Reply to: Options For Contractors

[edison]

Completely agree, especially with skills. The more niche your skill, the more likely your existing client will agree to your contract being outside. For new gigs, its more likely that the agents will be contacting you, but you may need to travel.

I have recently turned down SC public sector gigs that were advertised without a status, but were obviously inside because of the inflated day rate.

In a way, this is going to determine those who don't need to be contracting, but do so for <insert-reason-here>, because there's sufficient demand in the perm market to fill the role, or people snap up the gig on an inside basis through a brollie.

Those who are niche enough to be considered too important to lose are going to gain from this, because clients will have to increase rates even more to keep them, but assured an outside status.

What I am interested in is how clients will seek contractors in the future, as I cannot see agents surviving. Will we see more direct adverts on Jobserve from companies seeking contractors?

I've made this point many times about there being lots of market segments. If you've got skills in cyber security, AI, big data analytics etc then you are very likely to find it easier to get a role than if you are a fairly bog standard BA/PM/whatever. At my last client (a big FTSE100 company) it was hard to attract and retain certain security roles. The market worth of these people is rising much faster than most other market segments.

I think it's very unlikely that organisations will want to contract directly with contractors. Maintaining an arms length relationship is one of the main reasons they use an agency in the first place. There will be some exceptions but not many. I can't see a big bank contracting directly with hundreds or thousands of individuals.

[Jolie]

I really wish people would stop saying things like this. There is no single market <insert Brexit analogy here> - there are multiple markets covering multiple skills across multiple regions. Whilst the market may have tanked for a Tester in Taunton, it might be buoyant for a BA in Brechin.

Completely agree, especially with skills. The more niche your skill, the more likely your existing client will agree to your contract being outside. For new gigs, its more likely that the agents will be contacting you, but you may need to travel.

I have recently turned down SC public sector gigs that were advertised without a status, but were obviously inside because of the inflated day rate.

In a way, this is going to determine those who don't need to be contracting, but do so for <insert-reason-here>, because there's sufficient demand in the perm market to fill the role, or people snap up the gig on an inside basis through a brollie.

Those who are niche enough to be considered too important to lose are going to gain from this, because clients will have to increase rates even more to keep them, but assured an outside status.

What I am interested in is how clients will seek contractors in the future, as I cannot see agents surviving. Will we see more direct adverts on Jobserve from companies seeking contractors?

[edison]

yep..This.

If anything clients are wiser about IR35 than they were a year or two ago. And that means they aren't interested in the slightest about contractors' tax issues. I've never seen a role advertised outside IR35 except for public sector anyway so I'm not sure I understand the surprise.

I've been seeing a small number of private sector gigs listed as inside over the last two weeks.

[Lance]

Clients do not engage contractors on a mutually beneficial arrangement, but on what works for them. Unless there is a reason why they need to make an early determination, they won't. Many will realise sometime Feb/Mar next year that they have to make a determination and will say their contractors are inside.

Its up to individual contractors to assess their position and ensure they mitigate their own risk.

yep..This.

If anything clients are wiser about IR35 than they were a year or two ago. And that means they aren't interested in the slightest about contractors' tax issues. I've never seen a role advertised outside IR35 except for public sector anyway so I'm not sure I understand the surprise.

[sira]

I'm focusing on Permanent jobs. Ir35 has hit the market and sure it'll recover a bit, but in the back drop of brexit and a possible recession soon, I can't see clients paying the old day rates for gigs for a long, long time. I'm hedging a bet that the future will be mostly FTC's. Will try and go permie for 2-3 years and take it from there.

[Paralytic]

So that they can start as they intend to finish.. Im talking about the ones offering 3 months with likely renewal, or just 6 or 12 month contracts. Whilst they're not responsible for deciding yet they should be organising themselves as if they are, because they soon will be. Also if all parties entered a contract with clear intentions and common understanding, there will be no reason for either side to terminate prematurely.

Clients do not engage contractors on a mutually beneficial arrangement, but on what works for them. Unless there is a reason why they need to make an early determination, they won't. Many will realise sometime Feb/Mar next year that they have to make a determination and will say their contractors are inside.

Its up to individual contractors to assess their position and ensure they mitigate their own risk.

[Paralytic]

The market is dismal for sure. I am in the position where the client I am at is not bothering to make a decision and is forcing everyone to go paye or leave. My gig finishes at the end of the year so have had an eye on the market now and there is little to nothing around, and for what there is the rates have tanked as they are taking advantage of an oversaturation of contractors in the market right now.

Bad times to be a contractor, I just hope it recovers.

I really wish people would stop saying things like this. There is no single market <insert Brexit analogy here> - there are multiple markets covering multiple skills across multiple regions. Whilst the market may have tanked for a Tester in Taunton, it might be buoyant for a BA in Brechin.

[CheeseSlice]

That’s because only the public sector clients are responsible for making that decision.
Why would a private sector client offer a determination that they’re not responsible for now, but could well be in 6 months time?

So that they can start as they intend to finish.. Im talking about the ones offering 3 months with likely renewal, or just 6 or 12 month contracts. Whilst they're not responsible for deciding yet they should be organising themselves as if they are, because they soon will be. Also if all parties entered a contract with clear intentions and common understanding, there will be no reason for either side to terminate prematurely.

[Lance]

The only roles I see that are specifically 'Outside' are in the public sector.

That’s because only the public sector clients are responsible for making that decision.
Why would a private sector client offer a determination that they’re not responsible for now, but could well be in 6 months time?

[Nut]

The market is dismal for sure. I am in the position where the client I am at is not bothering to make a decision and is forcing everyone to go paye or leave. My gig finishes at the end of the year so have had an eye on the market now and there is little to nothing around, and for what there is the rates have tanked as they are taking advantage of an oversaturation of contractors in the market right now.

Bad times to be a contractor, I just hope it recovers.

[Wobblyheed]

In the public sector, at first, roles went from outside to inside with no rate adjustment but after seeing they were not attracting any contractors and actually contractors were leaving, they eventually started to put the rate up for contracts inside.

Maybe the same is going to happen in the private sector too, or at least we can just hope so.

The DWP have recently declared some contractors I worked with recently as "inside" after being "outside" for 18 months. They have all been contracted through a "consultancy" now to keep them outside of IR35

[perplexed]

And 1/2 the money


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I pointed out I can live comfortably through an umbrella, so taken that into account.

Of course continuing as now would be much preferable but not going to unduly worry. Life's too short.

[GhostofTarbera]

i'm tending to be more pragmatic. Can I survive with working through an umbrella for rest of career, if needed? Sure. If that's a stress free solution, then...

And 1/2 the money


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[perplexed]

I have moved from the hysterics to the adapt and overcome thinking as well. As others are losing their heads hopefully this will open doors to the more calmly headed.

My gig is up on 20th December which is almost perfect timing I feel. If I have to take a IR35 caught role until April and ride out the storm then so be it - no big deal.

Or if I can get a role outside with a determination then great.

Last resort I am off snowboarding while UKPLC sorts itself out

i'm tending to be more pragmatic. Can I survive with working through an umbrella for rest of career, if needed? Sure. If that's a stress free solution, then...

[dx4100]

Let's see. I agree the need will still be there, but the budgets will not be increased so someone has to take the hit.

I think you will see a half way house develop...