Rate Increase Justification

[kaiser78]

You think someone running a business should be asking these type of questions at all, never mind a forum?

Un****ing believable.

If you feel such level of questions to be so beneath you, feel free to not contribute - just keep shining that chip on your shoulder instead.

Many thanks to those CKers who have responsded constructively - very useful.

[The Agents View]

Rate rise, take it out of the agencies margin, because of course in tough times, all agents need to be making less money, whilst the contractors live it up off of the back of all the hard work that went into finding them their placement in the first place.

We're defending margins on the people we have left, and increasing them on new placements - the work that we are getting is so challenging at the moment, that this is proportionate to the amount of effort that goes in.

Anyone who thinks this job is about slinging CV's over to clients willy nilly, doesn't actually know the first thing about working the contract market.

[TheFaQQer]

Assuming I am offered re-newal, which I will as I am mid-project, I am going to ask for a rate rise of 10-15%. This is based on the following;

a) I took a lower rate initially as the contract was for 3, then 5 months only and given the market back in the summer I had no choice but to take it (although it did appeal to me anyway)
b) The role is below average market rates for Central London
c) I have been asked to take more project work than originally brought on to do, with a wider remit now
d) The agent is creaming off 20% commisison - I won't tell him I know this but will use this as abargaining tool
d) I am pretty good at what I do and can provide justification around this based on what I have completed so far
e) I feel confident I can achieve this rise and am normally okay when I follow my instincts.

renewal

a) Makes no difference - you accepted a rate that you were happy with. Is the market in which you work any better now? Is there a chance that there will be plenty of other people that could do your job for you at the current rate?

b) The client doesn't care what the rest of the market is paying. They might feel a bit smug for getting a good deal on your contract, but no more than that. Is there a chance that there will be plenty of other people that could do your job for you at the current rate?

c) The one point that you make that might make a difference, and has some degree of reason behind it. You are doing something different, and taking on extra responsibility for it, and therefore should be paid accordingly. However, ask yourself whether there is there a chance that there will be plenty of other people that could do your job (including the new responsibility) for you at the current rate?

d) Client doesn't care what the agent is taking. Might be worth trying to get some money from the agency side of things, but I wouldn't bet on it. Could the agency find a replacement for you easily?

d) I hope that you do your job better than you make alphabetical lists. However, you were brought in to do a good job (unless they hired you to do a bad job, and you have failed at that, hence doing a good job ) - you have no decent argument for a raise based on doing your job. Certainly not a 10-15% raise.

e) If you think that you will get it, then you may as well ask for it - no-one else will do it for you. However, what are you going to do when they say "no"? If you were desperate at the start of the summer to take any role, are you prepared to risk having to do that again? Is there a chance that there will be plenty of other people that could do your job for you at the current rate?

HTH.