Reply to: JP Morgan announces 10% rate cut

[ChimpMaster]

apparently a senior manager today has said 'we have treated contractors badly' and 'we made a mistake'

whether that turns into actions is another thing...

Probably Chinese whispers. You really think they care how they treat contractors? They don't even care about their own kind!

[jmo21]

apparently a senior manager today has said 'we have treated contractors badly' and 'we made a mistake'

whether that turns into actions is another thing...

interesting first post....

[BoredBloke]

Wouldn't say that was an average, but lots in that range... maybe it's the mode rather than the mean.

That's certainly a lot more than I get and after the rate cut, I'll be seeing £78 a day more working down here than I could reasonably expect to earn on a commutable job. Given the expnse of being away from home from Monday to Friday, the hassle of commuting (4am monday starts) etc, £78 does not pay its way. For that reason I'm on the lookout for something different. Unfortunately at this time of the year it's hard to find anything, but hopefully in the new year there might be a few openeings.

[northernspy]

apparently a senior manager today has said 'we have treated contractors badly' and 'we made a mistake'

whether that turns into actions is another thing...

[d000hg]

I would say that average City rate is in the region of £550 to £600, or so it appears from the guys I know there.

Wouldn't say that was an average, but lots in that range... maybe it's the mode rather than the mean.

[BolshieBastard]

Aye - Have one interview lined up for another bank next week, and my CV has passed agent stage onto clients at 3 others in the past 2 days. All at rates same or better than me pre-10% cut rate with current one.

That may be so but you'll only know if you achieve a rate better than your current one when \ if any of the 3 other clients actually make an offer if, you are successful.

[ChimpMaster]

I've been put forward for two roles (both IB) paying £100 more per day than my current rate.
I would say my current rate is just below 'average'; I really think it comes down to your skill set and the importance of project you are working on.

I would say that average City rate is in the region of £550 to £600, or so it appears from the guys I know there.

[darrenb]

Problem I have seen with current client co is that they don't seem to be using contractors sensibly, they seem to place them on important strategic projects, that allows them to build up so much local knowledge that when the contractors eventually moved on often because of their own policies (10% cut take it or leave, 2year rule, etc) It takes months for the gap to be truly filled.

I am now lead architect on a number of critical projects, and they are asking me to take the 10% cut, if I walk, life will go on, but its not exactly the road to a smooth project.

The smart thing for the banks to do would be to terminate the contractors who accept the cut and offer raises to the ones who say f'em. In fact, I wouldn't be surprised if this is the way it works out in the long run.

[northernladuk]

I was just told at my current role they are implementing a maximum rate for contractors.

So for me this means a slight cut when I renew.

Everyone is putting the squeeze on I think.

You don't say.

[prozak]

I was just told at my current role they are implementing a maximum rate for contractors.

So for me this means a slight cut when I renew.

Everyone is putting the squeeze on I think.

[portseven]

Not sure if that is true. There are few banks looking to recruit at the moment.

Aye - Have one interview lined up for another bank next week, and my CV has passed agent stage onto clients at 3 others in the past 2 days. All at rates same or better than me pre-10% cut rate with current one.

[Notascooby]

It will be interesting if people with genuine niche skills will start to factor a +11% on to their daily rate to hedge against a possible future 10% reduction.

For those of us that us that are one of the many SA / BA / PM etc we'll just need to smart as to where the top-end of the rate card for each bank is and ensure we dont accept less than (max rate card - 10%) which will ensure you fly under the hypen radar.

[Mister Clark]

I think it is fair to say that there are virtually no banks left that have not cut contractor rates recently. What effect this has had on rates out there for new roles I don't know. Some agents tell me all rates are down now, others say the 'old' rates are still achievable. Not sure who to believe...

I've been put forward for two roles (both IB) paying £100 more per day than my current rate.
I would say my current rate is just below 'average'; I really think it comes down to your skill set and the importance of project you are working on.

[NorthWestPerm2Contr]

I think it is fair to say that there are virtually no banks left that have not cut contractor rates recently. What effect this has had on rates out there for new roles I don't know. Some agents tell me all rates are down now, others say the 'old' rates are still achievable. Not sure who to believe...

I believe the general trend is down, but certain roles seem more in demand now than ever. If you work in Business Intelligence/Data Analysis/.NET Dev I can't imagine you will have too much trouble moving on to a better rate. If your niche is banking then you will find it tough.

[Lewis]

Jthey said that 'this is not an isolated incident' and all the other banks are doing it.

I think it is fair to say that there are virtually no banks left that have not cut contractor rates recently. What effect this has had on rates out there for new roles I don't know. Some agents tell me all rates are down now, others say the 'old' rates are still achievable. Not sure who to believe...