IT Contracting is nearly dead!

IT Contracting is nearly dead!

Author
Discussion

philshort

8,293 posts

277 months

Saturday 3rd August 2002
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Matt

I think you are right. 10-15 years ago there weren't so many contractors, and they were mostly the cream of the talent. That got diluted by less talented folk jumping on what they perceived as a gravy train.

I got into it as I'd gone as far as I could in a software house environment without moving into management and away from the techie stuff that I was born for! The only way "up" while remaining a techie was to work for myself.

Too many really did get into it by leaving a permie post one week and doing the same job as a "contractor" the next. No surprise that the IR got interested really.

What keeps me going is the knowledge that while work might be scarce at the moment, there will be a recovery, and people with genuine talent and ability will always be able to make a living. Just not at the moment!

whatever

2,174 posts

270 months

Saturday 3rd August 2002
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quote:

What I meant was in my original trouble causing statement was, its about time IT people suffered from lack of work as most of the population have had to suffer, such as engineering.


I hope I'm not taking this out of context when I describe this quote as "not very nice". I've a great deal of support and sympathy for engineers, miners, ship-builders, steel-workers and just about everybody else that used to actually *make* stuff in this country. And as a software development contractor I like to think I make stuff too.

It's about time we had a go at the dole? Great. btw, we can't even get it.*

* well, we can, but it meand having to pay even more accountaacy fees and more hassle.

andymadmak

14,578 posts

270 months

Monday 5th August 2002
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Thanks to everyone who applied.
I'll be responding directly to you all this week.

Cheers
Andy 400se

mhibbins

14,055 posts

279 months

Monday 5th August 2002
quotequote all
quote:
It's about time we had a go at the dole? Great. btw, we can't even get it.*

* well, we can, but it meand having to pay even more accountaacy fees and more hassle.
I was out of work for 6 months at the start of the year and you can claim income support once your personal savings are down below 8k. You just go along and make an appointment and you fill in lots of forms. About a month goes by in total and then you get some money each month (backdated to your first appointment). It isn't masses but it certainly helps tide you by.

Mark

MikeyT

16,553 posts

271 months

Monday 5th August 2002
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JSG – top man!

That's a pint I owe you

leszekg

263 posts

267 months

Monday 5th August 2002
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quote:

What keeps me going is the knowledge that while work might be scarce at the moment, there will be a recovery, and people with genuine talent and ability will always be able to make a living. Just not at the moment!



I think that about sums it up. I look after a software development group and have frequently used contractors in the past, though not since late last year. We are anticipating more work and there are signs of it coming in already. However, some observations from my own experience over the last 6 months which will influence the extent to which we use contractors:

1) We're looking harder these days at borrowing permanent staff with relevant skills from other parts of our company or outsourcing the work to other groups within the same company.

2) If we needed new skills in the past we might have gone to the contractor market but these days focus is almost always on re-training permanent staff coupled with external support.

3) There is a preference to establishing relationships with company's with fixed resource pools rather than contract agencies who supply one-off bodies (often listed with God knows how many other agencies!) or individual contractors. These companys are considered to add value by being able to supply the same staff when needed, take on work on a fixed price basis etc. Amongst other advantages over agencies, their rates are typically lower and their staff are specifically trained and skilled in the business and application areas directly relevant to us, not just the right technical skills.

4) We are being approached more often now by contractors who are willing to embark on a fixed term contract at rates that are the same as, or close to, permanent staff. Those who are flexible in this way, and who have the right skills of course, are having more success at getting their CVs looked at.

5) There are a lot of permanent staff being dumped on the market at the moment - many of the software house/consultancies have announced redundancies in recent months. There is a trend to target these groups and cherry pick from these staff at the moment, particularly where they have knowledge specific to my company's products and business.

6) It's getting more and more difficult to get approval for budget to take on additional staff in the current climate.

7) More of our end customers are wanting to take on some or all of the work themselves, reducing the amount of work coming our way. In the current climate everyone wants to cut costs and keep their own staff as highly utilised as possible.

I imagine there is a similar pattern in other companies.

I do see a day when we will have contractors working with us again and good contractors are always worth their weight in gold. Unfortunately I don't see it happening for while yet. In the meantime, I don't consider even my own job as 'safe'.