Whose loss it is?

[rd409]

I was approached by an agency for a contract with a new start up consultancy. The technology I am working is fairly new in the UK market, and hence the rates are quite good. After the initial telephonic interview and a face to face, and some hard negotiation from both the parties (Agency and me), the deal was not finalised. I was ready to take a 10% cut for a long term contract. But the agency was not ready to be flexible on their part of the cut. Then I was approached by another agency for another client and went on to accept another role.

Now after about 6 months, I am looking for a new role, and thought I should approach the client and inform them about my availability. Did it, and the end client insisted that I should come through the agency as they were the ones who initiated the contact some time ago. I told the end client, that last time the deal fell apart because of the rate, and I am not sure, if the agency is going to be flexible this time as well, but if you insist, we can inform the agency.

The client asked me to do the same, and so I informed the agency about my recent circumstances. The agent first of all accused me of under-cutting them, and I laughed at this. Now, during the discussion of the rate, the agent has started on substantially lower rate than earlier. I believe this is not going to go anywhere.

The end client is quite a good name to have on my CV, but I dont fancy taking more than 10% cut just for the sake of the name. I have now told the agent that I am not ready for negotiating the rate below my current rate. It is clear case of take it or leave it. The agent has told me that he will speak to the client about my rate, and come back. I am sure this is not going anywhere, and I am now ready to just forget about this role.
At the end of the day whose loss is it?

The agency lost easy revenue just for being thick. I lost a decent gig. The end client lost a good developer (as admitted by their PM last time during the i'view).

Who is the bigger loser?

</rant>

[northernladuk]

Have you got as much cash in your pocket and prospect of making more in the future? If you have then them. If you are out of pocket from all this then you.

But you shouldn't be fretting about it and banging on doors for your next contract anyway.

[pmeswani]

I was approached by an agency for a contract with a new start up consultancy. The technology I am working is fairly new in the UK market, and hence the rates are quite good. After the initial telephonic interview and a face to face, and some hard negotiation from both the parties (Agency and me), the deal was not finalised. I was ready to take a 10% cut for a long term contract. But the agency was not ready to be flexible on their part of the cut. Then I was approached by another agency for another client and went on to accept another role.

Now after about 6 months, I am looking for a new role, and thought I should approach the client and inform them about my availability. Did it, and the end client insisted that I should come through the agency as they were the ones who initiated the contact some time ago. I told the end client, that last time the deal fell apart because of the rate, and I am not sure, if the agency is going to be flexible this time as well, but if you insist, we can inform the agency.

The client asked me to do the same, and so I informed the agency about my recent circumstances. The agent first of all accused me of under-cutting them, and I laughed at this. Now, during the discussion of the rate, the agent has started on substantially lower rate than earlier. I believe this is not going to go anywhere.

The end client is quite a good name to have on my CV, but I dont fancy taking more than 10% cut just for the sake of the name. I have now told the agent that I am not ready for negotiating the rate below my current rate. It is clear case of take it or leave it. The agent has told me that he will speak to the client about my rate, and come back. I am sure this is not going anywhere, and I am now ready to just forget about this role.
At the end of the day whose loss is it?

The agency lost easy revenue just for being thick. I lost a decent gig. The end client lost a good developer (as admitted by their PM last time during the i'view).

Who is the bigger loser?

</rant>

Nobody really lost, as it was never really anyones to win. It was evident from the outset that the agent wasn't going to agree on the rate you wanted, so... until you accepted the rate, nobody lost out.

[rd409]

Have you got as much cash in your pocket and prospect of making more in the future? If you have then them. If you are out of pocket from all this then you.

But you shouldn't be fretting about it and banging on doors for your next contract anyway.

Well, I don't have loads of cash in my pocket, but because the technology I am working is quite new, am sure to hopefully get something lined up pretty easily. Hopefully the end client realises that getting the agency in the equation only costs them substantial amount of money. I am going to offer them to introduce to another agency who can work out the deal for as much as 5%, but let's see how things go.

[SimonMac]

Well I see it as a cock up on your part, from what I read if you hadn't found out this other guy is on £300 a day you would have signed the contract at £280 and been content, you were fortunate that you found another contract so easily.

My advice for the future is don't worry about someone elses rate, I know there are people at my gig who are on more that me but I am on a fair whack that I am happy with, and its a lot more than I was one as a permie

[rd409]

Well I see it as a cock up on your part, from what I read if you hadn't found out this other guy is on £300 a day you would have signed the contract at £280 and been content, you were fortunate that you found another contract so easily.

My advice for the future is don't worry about someone elses rate, I know there are people at my gig who are on more that me but I am on a fair whack that I am happy with, and its a lot more than I was one as a permie

I am not worried about what the agent is earning. The issue was the rate was offered for £ x in the advert, which was 10% below my minimum. I was okay with that, as it meant an easy transition. This is the case right now, as I don't mind getting the contract at £x per day, as this would mean that I would be in the money for quite some time. The problem is the agent was initially asking me to accept £x - 50, but then increased it to £x - 35 last time. This time he says that the role would only be for £ x - 100.

The conversation during the interview revealed to me that the end client is happy with £x + Agent's commission, which was around 10%. Now the agent is just trying to add this £100 per day to his commission which is already a good 10%, which I am not ready to sacrifice as I have already taken 10% cut, and I am not ready to bend over just for the sake of getting this contract. I mentioned this whole situation to the end client while approaching this time, as I thought they may be able to put some pressure on the agent. But it seems that the agent thinks he can get away with this kind of attitude.

[malvolio]

I am not worried about what the agent is earning. The issue was the rate was offered for £ x in the advert, which was 10% below my minimum. I was okay with that, as it meant an easy transition. This is the case right now, as I don't mind getting the contract at £x per day, as this would mean that I would be in the money for quite some time. The problem is the agent was initially asking me to accept £x - 50, but then increased it to £x - 35 last time. This time he says that the role would only be for £ x - 100.

The conversation during the interview revealed to me that the end client is happy with £x + Agent's commission, which was around 10%. Now the agent is just trying to add this £100 per day to his commission which is already a good 10%, which I am not ready to sacrifice as I have already taken 10% cut, and I am not ready to bend over just for the sake of getting this contract. I mentioned this whole situation to the end client while approaching this time, as I thought they may be able to put some pressure on the agent. But it seems that the agent thinks he can get away with this kind of attitude.

Talk to the client again. Be very clear; "If you want my services, I want £xxx a day. Can you agree that with the agency please."

What rate you get is the important bit. Let the agency fight their own battles. If they prevent you going in at a rate agreeable to the client by buggering around with their margin, then they can't impose a handcuff since they have no business to lose, and you can go with an agent that actually wants to do business.

You're the one with the product to sell here, nobody else.

[d000hg]

Talk to the client again. Be very clear; "If you want my services, I want £xxx a day. Can you agree that with the agency please."

WHS. Go back to the client and tell them the agency is playing silly buggers.

[BolshieBastard]

Agents really piss me off. As they didnt get you this role, I dont see why they think they should be able to negotiate down the rate you have agreed with the client. A 6 month handcuff is long enough and to be frank, I think they'd have a hard job arguing it in court.

This should be something the lardarses at PCG should be taking to court instead of swaning about thinking they are the contractors best buddy!

[malvolio]

This should be something the lardarses at PCG should be taking to court instead of swaning about thinking they are the contractors best buddy!

Bit tricky to change contract law though, isn't it? And how do you propose they fight a court case that hasn't happened?

The problem is the OP's to resolve, as I said earler. The handcuff can't be applied if there's no reasonable expectation of income, which is the position the agency have put themselves in.