Reply to: X months contract, with 1 week get out clause

[psychocandy]

Must admit I've never been binned half way through but it does happen.... Client does what they want in most cases.

However, I've found that a lot of clients don't even think of this notice period. As far as they are concerned if they sign you for 3 months its 3 months which is obviously good for the contractor.

However, it can work the other way. If you've got a client who leaves it until the last minute and, for the sake or argument will only offer a month at a time, then it means every month you're getting zero notice.

Better to have 3 month contract with them having the ability to can you with 1 weeks notice. At least you get 1 weeks, whereas otherwise, you may end up working till 5pm on 31st of the month not knowing where you stand for 9am next day.

Been there done that

[SarahL2012]

6 month contract with immediate termination on both sides....

And that was at my instigation. Rate is a bit low and client notorious for wanting a contractor who was originally engaged to do X to suddenly start doing Y, but without paying the rate that they really should do for Y. HR team who agreed contract terms were fine with it, but I'm not convinced they've actually let the part of the business I work in know that I have those terms!

I'm too much of a professional to walk away with no notice, but its nice to know the option is there if they start being silly.

But in the past 2 years I've had 2 clients where I went in to do 6 weeks work for them and ended up staying 5-6 months. On another occasion someone came back from maternity leave early and they decided that she could cover the work I was doing and we politely agreed an exit plan. I was a bit p****d off, but that's the way it goes.........

[TykeMerc]

Beware of clients/agents offering to give you a longer term contract in exchange for paying you less - this "promise" is not worth the paper it's written on.

Pay attention to this point, it's very true.

As you've noticed and all the posts above have confirmed in our working approach the contract term is next to meaningless, you're a disposable, flexible resource and the word security is not applicable as a contractor. The rate should reflect the reality.

If you're not comfortable with these facts then contracting won't suit you, it's not for everyone.

[kingcook]

Hi guys,

I've been offered a contract, its 3 months long, but there is a clause that says they can end the contract with 1 weeks notice for any reason they fancy. Does this not make the 3 months totally pointless? There is no security at all that I'm going to have work more than a week in the future..

Always think of the contract period (3 months in this case) as an estimate of how long you'll be working with the client.

If the project/work is behind schedule you could be asked to renew at the end of the 3 months.

If the project/work ends early/client runs out of money/you're 5h1te at what you do then the contract will end early.

Beware of clients/agents offering to give you a longer term contract in exchange for paying you less - this "promise" is not worth the paper it's written on.

Also... hang around this forum and you'll learn a whole lot more about contracting

[Wanderer]

I've been offered a contract, its 3 months long, but there is a clause that says they can end the contract with 1 weeks notice for any reason they fancy. Does this not make the 3 months totally pointless? There is no security at all that I'm going to have work more than a week in the future..

Yep! Take the 3 months as a guideline only. Generally they will have budget for this length of time and it will have to be reviewed after that. There is a risk that the project gets canned and the budget cut, in which case you are out. I know people who have been dropped after a few weeks of a contract but others started on a 3 month contract and stayed 5 years.

Along with the lack of job security you will get no annual leave, sick pay, pension, training, etc, etc. Hopefully that explains why your daily rate is twice what they are paying their permies.

[Scoi]

My new contract is 1 weeks notice with no contract length specified. Its more along the lines of until the project is complete. I know what projects the client has won recently and know they should be running a year with contractor being purged from the 60% completion mark. At worst that's 6 months; if I'm needed for the whole project, a year; if the company wins more then longer if I perform and there's need for contractors on a second project.

When you get to know how to read a job spec, do background research and know what to ask the pimps and ClientCo you can get a good grasp on the real length of contract involved.

[Scoi]

Nature of the game. It also works the other way around. I've just finished month 11 of a 6 month contract and it was my decision to leave. Could have got another year out of it the way it's going. High rate = low reliability of a regular income. You'll have some projects canned and the contract is cut short, some will create further projects and you'll get an extension. Over a few years it a good contractor should be equal or positive in the length of time spent at a ClientCo versus original plan.

[mos]

Hi guys,

I've been offered a contract, its 3 months long, but there is a clause that says they can end the contract with 1 weeks notice for any reason they fancy. Does this not make the 3 months totally pointless? There is no security at all that I'm going to have work more than a week in the future..

Thanks

I had exactly the same concerns when I started as a contractor. However gradually you get used to living week to week and most of the contracts nowadays do not give even that.

Whether you accept or not is entirely up to you considering your options.

On the bright side - if the client wants to terminate your contract they will and its better for you if they do not have to invent a cause to do so.

On the dark note ... I know people who gave notice on their existing contracts just to receive the notification that the new contract is off. Now they work permanent.

[northernladuk]

Hi guys,

I've been offered a contract, its 3 months long, but there is a clause that says they can end the contract with 1 weeks notice for any reason they fancy. Does this not make the 3 months totally pointless? There is no security at all that I'm going to have work more than a week in the future..

Thanks

You are learning quick.. Now that is less one over... lets get on to lessons 2 to 4000....

[malvolio]

Yeah, I understand this but what's the point in offering 3 month contracts? because you know.. its not?

Because that's what the agency sells. It never ever bears any relation to how much effort is required to deliver whatever it is they want delivering.

Don't forget, agencies don't let on that they supply contractors, they sell manpower reources from their own stable of workers (go look at any of their websites, they all tell the same story). And what's worse, a terrifying large number of clients beleive them, to the extent that most manpower requests and programme plans are budgeted in three month chunks.

[RasputinDude]

Well, it's more like a purchase order with a call off. They are buying some consultancy from you. They think that three months will be sufficient time to get the job done so they issue a purchase order for three months. They put a one week clause in so that when they have identified that the job is done then they can get rid of you quickly, easily, efficiently and cost effectively.

(is 'cost effectively' good English?)

[eek]

Yeah, I understand this but what's the point in offering 3 month contracts? because you know.. its not?

Because they want to know that you'll be there for three months but they want to be able to get rid of you with 1 weeks notice.

The contract flexibility should be made up for by the rate they pay you compared to a normal employee.

[brightbits]

Yeah, I understand this but what's the point in offering 3 month contracts? because you know.. its not?

[RasputinDude]

That's the reality.

[LisaContractorUmbrella]

Hi guys,

I've been offered a contract, its 3 months long, but there is a clause that says they can end the contract with 1 weeks notice for any reason they fancy. Does this not make the 3 months totally pointless? There is no security at all that I'm going to have work more than a week in the future..

Thanks

I will say this nicely before you get savaged (you'll see) - this is basically what contracting is all about and I am sorry to tell you but this type of clause is very common. The client wants to use someone who will give them a totally flexible option - if they wanted you on staff for 3 months you would be given a fixed term contract which is a different kettle of fish altogether

HTH