UK contracting as a career

**Spacecadet** · 27 January 2010, 23:49

http://forums.contractoruk.com/gener...tor-films.html

**PAH** · 27 January 2010, 23:55

Yeah when you look at it like that it sucks. But that's looking at it from a permie perspective where you expect to 'progress up the career ladder' and get paid better on each rung.

The way I look at it is that contracting is a way of being free. You don't have to think about brownosing bosses and competing with the plebs who fight for promotion. You don't have to worry about where you'll be in 5 years time at a company. Careers are a way of enslaving the workers into thinking they have a chance of reaching the top when only a few can.

With contracting you get a rate that is still (I hope) better than what you can get doing the same role as a permie (where's their wage inflation gone!?). You can choose to save some of that extra cash if you want to have the flexibility to take time out between contracts, or maybe are forced into it due to lack of opportunities.

I'm not sure there are many industries where people's earnings have improved dramatically over the last 10 years, it's all relative. We're in a trough now and it's not just our noses. The goal is to try to position yourself so you are in the right place skills wise to capitalise when the next upturn comes, then you'll see the rates increase again.

**Peoplesoft bloke** · 28 January 2010, 01:04

Originally posted by PAH View Post

I'm not sure there are many industries where people's earnings have improved dramatically over the last 10 years, it's all relative. We're in a trough now and it's not just our noses. The goal is to try to position yourself so you are in the right place skills wise to capitalise when the next upturn comes, then you'll see the rates increase again.

Every ****** industry - as long as you're one of the top brass (or a politician)

**Platypus** · 28 January 2010, 01:25

Originally posted by icarus View Post

I've been a UK contractor for 13 years now. My rate got slashed last year and I'm now making about the same in nominal terms as I did back in 2001 (back then it was a 7 hour day, now it's 8, but let's ignore that). In real terms that's a big wage cut, but I know that I'm a much better (and therefore more productive) developer than I was all those years ago.

In nominal terms, I made much more in 2001 than now (I've endured several rate cuts since then). Plus I get paid in foreign money. In real terms I'm about 40% down on where I was 9 years ago. I console myself with the fact that the work is easier and I work from home, so little 'cost of sale' these days.

Nevertheless, I don't see things improving in my niche plus I'm an old git now and can't keep up to date with stuff like I used to.

Ho hum

**Jedcom** · 28 January 2010, 02:01

Rate cuts = Pay increases for canny Agents.

My rates were as high as £650 per day in 2007. But I was in luxembourg paying half out on expenses. And I had taken out my contract in Euros just before the pound went ballistic. So when I returned to my beloved Derbyshire I expected a drop. Sure enough £200 a day, which was fine. Then a year of recession later and the begging bowl appears outside Hayreedsaxas. All the agencies say the recession has 'bit hard' rates down. However rates at rock bottom made me curious and I found out quickly that the rates are the same. Only the agency excuses have changed. Last contract my line manager said I should work late if I was on £200 a day - I told him straight I was on £135 a day. He realised e was paying £215 a day and that the agency was pocketing a huge chunk. My current contract did the same only they sent me both contracts. They were taking 55%. I am so annoyed I am hace started a free direct to market site. Email me for details if you do so wish.

**Tarquin Farquhar** · 28 January 2010, 07:26

Originally posted by icarus View Post

I've been a UK contractor for 13 years now. My rate got slashed last year and I'm now making about the same in nominal terms as I did back in 2001 (back then it was a 7 hour day, now it's 8, but let's ignore that). In real terms that's a big wage cut, but I know that I'm a much better (and therefore more productive) developer than I was all those years ago.

I love programming and I can't imagine doing anything else (_definitely_ not management), but if I keep going in this long term direction I'll fade away to nothing. I've been trying to figure out where I've gone wrong. Here are some ideas:

1. Maybe comparing with 2000 isn't fair because that was the height of the dotcom boom, and the market we have now is the "real" IT market.
2. Maybe outsourcing is pushing rates down, and maybe this will continue long term.
3. Maybe I backed the wrong horse (.NET).
4. Maybe by this stage in my career I should have graduated to being an architect (but who wants to draw UML diagrams all day?)
5. Maybe, unless you're in finance, the opportunities for advancement as a contract developer are just plain limited.

Does anyone have any thoughts on this?
Thanks in advance.

I think that your 5 points are all true.

Contracting is not just about the money, although it should be better than permie or you might want to rethink slightly.

It is about the freedom.

It is also about being paid well to be very good at what careerists see as the bottom of the ladder, but I suspect that effect is fading off now, and IT is becomong like any other trade: if you want more money you'll have to "rise", and to do that you'll have to do less and less of the technical stuff that brought out your ability and excited your interest in the first place.

That applies in most fields. For example, when I had an old classic car a while ago, I got it worked on by a friend who was the chief mechanic for a large and quite interesting fleet. He said he loved it because it was being a real car mechanic. "At work," he said, "I do everything on computers". It's the same for everybody: do what you're good at, or get promoted for more money and less ability and interets. Rare are the skills where you can consistently make good money without having to manage other people.

**cojak** · 28 January 2010, 07:55

Originally posted by icarus View Post

I've been a UK contractor for 13 years now. My rate got slashed last year and I'm now making about the same in nominal terms as I did back in 2001 (back then it was a 7 hour day, now it's 8, but let's ignore that). In real terms that's a big wage cut, but I know that I'm a much better (and therefore more productive) developer than I was all those years ago.

I love programming and I can't imagine doing anything else (_definitely_ not management), but if I keep going in this long term direction I'll fade away to nothing. I've been trying to figure out where I've gone wrong. Here are some ideas:

1. Maybe comparing with 2000 isn't fair because that was the height of the dotcom boom, and the market we have now is the "real" IT market.
2. Maybe outsourcing is pushing rates down, and maybe this will continue long term.
3. Maybe I backed the wrong horse (.NET).
4. Maybe by this stage in my career I should have graduated to being an architect (but who wants to draw UML diagrams all day?)
5. Maybe, unless you're in finance, the opportunities for advancement as a contract developer are just plain limited.

Does anyone have any thoughts on this?
Thanks in advance.

Milan has an excellent alternative point of view regarding .NET

Well worth a read...

**Tarquin Farquhar** · 28 January 2010, 08:06

Originally posted by cojak View Post

Milan has an excellent alternative point of view regarding .NET

Well worth a read...

Hmm. Hmmmm. Every time Milan talks about .NET, I get the strangest feeling that there is something going on under the surface, almost as if he's not really talking about .NET ............

But there is good sense in Milan's post (happens): becoming strongly technical in a vertical area of an integrated platform is a good way to stay ahead of the competition, who will mostly have horizontal skills, or at least be pigeon-holed that way.

I am not sure how it apples to .NET though ......

**DimPrawn** · 28 January 2010, 08:46

In 2000/2001 I was on £65 per hour.

Now I'm on £40 per hour.

Thank god inflation has been negative all these years.

UK contracting as a career