Best way to negotiate rate increase

[singen smythe]

Hi there,
I'm four months into my first six month contract and I've been asked by the line manager if I'd consider doing another six months on another project which they are looking to get into next years budget.

I'm actually a month or so ahead of shedule and I'd happily do another six months as the place is pretty easy going and the work not particularly difficult but they're happy so it's all good.

Now the only issue is my rate, the guy I replaced (who was hopeless) I found out was earning £100 or so a day more than me so I'd like to have a rate rise with the new project. I'd like to do this next project as I'm led to believe that it would look good on the CV that I got extended so I don't want to push too hard. However on the other hand I am probably working at below market rate.

So the question is, how should I go about this? Just wait for the extention and then demand the extra from the agent? Is it expected that there will be a rate increase if there is an extention?

Any thoughts would be appreciated.
Thanks in advance.

[northernladuk]

Is it expected that there will be a rate increase if there is an extention?

Absolutely not. Why would you think this?

The agent has made his money from you. Anything past the first piece of work is easy money for him. You have to squeeze his margin as he is doing no work for his cash. 100 quid a day is a bit steep unless he really has had you over a barrel. Pick a number you want, stick it to him and be prepared to walk if he doesn't take it. Important note... be prepared to walk!. Agents do this for a living and will smell a poor bluff a mile off. Tell him you want x or your gone. Don't ask him if you can have one. He makes his living off the commission so isn't going to give you his money easily.

Understand how the agent works, commission, how much work he has to do at the outset and on going, work out what you want and then stick it to him between the eyes.

P.s This gets asked a lot. Load of threads here about it....
https://www.google.co.uk/search?q=ra...m=122&ie=UTF-8

[stek]

Now the only issue is my rate, the guy I replaced (who was hopeless) I found out was earning £100 or so a day more than me so I'd like to have a rate rise with the new project.

You're not gonna be able to blag a 100% rate increase - no way!

[singen smythe]

Absolutely not. Why would you think this?

The agent has made his money from you. Anything past the first piece of work is easy money for him. You have to squeeze his margin as he is doing no work for his cash. 100 quid a day is a bit steep unless he really has had you over a barrel. Pick a number you want, stick it to him and be prepared to walk if he doesn't take it. Important note... be prepared to walk!. Agents do this for a living and will smell a poor bluff a mile off. Tell him you want x or your gone. Don't ask him if you can have one. He makes his living off the commission so isn't going to give you his money easily.

Understand how the agent works, commission, how much work he has to do at the outset and on going, work out what you want and then stick it to him between the eyes.

P.s This gets asked a lot. Load of threads here about it....
https://www.google.co.uk/search?q=ra...m=122&ie=UTF-8

Thanks.

Sorry I did n't mean that an rate increase would be automatic, I meant does the client and agent expect you to ask for one when it comes to an extention time?

I actually went in asking for below market as I had lived abroad for a long time working for a no name company so my CV looked a bit suspect and was I finding it difficult to be taken seriously.

The guy earning £100 more was from another agency. I also know that the client only works on a fix percentage commission basis and that they'd been trying to place someone there for years before I turned up so I guess there is some leverage there.

As for walking, obviously that is a possibility, I'm just wondering if it would be better to stick around an extra six months for the sake of the CV as the work is n't that taxing and the people are nice enough so it would n't be too painful.

[singen smythe]

You're not gonna be able to blag a 100% rate increase - no way!

Of course not, the rate increase I am look at would be around 17%.

[SpontaneousOrder]

Of course not, the rate increase I am look at would be around 17%.

ClientCo in the comedy industry?

[SueEllen]

Of course not, the rate increase I am look at would be around 17%.

You can ask but expect them to say "No" or give you less than half of it.

[CheeseSlice]

Agents do this for a living and will smell a poor bluff a mile off. Tell him you want x or your gone. Don't ask him if you can have one. He makes his living off the commission so isn't going to give you his money easily.

Understand how the agent works, commission, how much work he has to do at the outset and on going, work out what you want and then stick it to him between the eyes.

WHS

The agent may even consider your request and then state that he will have to ask the clientco for the increase (no mention of his commission). I had this some time ago, client said no, then I played hardball and eventually got the agent to reduce his commission but only by peanuts. It wasn't worth the hassle in the end, I got more money by not renewing and finding a new role.

[Sausage Surprise]

Have tried this twice in my contracting career. Found out on both occasions that I was being raped by the agent so asked for a modest £25 a day increase (agent was taking £150 in one case and £115 in the other).

Both refused. One said client wouldn't up the rate (but that wasn't where I was expecting the rate increase to come from). The other said that's the going rate for the role I was doing (it wasn't).

They called my bluff, so in both instances I walked (having already negotiated a new role).

[kal]

Have tried this twice in my contracting career. Found out on both occasions that I was being raped by the agent so asked for a modest £25 a day increase (agent was taking £150 in one case and £115 in the other).

Both refused. One said client wouldn't up the rate (but that wasn't where I was expecting the rate increase to come from). The other said that's the going rate for the role I was doing (it wasn't).

They called my bluff, so in both instances I walked (having already negotiated a new role).

That's what you've got to be prepared to do.