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FTCs: the future of contracting?

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  • mjcp
    replied
    Originally posted by wattaj View Post
    Good luck with that.
    There are some and I have been contacted with others more recently:

    Large global IT s/w company stopped all UK contracts in Jan (due to IR35) and switch them to same rate but via an agency PAYE arrangement. (some left, some stayed)

    So, I'm an employee* of an agency, on a contractor rate**, with a FTC.

    *Complete with 1 month notice, 3% pension, holiday etc etc (funded by ** below)
    **analogous with an Umbrella model for net, holiday etc

    Its not as good as traditional contracting, but its better than perm in the current market! I can see it being a popular choice in the future too.

    M

    Leave a comment:


  • elsergiovolador
    replied
    Originally posted by LondonManc View Post
    Ah, you're missing my point - these FTC gigs would be at traditional contract rates (using the standard contract calculator perhaps).
    That's how you can get yourself to Employment Tribunal. FTC has employment rights and someone doing the same job as FTC may raise a complaint about wage discrimination.

    Leave a comment:


  • elsergiovolador
    replied
    You don't have to worry about IR35 if you declare someone inside. There is no penalty for wrong inside determination.

    You only need a couple of things in the contract to ensure is not going to be appealed, for example no right to substitute and a that the work will be done by named person only.

    Even if there is appeal, you can just terminate the contract or re-iterate why it is inside from the beginning.

    Leave a comment:


  • edison
    replied
    I've definitely seen more FTC roles come up in the last month or two. The HR department at my last client thought FTC was most likely the long term 'solution' to IR35 for them. Not sure about that but I saw one recently for a three year fixed term Head of IT which seemed ridiculous.

    Leave a comment:


  • GigiBronz
    replied
    My humble opinion is that you are wasting your time here.
    Ir35 was step 1, carving out alternative employment methods. Step 2 will be loosening employment rights. And you have a new employment model that greatly benefits the employer.
    On the side, paid health insurance will creep in and the points based immigration system will enable access to resources across the globe.
    Welcome to capitalism 2.0. Will we be better off? Considering the imbalance in a negotiation between the two parties, I would think not.
    To answer you question, we will be most likely all on FTC’s but without stipulated end date. All we can do is adapt.
    Last edited by GigiBronz; 31 January 2020, 16:34.

    Leave a comment:


  • LondonManc
    replied
    Originally posted by northernladuk View Post
    But that's not what FTC's are. They are employment so would include benefits and be on a pro-rata rate.

    I think you are on the right track of creating something new but FTC's are very well defined and contractor rates do not come in to them.

    Maybe it's just a terminology thing.
    FTC2.0?

    I'm just trying to think outside the box to give contractors and clients what they have now, or as close as they can without the hassle of thinking about IR35. FTC gets you your employee perks but takes away your slidiing rate calculations for salary vs divis and still make working-away contracts viable for all.

    Leave a comment:


  • northernladuk
    replied
    Originally posted by LondonManc View Post
    Ah, you're missing my point - these FTC gigs would be at traditional contract rates (using the standard contract calculator perhaps).
    But that's not what FTC's are. They are employment so would include benefits and be on a pro-rata rate.

    I think you are on the right track of creating something new but FTC's are very well defined and contractor rates do not come in to them.

    Maybe it's just a terminology thing.

    Leave a comment:


  • wattaj
    replied
    Originally posted by LondonManc View Post
    Ah, you're missing my point - these FTC gigs would be at traditional contract rates (using the standard contract calculator perhaps).
    Good luck with that.

    Leave a comment:


  • LondonManc
    replied
    Originally posted by wattaj View Post
    It absolutely is not. FTC rate are permie equivalent; who in their right mind would take that for a short-term, no commitment gig?
    Ah, you're missing my point - these FTC gigs would be at traditional contract rates (using the standard contract calculator perhaps).

    Leave a comment:


  • wattaj
    replied
    Originally posted by LondonManc View Post
    ...but it's a way for both clients and contractors to carry on "as is" as close as possible (apart from the obvious massive hit to two-director MyCos.
    It absolutely is not. FTC rate are permie equivalent; who in their right mind would take that for a short-term, no commitment gig?

    Leave a comment:

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