Reply to: How to legally get out of an agency contract

[MyUserName]

That was the original thinking. But that was a long time ago when I had just started!

Fair enough, we were all new once.

[tkmk]

Do you think that if the client is paying an amount to the agent and you are getting say 80% of it then you will get all of it if you talk the client out of using the agency mid term?

That was the original thinking. But that was a long time ago when I had just started!

[MyUserName]

Do you think that if the client is paying an amount to the agent and you are getting say 80% of it then you will get all of it if you talk the client out of using the agency mid term?

[TheFaQQer]

And thinking about it, bar all the messing about at the beginning we don't hear about agents change the goal posts mid contract... the vast majority of comments we get are contractors wanting to bail out with a smattering of clients walking them.

Agents, no; clients, yes. Wait for the next round of banking cuts...

[northernladuk]

So, do you think it's OK for clients and/or agents to renegotiate terms mid contract then?

And thinking about it, bar all the messing about at the beginning we don't hear about agents change the goal posts mid contract... the vast majority of comments we get are contractors wanting to bail out with a smattering of clients walking them.

[Andy Hallett]

So, do you think it's OK for clients and/or agents to renegotiate terms mid contract then?

No, I don't.

[northernladuk]

So, do you think it's OK for clients and/or agents to renegotiate terms mid contract then?

Oh but boy do we moan about it when they do though... so it cuts both ways.

[Wanderer]

I have no problem with contractors doing their bargaining up front. Completely unprofessional to do it mid-contract.

So, do you think it's OK for clients and/or agents to renegotiate terms mid contract then?

[northernladuk]

[Andy Hallett]

It's a great attitude for contractors to have. Agree a commercial agreement and then spen time when you are supposed to be supplying the client professional services trying to cut side deals with them.

I'd imagine you are the sort of person who went into Jessops, had someone spend an hour show you all the cameras only to walk out of the shop and order it on Amazon for £10 cheaper. You probably even bemoan the death of the high street.

I have no problem with contractors doing their bargaining up front. Completely unprofessional to do it mid-contract.

[Groovy]

As an agent <cue boo, hiss, etc> I of course would not be at all happy if a contractor decided to try and drop us like a stone and go direct to the client.

I would, as always, direct you to your contract to see which terms you have signed up to with regards to "no return clauses" etc.

Also, be aware that using an agency is a commerical decision on behalf of many companies who do not want to take on the risk of dealing with staff / contractors directly hence them being happy to take on the extra cost involved of dealing with an agency.

the point about payment terms is also a good one, as an agency, we will have solid terms and conditions in place with our major clients to ensure prompt payment and also generally larger organisations have the cash flow to be able to take longer payment terms on the chin.

I agree with all others stating that it would de you no extra good to try and circumvent the existing arrangements for a few extra quid that could end up alienating you from your agency and quite possibly the client as well, who, if faced with a claim backed up by a contract from the agency may well roll over, leaving you very exposed.

Of course you wouldn't be happy. But maybe it's time for you to give a better contribution to this world than just pimping people around? Times are changing, margins are being squeezed and employers forgo quality price getting cheap Indians to screw up their systems (in many cases).

[BolshieBastard]

Hi guys,

I'm fairly new to the world of contracting and I'm now into my second 6 month IT contract and I'm extremely happy that I took the jump.

I've realised from talking to other contractors at the firm that many of them are contracted directly with the client and as such are better off then I am, as they don't have an agency taking a cut.

From anybody's experience is there a way for me to legally contract directly with the client and leave the agency?

Any pointers/advice would be much appreciated!

Thanks

Yes, start acting professionally! I truely despise these types of posts. 'Oh Im new and I've found experienced contractors are getting more than me, what can I do to change this?' blah, blah, blah.

What you going to do when you find all the other contractors are on a higher rate than you? Kick off with the client (who you're now gone direct with) and say you want the same as the others? Seriously?

Welcome to the world of contracting. You're not a permie now. There's no collective bargaining.

[Groovy]

Kickbacks

TO be honest even the slightest hint of grief for the client will be more than likely cause your termination, there has been a few threads recently about a contract getting canned for kicking up a fuss, they will be more loyal to the agency than you.

Hehehe, in this case, either the key decision maker at the client site sleeps with someone from the agency or gets kickbacks (preferrably into offshore account). Ahh, sorry, profit sharing, kickbacks is just soo frikking rude. Absent these two, it's then just the case of being timid. I'm a contractor and i dumped a number of agencies in my contracting life successfully. Need to know the rules, be forth-coming and frank. Anything above 10% for an agent's cut is usury. Offer the financial (or other) incentive to the client - these work best. If you're in IT, check the purchase orders in the system and see how much the agency's cut is. Propose to split the agency's cut half half with the client.

All this talk about payment terms, relationships is a crock of s***. Have a few extra bucks to survive extended payment terms, c'mon, this argument is again for the paycheck-to-paycheck slaves or wasters. And when the client expresses concern about the relationship with the agency and they are NOT getting 'flesh' or kickbacks from the agency on the side, cough cough, then this middle management layer is a bunch of sheep. This day and age there are more agents than consultants. They are like pests already. And we're moving towards direct hire or things like talent pools where clients can go shopping for resources. Again, if kickbacks are involved, you have to offer more to get the client interested.

[SimonMac]

TO be honest even the slightest hint of grief for the client will be more than likely cause your termination, there has been a few threads recently about a contract getting canned for kicking up a fuss, they will be more loyal to the agency than you.

[manfromtheagency]

From an agency point of view

As an agent <cue boo, hiss, etc> I of course would not be at all happy if a contractor decided to try and drop us like a stone and go direct to the client.

I would, as always, direct you to your contract to see which terms you have signed up to with regards to "no return clauses" etc.

Also, be aware that using an agency is a commerical decision on behalf of many companies who do not want to take on the risk of dealing with staff / contractors directly hence them being happy to take on the extra cost involved of dealing with an agency.

the point about payment terms is also a good one, as an agency, we will have solid terms and conditions in place with our major clients to ensure prompt payment and also generally larger organisations have the cash flow to be able to take longer payment terms on the chin.

I agree with all others stating that it would de you no extra good to try and circumvent the existing arrangements for a few extra quid that could end up alienating you from your agency and quite possibly the client as well, who, if faced with a claim backed up by a contract from the agency may well roll over, leaving you very exposed.