Agency (but not customer) contract renewal

[LondonManc]

Sounds like you could be being stiffed over for rate and they want to keep you stiffed over. If there's any way that you can find out how much the agency is charging for you (assuming you're not happy with rate), it may explain why they want to extend you.

[northernladuk]

Thanks for the response. The agency is telling me the partner wants to extend for this client/project, which directly conflicts with what the partner are saying (this has happened to a few of us and the partner confirmed this is not them by email). I do get the part about the rate but given that the extension clearly doesn't apply to this project, I suspect the agency are locking me in to the rate for the future. I am going to decline and tell them I will review in March if the offer is still open. I guess I'll be more clear about the next project. It feels a bit ir35 unfriendly as well. Thanks again.

Seems a very sensible approach this. I wouldn't be worried about the IR35 aspect TBH. Can't see anything there that's going to be a flag. Agency incompetence isn't a flag and it's more about working practices so just make sure they are OK. Looks fine on the face of it.

[LHM]

Thanks for the response. The agency is telling me the partner wants to extend for this client/project, which directly conflicts with what the partner are saying (this has happened to a few of us and the partner confirmed this is not them by email). I do get the part about the rate but given that the extension clearly doesn't apply to this project, I suspect the agency are locking me in to the rate for the future. I am going to decline and tell them I will review in March if the offer is still open. I guess I'll be more clear about the next project. It feels a bit ir35 unfriendly as well. Thanks again.

[ladymuck]

You're under no obligation to accept the extension and if neither you nor the end client have any intention of extending, then decline it.

TBH offering an extension now, when your contract isn't due to end until March is odd. Absolutely no reason for it at all.

The overarching contract between the agency and the client may just be that they've said they will procure freelance staff from that agency for a set period. Which is not the same as needing freelance staff for that period.

I would ask the agency what project/client they are expecting you to work with, as your current project is on track to finish in March.

The client can fix the rate. They will have a budget and say they won't pay any more than £x p/day. This means that any rate increase will come out of the agency's margin (and so is unlikely to happen). There can be wiggle room if you can prove that the agency are taking a bigger margin than they told the client they would.

[LHM]

Hi all
I'm currently on a long term contract with a huge partner for a year, which is due to end March 2017. I've had contact from the agency this week to ask me to extend my contract from April to June. I'm not thinking this far ahead to be honest, and I was sure the project I am on is due to finish in March. I double checked this with the partner who confirmed they have no plans to extend the project beyond March as it is all on track - also, they have not contacted the agency to extend. The partner also alluded me to the fact that, the contract term/dates between me and the agency could be different between them and the agency - for example, there could be the case where their contract with the agency expires at the end of the year. Has anyone else had any similar experiences? I'm trying to understand what is behind all this, ie could it be that the agency are trying to tie me into a longer term engagement with them (regardless of the customer/partner?). They also said there was no chance of a rate increase because the customer has fixed the rate (??) It all feels a bit underhanded?

Would appreciate any thoughts/advice.
Thanks