Decisions, decisions

[opc]

I have been in my first and current contract role for what will be two years at the end of March, via two extensions.

The area I'm working in at clientco is reorganising all its permies and they have a lot of contractors (>50% of the total - because they don't pay enough to attract/retain quality professional IT PMs) in Project Manager positions, such as myself.

I have heard a rumour that current contractors are going to be given a two month extension from the end of March, to "allow them enough time to apply for a permanent PM role"....the intimation behind this being that two months is a maximum and after that it'll be a "take the permie role or leave it".

Now, the contractor philosophy has suited me down to the ground. I have absolutely no desire to go back to being a permie....BUT....I also value my work/life balance very highly and Clientco is 15 minutes away from my front door.

While I am somewhat niche amongst the contractors, being SC cleared and knowing my clientco site and personnel very well, I am afraid that if I turn down the offer of a permie role, clientco's HR department will cut their nose off to spite their face because they know in the current market there will be a lot of PMs looking for permie work.

So, do I take the bird in the hand (should it be offered, but with possible 40% pay cut)) and wait till the contract market improves, then leave.....or take the brave way, turn down the role, see if my "uniqueness" is enough to force another contract extension...and if it isn't, brave the East Midlands PM contract market (I have enough reserves for at very least six months before I'll really start sweating. The added complication is the possibility to close my company down before it's two years old in anticipation of contract work drying up.

[MPwannadecentincome]

I take it you are a PM?

Its a tough call!

I can see many employers are now jumping onto recruiting PMs 'cos they can get them cheap.

Try to keep your options open - start by negotiating a good salary and package, remember that you are already known to them, in the meantime see what other contractor roles you can get.

I guess you are in competition with the other contractors if not then band together and find a way to force the company to offer good rates.

Good Luck!

[denver2k]

I'd take Permie role anyway and keep looking for contracts. I think 40% is better than 0%.

Thats my 2 c...

You have been with same client for 2 years. Thats interesting, coz iv always been told that due to IR35 implications, avoid staying at single place for more than 1 (or 1.5 years) OR setup a new company and close existing.

[opc]

Yes, I'm a PM. If I could negotiate a decent package it wouldn't be quite as bad, but where HR are involved I wouldn't trust them as far as......and why would they give me, say, £65k when an out of work PM permie will take it for £45k.....

I think you're right...keeping options open as long as possible is the best tactic. I figure I need to go through the process of applying/taking interviews - maybe this will strengthen my hand in that they will realise how competent/well qualified/clientco savvy I am compared to other contractors and permies on the open market. I suppose at worst I might get another couple of months out of it while someone else goes through SC clearance.

[MPwannadecentincome]

Yes, I'm a PM. If I could negotiate a decent package it wouldn't be quite as bad, but where HR are involved I wouldn't trust them as far as......and why would they give me, say, £65k when an out of work PM permie will take it for £45k.....

1) because the out of work PM permie is an unknown quantity - why is he out of work?

2) because they know you having worked with you.

So you can argue you are a good PM and known to them, whether that is worth £20K extra to them is another matter.

Also find out who is the budget holder, is it the hiring manager or is it HR, at the end of the day its the budget holder's decision. HR can recommend candidates or otherwise but I doubt, company politics aside, they could reject you for being too expensive if the budget holder wants you - so make them want you!

[opc]

Good points.

[Fred Bloggs]

If push comes to shove, take the permie role while looking for your next contract gig but drag out the "recruitment process" for as long as possible. Only apply on the last hour of the very last day of the 2 months etc... Better to be eating from Aldi on a 40% cut than having to go to a soup kitchen because of a 100% cut. Good luck.