Please advise on how to negotiate the rate with agency.

**northernladuk** · 4 December 2011, 19:08

You say the agent 'negotiated the rate down' to which you agreed. Later on you say the agent has fleeced you? He can do one or the other, not both. In this case you agreed it and signed so you have to swallow it. He is out to make money by one way or another, it is how agents work I am afraid and learning to deal with them is one of the most important parts of contracting.

The fact the guy you put forward stood his ground and didn't let the agent negotiate him down is none of your business. You agreed a rate, you sign. If you go through your contracting career worried about what everyone else is on you are going to be very miserable.

You could demand your £30 or threaten to leave but you will have to give notice and go. Not a very good idea at all in your first contract... and do what? Go to a contract that pays even less?

Personally I would say swallow it. Work the three months and see if he is good to his word. After three months you will have some position power as you know the project/work. Tell the agent you want £350 or you are going but be prepared to leave. You are in no position to start quitting contracts and going to another when it is your first. See it through, force the agents hand and if he doesn't fold walk.

**stek** · 4 December 2011, 19:23

You're a Business not an employee, sone you win, some you lose, take it on the chin.

**pmeswani** · 5 December 2011, 08:21

Originally posted by Extrovert View Post

Hi every one, I am a newbie to contracting and recently started my new contract couple of weeks ago.

The contract was advertised for £300 a day but agent negotiated it down to £280 by saying that after 3 months client will do a review and increase it to £300 a day depending on performance which I agreed. The contract is for a year.

I have referred one of my colleagues from previous permanent employment to the same agency and he has been offered £300 a day even though he was my assistant. I am thinking of asking the agency to review my rate as even £20 a day will make a difference towards bed and breakfast and travelling expenses. No one at work is getting less than £300 a day and agency is still advertising the work for £300 a day.

Now my dilemma is that this is my first contract and I am not so confident in securing another one for even £280. It’s still a very good rate but I am feeling that agency has fleeced me. There are some contracts available near my home paying around £240 and contract is for 4 months. I wouldn’t have to pay travelling and hotel charges. Should I go for that?

If I ask them after three months and they may not increase the rate as they will have their finding bonus by then and they may be happy for me to leave.

Kindly advise should I ask them now or wait for three months? How should I approach this issue. I know agency margin is 9% at £300 a day rate.

Any help will be much appreciated. Thanks

Well, you get what you agreed. If you weren't happy with £280, then you should have either walked away, or negotiated what you wanted. As this is your first contract, you live and learn.

I just secured another contract, which is due to start next week. I wanted 7 days notice, but the agency insisted 14 days. When the formal offer came through, it went up to 28 days. I turned around and told the agent that I verbally agreed 14 days, bearing in mind I wanted 7, but to have the notice period increased to 28 was a bitter pill to swallow as this would restrict my ability to secure another contract, if I decide I want to leave.

I let the agent go away and work out what needs to be done to fix this issue. I ended up getting £30 p/d more as a result. (I wanted £50 extra p/d, but agreed to £30). If the client gets another person who is my equal on more money, I will be happy to hand in my notice and start looking for more work.

The morale of the story, be happy with what you have sacrificed, if you are not, either negotiate before the contract starts or be prepared to walk when things are not in your favour.

**MrRobin** · 5 December 2011, 18:24

Notice periods in contracts are moot from my point of view because

A) I won't decide to leave for another gig just because the offer is better, that's unprofessional

B) I could just withdraw my services anyway because of the lack of MOO

**tarbera** · 5 December 2011, 18:25

suck it up you whinging git

Originally posted by Extrovert View Post

Hi every one, I am a newbie to contracting and recently started my new contract couple of weeks ago.

The contract was advertised for £300 a day but agent negotiated it down to £280 by saying that after 3 months client will do a review and increase it to £300 a day depending on performance which I agreed. The contract is for a year.

I have referred one of my colleagues from previous permanent employment to the same agency and he has been offered £300 a day even though he was my assistant. I am thinking of asking the agency to review my rate as even £20 a day will make a difference towards bed and breakfast and travelling expenses. No one at work is getting less than £300 a day and agency is still advertising the work for £300 a day.

Now my dilemma is that this is my first contract and I am not so confident in securing another one for even £280. It’s still a very good rate but I am feeling that agency has fleeced me. There are some contracts available near my home paying around £240 and contract is for 4 months. I wouldn’t have to pay travelling and hotel charges. Should I go for that?

If I ask them after three months and they may not increase the rate as they will have their finding bonus by then and they may be happy for me to leave.

Kindly advise should I ask them now or wait for three months? How should I approach this issue. I know agency margin is 9% at £300 a day rate.

Any help will be much appreciated. Thanks

This is life as a contractor on your 1st contract - suck it up and stop whinging, if you leave who is going to employ you again if they go back for a reference and ask why he left after 2 weeks - because he wanted a rise already - lol

**BolshieBastard** · 5 December 2011, 18:31

Originally posted by Extrovert View Post

Hi every one, I am a newbie to contracting and recently started my new contract couple of weeks ago.

The contract was advertised for £300 a day but agent negotiated it down to £280 by saying that after 3 months client will do a review and increase it to £300 a day depending on performance which I agreed. The contract is for a year.

I have referred one of my colleagues from previous permanent employment to the same agency and he has been offered £300 a day even though he was my assistant. I am thinking of asking the agency to review my rate as even £20 a day will make a difference towards bed and breakfast and travelling expenses. No one at work is getting less than £300 a day and agency is still advertising the work for £300 a day.

Now my dilemma is that this is my first contract and I am not so confident in securing another one for even £280. It’s still a very good rate but I am feeling that agency has fleeced me. There are some contracts available near my home paying around £240 and contract is for 4 months. I wouldn’t have to pay travelling and hotel charges. Should I go for that?

If I ask them after three months and they may not increase the rate as they will have their finding bonus by then and they may be happy for me to leave.

Kindly advise should I ask them now or wait for three months? How should I approach this issue. I know agency margin is 9% at £300 a day rate.

Any help will be much appreciated. Thanks

Once you've agreed a rate especially below your expectations, its unlikely you'll get your original higher rate.

The only way you'd stand a chance is if the client presents a more involved job description at interview. And even then, I'd say you've eff all chance.

At least they have said they'll look at paying 300 a day after 3 months so not too big a hit.

**Extrovert** · 5 December 2011, 20:34

I understand what everyone said. i just wanted to know what to do next. I'll definitely stick to this contract now.

I am just glad I didn't speak to the agent today as I had planned. Thanks to all who replied.

Please advise on how to negotiate the rate with agency.