JP Morgan announces 10% rate cut

[Scrag Meister]

It is frustrating, that they really have little idea about the costs of being a contractor. Corporation and Personal Tax, NI, both employers and employees, No holiday pay, no sick pay, insurances, accountants, shorter termination period, no redundancy repsonsiblity, no maternity pay etc......

Yet you never (very rarely) see them hammering the perms in the same way.

I wonder if perm new hires are on lower salaries now?

[Jeebo72]

[QUOTE=Scrag Meister;1434173]
Yet you never (very rarely) see them hammering the perms in the same way.

[QUOTE]

You're answering your own question. The cost of being a contractor. That's why we get paid so much.

[russell]

[QUOTE=Jeebo72;1434178][QUOTE=Scrag Meister;1434173]
Yet you never (very rarely) see them hammering the perms in the same way.

You're answering your own question. The cost of being a contractor. That's why we get paid so much.

Or not as we are finding out.

[escapeUK]

Given it's across all banks you have to swallow it, but I would be reducing my output by the % of the cut.

Are banks the only employers now? Or are the bank rates still so good that no one else can compete?

[Jeebo72]

[QUOTE=russell;1434181][QUOTE=Jeebo72;1434178]

Yet you never (very rarely) see them hammering the perms in the same way.



Or not as we are finding out.

Nope still are. Many are still on 500+ a day. Very good for the 50K a year permie salary they are actually doing. Even at the "low" 450 a day, still not bad.

[russell]

Are banks the only employers now? Or are the bank rates still so good that no one else can compete?

Banks tend to pay a lot more than other sectors, so with 10-15% it is still the best payer?

[Jeebo72]

Are banks the only employers now? Or are the bank rates still so good that no one else can compete?

People still hold it as the holly grail. That's slowly changing. For now anyway. But people are putting up with a lot of crap to hold positions because of that.

[d000hg]

It is frustrating, that they really have little idea about the costs of being a contractor. Corporation and Personal Tax, NI, both employers and employees, No holiday pay, no sick pay, insurances, accountants, shorter termination period, no redundancy repsonsiblity, no maternity pay etc......

Yet you never (very rarely) see them hammering the perms in the same way.

I wonder if perm new hires are on lower salaries now?

The whole point of being a contractor is you're there to fill a gap, not be a permie.

If you're on £400+ a day, whinging about your costs is crazy. If you can't keep contracts sufficiently close together, maybe you're not good enough or flexible enough and aren't cut out to be a contractor
Seriously though you can just go permie if you think it pays better.

[portseven]

The whole point of being a contractor is you're there to fill a gap, not be a permie.

Problem I have seen with current client co is that they don't seem to be using contractors sensibly, they seem to place them on important strategic projects, that allows them to build up so much local knowledge that when the contractors eventually moved on often because of their own policies (10% cut take it or leave, 2year rule, etc) It takes months for the gap to be truly filled.

I am now lead architect on a number of critical projects, and they are asking me to take the 10% cut, if I walk, life will go on, but its not exactly the road to a smooth project.

IMHO, contractors should be used for short tulipty requirements, while the permies do the long term interesting stuff.

[portseven]

Interesting to see no one saying, f'em and leave.

If I find anything between now and 1 Jan, I am going to say f'em - but that's a big if