I Recruit, Therefore I Am

Contract or Permenant and Which is Best for Me

There is not a single Recruiter in this city that will not ask you whether you would prefer Permanent or Contract work.

If they don’t, Run Away And Find A New One As Fast As Possible!

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The reason we ask is because Contract and Permanent jobs are two different things. As I outlined in my last post, the Contract and Permanent versions of the same job may be handled by two totally different Recruiters. This means, before we speak, you need to have put some thought into this question.
 


A lot of people, when asked, will give the generic answer: “I’m open to either.”

This answer translates into One of Three Things:

1) I haven’t put any thought into it.
2) Send me whatever you get and I’ll decide then

OR

3) I don’t care, just get me a f#%&ing job already!  

So let me explain the key differences between the Contract and Permanent ways of life so that you’re prepared to be more than generic next time a Recruiter asks you what you are looking for.

Permanent

The appeal of a Permanent position is that of stability. People feel that if they have a yearly salary, a benefits package and are on a company’s payroll that they are more stable than someone who gets paid on an hourly basis for a set term.

There is some truth in this. The Permanent employee does enjoy much greater room to grow and evolve within a company than a contractor would. Not many contractors start in the mail room and work their way to the VP position.

And getting invited to the office Christmas party has it’s perks.

But the idea of stability in Permanent work is more of an illusion in 2014 than ever. Every day companies decide to outsource departments, pay off high wage employees, or any other general type of “Restructuring.”

Say you were offered a Permanent job at $70,000 a year plus benefits. After a year and a bit you’re called into the boss’ office where he regrets to inform you that your position has been made obsolete.

You could have been doing the same thing on a year long contract for $50/hr. Do I need to do the math for you?

The cost to you would be an accountant to do your taxes (which, you’ll be able to use to your advantage if you are a Sole Proprietor or Incorporation; but that’s for another post) and an insurance company if you want benefits. If you have a spouse with a benefit plan you can get on, even better.     

Which brings us to:

Contract

The Major Upsides to being a Contract employee are:

1) More money.
2) More flexibility and freedom to set your own schedule.

The Major Downsides:

1) You are pretty much stuck in a niche with no room to grow into new positions.
2) You have to know how to and be willing to constantly sell yourself. 

Now imagine a world where you set your own price. A world where you are so in demand that you get calls of job offers every day. A world where you could decide to take the summer off and there’s nothing anyone could do or say about it.

Those are the benefits contractors get once they make a name for themselves. But they’ve got to be willing to put themselves out there and do what it takes to build a reputation in the industry. Contracts live in a world without a safety net. They don’t always know where the next contract is coming from. And if they don’t put their name out there, they’ll never make it.

This is why agencies separate Permanent and Contract Recruiters. They are two totally different mindsets.  

A Permanent Recruiter is a Corporate Matchmaker

A Contract Recruiter is Jerry Maguire

If you have questions on the subject of Contract, Permanent and what would be best suited for you, ask your Recruiter. You have their time and attention, use it.

It is not a decision to be made lightly.

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Mike Lippert

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