**BlasterBates** · 28 April 2008, 10:16

Difficult one as you have an offer. It looks like the contract market will get difficult over the next six months. For example the newspapers are reporting RBS and UBS to sack 16000 (in total) in the next couple of months, and though that would be worldwide, mainly in the US and UK. On the other hand away from financials it doesn't look too bad. Financially you need to be prepared for a few months on the bench, but that applies particularly at the moment. Take a look at where you're going, are they likely to be hit?

**malvolio** · 28 April 2008, 10:26

Originally posted by BlasterBates View Post

Difficult one as you have an offer. It looks like the contract market will get difficult over the next six months. For example the newspapers are reporting RBS and UBS to sack 16000 (in total) in the next couple of months, and though that would be worldwide, mainly in the US and UK. On the other hand away from financials it doesn't look too bad. Financially you need to be prepared for a few months on the bench, but that applies particularly at the moment. Take a look at where you're going, are they likely to be hit?

Depends who you believe about job losses. Several articles over recent weeks have said they're losing non-productive and overheads staff but are still crying out for IT workers and Analysts. Let's face it, a £600 a day contractor for a year costs them an awful lot less than a trader on a bonus scheme, and if the trader isn't bringing in any income...

**MrRobin** · 28 April 2008, 10:45

State of the market

I am not looking for a new gig right now but I do keep and eye on things and check my RSS feeds from jobserve each day. I'm sure each area of expertise is different but here are my observations

Volumes of jobs seem to have reduced a little, but are in no way dead or seriously reduced as the doom mongers say

Having said that, supply will have undoubtedly increased recently due to the recent en mass layoffs

Average rates do seem to have dropped, perhaps 10 - 20% ish, altho I do see the odd howler of like £15/hour etc (around 1/3 of a decent rate) and think noone can be that desparate... surely?

**Prodigy** · 28 April 2008, 10:53

Yeah, well that was the exact story that got me thinking to be honest!

I would effectively be subcontracting my services to a large IT company for work on some of their projects. Fortunately they seem to have a diverse range of customers from commercial, finance, public sector etc so hopefully it wont be too bad. What I am wondering about is any knock effects I suppose...

You are right, you always need to be prepared for a few months on the bench and I am certainly going to save most of the cash I make to mitigate against any down time.

**scooby** · 28 April 2008, 13:35

Originally posted by BlasterBates View Post

Difficult one as you have an offer. It looks like the contract market will get difficult over the next six months. For example the newspapers are reporting RBS and UBS to sack 16000 (in total) in the next couple of months, and though that would be worldwide, mainly in the US and UK. On the other hand away from financials it doesn't look too bad. Financially you need to be prepared for a few months on the bench, but that applies particularly at the moment. Take a look at where you're going, are they likely to be hit?

However, RBS are still taking contractors. one of the lads here had an interview last week.

**BlasterBates** · 28 April 2008, 15:10

That maybe the case, but until management rubber stamp the budget cuts that is exactly what happens. I remember project staff in 2001 being take on and then sacked again a few weeks later.

But then again....

It may all be a conspiracy propogated by aliens.

General state of the contract market