Reply to: Contract up for renewal... agent response

[Scotchpie]

Well I work for public sector clients and in my last post that lasted 14 months I, or rather my agent, negotiated two rate rises. Granted each time I was asked to take on more responsibility and that was used as the reason, but not that much responsibility that a new contract/job spec was necessary.

I suppose it all comes down to your agency and their own internal policies.

[speedo]

thanks for the input ... i will be calling the agent later this afternoon, appararently they had the morning off!!!

Had the agent just said that they talked to HR and there was going to be no movement on the rate, i would have accepted that, however it feels as though they are taking the p155!

[RichardCranium]

The client has agreed the rate increase, however the agent is refusing to talk to HR. I know for a fact the client want me to extend and are prepared to pay the 7% increase i am requesting.

This is the agents response:
"Unfortunatley we are unable to proceed with a rate increase, a rate increase after a contract of 6 months is not usual practice in normal environment. XXXXXX are not able to give an increase out of margin, except on exceptional circumstances."

Speak to the agent on the 'phone. If they still say "No" you can be absolutely sure they are going to take the 7% and keep it themselves.

Tell the agent you will be contacting his director to say "your staff member (the agent) is unwilling to increase your agency's margin despite me having convinced the client to pay more and could the director please appoint a different member of the agency workforce to be your representative". (If they are on a fixed %age then their payment will also go up by 7%.) He will then cack himself and cave in.

[TheFaQQer]

Some places will negotiate depending on how you fit with their company and what the market is for example (not an exhaustive list!).

Some agents wont entertain re negotiating because they dont want to upset the client. some agents will attempt to re negotiate.

Dont forget we are in business. How many of you engage a build for a job then after 2 weeks, he decides he wants more money for no added value?

The key thing, though, is that the client appears to be willing to discuss increasing the rate, but the agent is refusing to have those discussions with the client (I can't understand why, to be honest).

It may be that the client is the one that isn't being completely honest (shock!) and is telling the OP that they are open to discussions but refusing to talk to the agent.

Speak to the client again, then speak to the agent again - if the agent sticks to it then there isn't too much that you can do. If that's the case, just make sure that the client is aware that you aren't getting any increase.

[BolshieBastard]

A number of end clients will not re negotiate rates within a 12 month period so clearly, those saying it doesnt happen are talking bollocks.

Some places will negotiate depending on how you fit with their company and what the market is for example (not an exhaustive list!).

Some agents wont entertain re negotiating because they dont want to upset the client. some agents will attempt to re negotiate.

Dont forget we are in business. How many of you engage a build for a job then after 2 weeks, he decides he wants more money for no added value?

[speedo]

i have just read my contract - and i am not allowed to work for the same client for a period of 6 months after i have left.... i was looking to ditch them and use another preferred supplier!madmad

[TheFaQQer]

maybe talking to the agent rather than dealing by email would be quicker.

It's easy to fob you off with stock responses by email, but a bit harder when you answer the above statement with "they've already agreed to it".

WHS - get on the phone and tell the agent that the client are open to discussions, he just needs to talk to them about it.

If the agency refuses, then I would take legal advice about ditching them, to be honest.

[Flubster]

I did a gig a couple of years ago on a lowish rate. I accepted it on the basis I didn't have a particular area of experience (but would expect to get up to speed very quickly). Agent advised me that if I was offered an extension (deemed likely at the time), I should warrant a rate increase as I would've proved my worth to the client.

Six months down the line, delivered everything required (and more). Was deemed first point of contact on issues relating to the area I had no experience of when I joined. Invited into a meeting to discuss a potential extension at which point I advised I would be asking for a rate increase via the agent. End client advised they don't revise rates until contractors have been on site for 12 months! Agent wouldn't cut into margin to meet my rate increase expectations, so I ended up declining the extension offer (actually, I got a much better rate at a much better gig, closer to home, looked better on CV, etc).

I happen to know they continue to have problems keeping contractors on site for more than 3-6 months purely for this reason.

[SameOldStory]

This is the agents response:
"Unfortunatley we are unable to proceed with a rate increase, a rate increase after a contract of 6 months is not usual practice in normal environment. XXXXXX are not able to give an increase out of margin, except on exceptional circumstances."

I will be calling them about the exceptional circumstances shortly!

maybe talking to the agent rather than dealing by email would be quicker.

It's easy to fob you off with stock responses by email, but a bit harder when you answer the above statement with "they've already agreed to it".

[speedo]

Usual agent tulip, probably more concerned about shaving their margin a little thinner

This is the agents response:
"Unfortunatley we are unable to proceed with a rate increase, a rate increase after a contract of 6 months is not usual practice in normal environment. XXXXXX are not able to give an increase out of margin, except on exceptional circumstances."

I will be calling them about the exceptional circumstances shortly!

[stingman123]

Usual agent tulip, probably more concerned about shaving their margin a little thinner

[speedo]

Have you over-delivered or over-performed? Done more than the job spec said? Taken on more responsibility?

Yes, Yes and Yes!!! The client has agreed the rate increase, however the agent is refusing to talk to HR - the client cannot do anything unles they initiate the matter... i am going to call the agent today and market my skills - i know for a fact the client want me to extend and are prepared to pay the 7% increase i am requesting.

This is not my first contract!

[RichardCranium]

actually.... has anyone ever had an agent say that they cannot negotiate the rate until you have been with the client for 12 months?

My contract expires next week and i have asked for a raise but the agent are refusing to speak to HR.... i am in the public sector - is this the norm?

They're fobbing you off; there are no such 'rules'. A rate negotiation can be done at any time. Once upon a time, an increase at first renewal used to be normal.

I wouldn't be surprised if the rate is going up at the extension anyway, you're just not getting any of it.

What the agent needs is your help: why do you and the agent deserve a higher rate from the client? Have you over-delivered or over-performed? Done more than the job spec said? Taken on more responsibility? If so, package that up in an email such that the agent can use it as an argument for you. If you can't, then why should you get an increase?

UNLESS: this is your first contract. In which case you are probably on a crap rate with the agent getting a huge margin and deserve a huge increase for renewing.

[speedo]

actually.... has anyone ever had an agent say that they cannot negotiate the rate until you have been with the client for 12 months?

My contract expires next week and i have asked for a raise but the agent are refusing to speak to HR.... i am in the public sector - is this the norm?

[Advocate]

Replied in error!