10% pay cut?? any one else getting this?

colinuk

colinuk

colinuk

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Been told by a mate, so its hear say for now as i have not got an email confirming this but a well known contractor employer is cutting all contractor rtes by 10% across the board.

Doing it by giving everyone a 1 months notice and if you want to come back to work, sign a new contract at 10% less than the contract you just had...

This firm is a well known cycle sponser too.

Anyone else heard anything?

ColiN - soon to be umemployed :)
 
I agree Jock, the agency is not cutting the cost to the goverment is has contractors in place for, but they are cutting the rate to the contractor... The ones i have spoken to are as you have said, going to other places to work instead of taking the cut, taking with them a few years of knowledge the full time staff just dont have.

Be interesting to see what happens, as i said, not had the email/letter myself yet so not 100% sure what is going on.
 
Employer should take the opportunity to get rid of deadwood too, some contractors are fantastic - some of them might well leave for another job as they won't have any trouble getting one. However they could end up with just the rubbish contractors staying or at least a large percentage of them as they're unable to or too lazy to look for another post.

I'm not slagging all contractors, it's like any section of the workforce there's good and bad, but in a situation like that, you're encouraging good staff to leave but the bad staff will hang around. So perhaps it's a good time to ditch the rubbish :)

I don't know anyone who's having a pay cut or been made redundant so far, feel quite lucky. We are hiring less contractors though.
 
Well i would be telling them thanks but no thanks and start looking for another contract agency immediately

Be suprised if anyone stays with them, talk about cutting their own throats :O
 
Thing is a few contractors here were told no to a pay rise, so they are gutted. Some have bills to pay so i think the feeling here is anyone who is staying, contractors that is, will now be doing a work to rule.

Where as we normaly stay behind a few hours to ge tthe job done, without charging for it, that will stop, no more over time, no more coming in ealry to cover phones so full time staff can have a late start and no late coverings.

Going to hurt the full time staff here more than the contractors as they have, as you say 'got rid of the deadwood' last year and kept on the staff who they wanted to keep.

I understand stay in work and take the pay cut, but the amount of extras they have had from us and then to say no to a pay rise, then 2-3 months later - demand a pay cut, well, you can imagine the feeling in the office at the mo. It isnt a good one.
 
Its not up to the employer to give payrises to contractors is it ?

I thought that was the agency to try and get for you ? That is a question because I seriously have no idea.

To be honest in any company Full Time staff > Contractors. Its how it is where I work I manage a few contractors. Some of them are cracking workers, some are complete waste of time. We tend to get rid of the time wasters quite quickly mind. But then our contractors work on a 6month contracts and we have the right to terminate the contract whenever we feel like. Which is works very well, it means if we get slacker contractors they will get the boot. The good workers will stay on and keep getting their contract renewed
 
I agree Adsta,

only 2 contractors here now, we been here almost 3 years and 4 years, each of us have our contract extended each year, so i guess we are doing something right as other contractors come and go. Some ar egood, other are not, as in life and other groups i guess.

Still, i think they are going to get a shock when the contractors stop doing 'favours' when this 10% pay cut comes into play.

Again, only hear say as i have not had the email yet. Just makes me wonder what they think they are going to get out of it as they are going to lose work as we will only do the 3 jobs we are menat to and stop, no longer do 4 or 5 or 6 jobs to keep the users happy.

Then again, i dont want to be like that, i enjoy the job but i feel they are taking the mick now. As do the other contractors in the other buildings. We will see what happens.

Thanks for the replys.

ColiN
 
Maybe only certain contractors are taking a 10% cut ? :)

If you not had the email and they cut your pay ask for proof that they formally made you aware that you was going to be taking a pay cut
 
As much as I would hate to take a pay cut, there appears to be rate drops across the board in IT contracting generally. Although we'll see what happens in the spring when the main contract rounds are.

As contractors command the bigger rates when things are good, and when permies have to make do with low or no pay rises, then it only fair that they take the hit first.

This from a contractor...
 
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