Crikey! Outsourcing

[Ivor Bigun]

There's still a lot of the old hands here. Hello all.
Thought I'd take a look and post a question. I know it should be in the other forum but what the heck!
The IT Department I'm working in is getting outsourced - All permies and contractors have to go with the preferred agent (yikes!)
Got a copy of their "example" contract and boy is it a stiff one (Fnarr!).
First question - Can I be forced to Opt out?

[The Lone Gunman]

No. Next.

[Ivor1]

I am the only Ivor

[Ivor Bigun]

Is it better to be in an umbrella?

heh he - Ivor1, you're not alone.......

OK next question.
Assume contract is fully IR35, all funds taken out at year end.
This contract says I need indemnity insurance. Dd I have to get it?

[malvolio]

Which bit of Contract Law do you not understand? If you agreed the contract, then yes you do. If you don't like it, get it changed.

And never assume "Inside IR35", that is just plain stupid these days.

Anyway, you're a contractor. How can you be outsourced?

[Ivor Bigun]

The way things go

The whole department is being outsourced - lock stock and barrel.
The retained IT team is just a few people.
Every one else (and I mean EVERYBODY) is going to the outsourcing company. The company is even outsourcing the "Design Authority".
All contractors are being "novated" to the preferred agency.
A bit like TUPE - except its for contractors.
The trouble is, the "example" contract is quite stiff.
I'm trying to find the extent of my options.

[malvolio]

I'm trying to find the extent of my options.

Leave, if you don't like it. Novation will only be permissable if both parties agree to it. If your contract is unaccepetable, either in its commercial terms or in the work it requires you to do, or is significantly different in any way, you do not have to accept it. Then, if they want you, you can negotiate or you can walk away.

Mind you, it sounds like commercial suicide by the original company. Have they really thought this through, do you suppose?

[Ivor Bigun]

Done Deal

Yep - the actions and predicted results are pretty structured out....and for some time to come.
If anything, it could increase job opportunities for existing permies and contractors - not diminish them. Looks like I'll have to get the "new" contract looked over to align it to the existing one. Its the law! (no kidding)

[threaded]

If anything, it could increase job opportunities for existing permies and contractors - not diminish them.

ROFLMFAO!

[lukemg]

ROFLMFAO!

Double that - been through this twice. Outsourcing company is under the spotlight at first, last thing they want is any disruption in the service. They therefore keep everyone as sweet as possible with tales of more opportunities, better to work for technology company, chance to move to other sites blah blah. The only way they make money is to cut costs, all the costs are staff.
You are toast, you just don't know it yet. Contractors are the first out, usually back-filled by younger, less experienced or foreign staff. You might squeeze a bit more time out of this, depending on how key you are (trust me you are replaceable). Be wary, consider looking for other work and jump if you get a comparative offer.