Contractor job offer with a view to becoming permanent.

[VcS]

Currently have a permanent job but have been offered a contracting position to tide me over until the U.S. company can set up in the U.K. with a view to a permanent contract asap. It's a company I want to work for but the lack of security is a risk as is the lack of contract for the future 'promised' permanent job. To complicate further they are potentially being bought out by a U.K. company and they would be my permanent employer if this happened.
Is anyone aware of a method of tying down two contracts in one to give some sort of security, or any other suggestions.

Thanks in advance.

[northernladuk]

Currently have a permanent job but have been offered a contracting position to tide me over until the U.S. company can set up in the U.K. with a view to a permanent contract asap. It's a company I want to work for but the lack of security is a risk as is the lack of contract for the future 'promised' permanent job. To complicate further they are potentially being bought out by a U.K. company and they would be my permanent employer if this happened.
Is anyone aware of a method of tying down two contracts in one to give some sort of security, or any other suggestions.

Thanks in advance.

There isn't one. What ever contracts you have in place if it goes belly up it goes belly up. Contracts will have notice periods. They can invoke these for whatever reason they want.

There is no way to gaurantee yourself work. If it isn't there it isn't there. The fact they are offering you a contract rather than permanent sounds like they want to keep the flexibility incase it does go wrong. If you are contract they just finish you there and then, if it is permanent they have to go through due process.

This whole thing sounds like a gamble and there is squat you can do contract wise to tie it down IMO.

If you want a contract job that gaurantees security they you have fallen foul of MoO and will be inside IR35 so won't be great for you financially either.

My client has done just this trying to get a foothold in the US with 5 contract to perm staff over there. Lasted a year and before they went perm their contracts were pulled.

[Wanderer]

Is anyone aware of a method of tying down two contracts in one to give some sort of security, or any other suggestions.

I don't mean to sound impolite, but job security is not a feature of the contracting business. If you take a contract then don't be under any illusions that it will actually turn into a permanent job or confer on you any of the benefits of being a permanent employee. We aim to be a highly skilled, flexible workforce without any ongoing commitment. If a permie job does come up at the end of the contract term and that is what you are after then that's great news for you. On the other hand, the client may not want to make the commitment to taking on permie staff incase the merger/takeover/whatever deal falls apart which is why they will take contractors rather than permies from the start.

Bottom line is that you will be taking a risk. Make sure you are adequately compensated for that risk - don't go taking a pro-rated permie salary as a contracting daily rate. They should be paying you a big premium for your flexibility and lack of job security.

Good luck!

[captainham]

Bottom line is that you will be taking a risk. Make sure you are adequately compensated for that risk - don't go taking a pro-rated permie salary as a contracting daily rate. They should be paying you a big premium for your flexibility and lack of job security.

Good luck!

This.

Ideally you want permie salary equivalent x2 as a contract rate, to cover you for risk/insecurity, lack of permie benefits etc. If they only happen to offer permie equivalent then it really needs to be a job you want/company you want to work for/risk you want to take, otherwise the sensible thing to do is to walk away.

[northernladuk]

I don't mean to sound impolite, but job security is not a feature of the contracting business. If you take a contract then don't be under any illusions that it will actually turn into a permanent job or confer on you any of the benefits of being a permanent employee. We aim to be a highly skilled, flexible workforce without any ongoing commitment. If a permie job does come up at the end of the contract term and that is what you are after then that's great news for you. On the other hand, the client may not want to make the commitment to taking on permie staff incase the merger/takeover/whatever deal falls apart which is why they will take contractors rather than permies from the start.

Bottom line is that you will be taking a risk. Make sure you are adequately compensated for that risk - don't go taking a pro-rated permie salary as a contracting daily rate. They should be paying you a big premium for your flexibility and lack of job security.

Good luck!

Interesting phrase this and I used to say this at one point until someone pointed out that I am more secure in my contracting career than I was permie. Yes individual contracts come and go but on the whole I haven't been out of work long and made a lot more money than in a permie role. I also had to reapply for my job a number of times and been made redundant twice in 15 years. Spent more time worrying about my job as permie than I ever had as a contractor.

I do see what you are saying about individual role security but just thought I would mention it.

[doomage]

Interesting phrase this and I used to say this at one point until someone pointed out that I am more secure in my contracting career than I was permie. Yes individual contracts come and go but on the whole I haven't been out of work long and made a lot more money than in a permie role. I also had to reapply for my job a number of times and been made redundant twice in 15 years. Spent more time worrying about my job as permie than I ever had as a contractor.

I do see what you are saying about individual role security but just thought I would mention it.

This is essentially the security that comes with not putting all your eggs in one basket. But don't let the permies know this

[VcS]

Thanks for your replies. It is unfortunately as I thought and no way to have any security around this. Will just have to evaluate the risk. The job offer was originally going to be permanent until the US company worked out they couldn't employ me without a UK division (first UK employee). Looks like it may be a no go but thanks for the advice.

[NickNick]

Interesting phrase this and I used to say this at one point until someone pointed out that I am more secure in my contracting career than I was permie.

Similar for me. My employment history now shows that I've been employed by one company for the last 10 years or so. My longest stint at a single employer.