Negotiating a rise - advice needed

[psychocandy]

Well, to be honest, its not really a rise in real terms....

Client is a european company, and despite, agency being in the UK, I get paid in euros. I guess agency could pay me in sterling but I guess client insists on paying them in euros so they just pass it on to the poor contractors.

When I took the contract (almost a year ago, three extensions ago), it didnt seem much of an issue it being in euros (apart from a bit of hassle). I did manage to squeeze the agency for a bit 6 months ago but, obviously, the euro is bad news at the moment.

Rate was never the best but the decline of the euro has left me about £30 a day worse off. I'd imagine client wouldn't be too keen because they'd see it as an increase in rate (debatable because at the moment they're paying less in sterling) but all I want is the same in sterling as when I started.

Any suggestions? I guess bottom line is having the Kahunas big enough to walk away if needs be. How to approach with the agency?

Thing is I'm VERY busy at the moment, and I know no-ones irreplaceable but its a niche skill and client would be screwed I think. At the moment, they get loads of extras off me as well (taking the piss sometimes as well).

I want to stay. Its 20 mins from home and it looks like its a long termer but not so keen if my rate is going to erode much further.

[BrilloPad]

Personsally I have found the best way is to get another gig (especially at renewal time). THen if they decide not to renew its not an issue for you.

THough the fx market is not their problem, and you signed the contract in Euros, its always good to squeeze all you can from the client.

[nomadd]

Any suggestions?

Use Search. Been discussed 1,453,893 times. (Yes, I counted. )

Management summary of all those posts: Ask, but be prepared to walk; or stay, on your current rate.

[psychocandy]

Personsally I have found the best way is to get another gig (especially at renewal time). THen if they decide not to renew its not an issue for you.

THough the fx market is not their problem, and you signed the contract in Euros, its always good to squeeze all you can from the client.

Yeh, of course. With another gig lined up your position is much stronger.....

Of course, I did sign in euros but each renewal is another business negotiation to further provide services. I'd be interested to see how the UK client sees it though.

Looks like its all paid centrally from europe in euros, but, of course, in effect, the UK division are now getting charged a fair bit less in sterling by their parent company than they were before.....

[psychocandy]

Use Search. Been discussed 1,453,893 times. (Yes, I counted. )

Management summary of all those posts: Ask, but be prepared to walk; or stay, on your current rate.

Yeh, of course. Thats the problem that the agent knows. £s - £30 per day is still much more than £0 per day with no gig... :-(

But how far do you let this go?

[nomadd]

Yeh, of course. Thats the problem that the agent knows. £s - £30 per day is still much more than £0 per day with no gig... :-(

But how far do you let this go?

Depends on how secure you feel in quickly finding another contract? And what the current rate for your skills is versus what you are currently paid.

I'm never too desperate to stay in work these days, so quickly walk if I find the rate is dropping below 'market'.

Still, you can always ask. Worst they can say is no (or it's Euro equivalent. )

[JamJarST]

Yeh, of course. Thats the problem that the agent knows. £s - £30 per day is still much more than £0 per day with no gig... :-(

But how far do you let this go?

You take it as far as being prepared to walk!!! I have to say thought that you should have been well aware of the risks of accepting a contract paying in a foreign currency. It is not really the agents problem or the clients. If the Euro had got stronger would you be offering the agent a rate cut?

[BolshieBastard]

You take it as far as being prepared to walk!!! I have to say thought that you should have been well aware of the risks of accepting a contract paying in a foreign currency. It is not really the agents problem or the clients. If the Euro had got stronger would you be offering the agent a rate cut?

This.

[psychocandy]

Fair point about if the euro had got stronger. But at the end of the day, each renewal is a separate business transaction and chance for each side to negotiate isnt it?

Theres nothing to say client wouldnt have wanted to cut rate if this was the case. After all, there are plenty of examples of clients cutting rates mid-contract because it suits them.

[BrilloPad]

But at the end of the day, each renewal is a separate business transaction and chance for each side to negotiate isnt it?

Absolutely. And you should negotiate the max. Personally I would not bring the fx into it though - since it seems to me irrelevant and the client might see it as desperation and that you are in a weak position.