Can I convince my employer to become a contractor from FTE?

sangie595

Skag wrote: »

So, if I were to put forward my resignation, and the company still needs me, should I ask them to cancel my existing contract and go on a contract basis.

Skag wrote: »

The fact that they have invested hard on me and they need me. It would make more sense to keep me for say, one more year to continue existing work, rather than hire someone to start from zero..

Skag wrote: »

Quick way to reach conclusions. No it's not like that. I offer a service, they need it. They offer money, I need them. It's called business.

Ever heard of the saying "Pride goeth before a fall?"

They could also gleefully accept your resignation from a job that apparently pays you £60k, then hire someone at £40k who is actually wanting to work for them. That's ALSO called business, and it's a far more common form of business than the one you propose.

Gavin83

It's a risk and depends on how in demand your skills actually are. I wouldn't necessary bully them into it as it'll just put their backs up but if you quit and then tell them your looking to head into contracting they may take you on. However they may also just hire someone else and you'll be out of a job. No one is irreplaceable.

You have to look at it from your own point of view as well? Is the company struggling financially? If so terrible idea. Have you been working their long? Is there any risk of you requiring long term sick leave?

Skag

gettingtheresometime wrote: »

Why not just ask them for a pay increase?

Because I am exploring my options.

Skag

sangie595 wrote: »

Ever heard of the saying "Pride goeth before a fall?"

No I haven't. But I will look it up.

sangie595 wrote: »

They could also gleefully accept your resignation from a job that apparently pays you £60k, then hire someone at £40k who is actually wanting to work for them. That's ALSO called business, and it's a far more common form of business than the one you propose.

I disagree. Perhaps you have not been in a position to appreciate the value that a person brings in a company, and that's fine. But assuming that a business' sole target is to get cheap employees is dead wrong. For better of worse, talent and expertise are usually highly paid.

Skag

Gavin83 wrote: »

No one is irreplaceable.

I could not agree more.

The hypothetical situation I am describing is for someone who is going to hand over his resignation anyway, but would like to go back to his role, if they would accept him on a contract basis.

FBaby

Quick way to reach conclusions. No it's not like that. I offer a service, they need it. They offer money, I need them. It's called business.

You must think very highly of yourself to believe that they are so desperate for money that they will go for it. In the end, your life, only you know if you can take the gamble, and prepared to face the consequences if it doesn't go your way.

PS; In my industry, contractors are only employed if it can be evidenced that they can't hire someone. So such a deal would not be agreed. If someone resigned, the first port of call would be to advertise for the role again (so quite some weeks lost anyway) and only if they couldn't recruit would they look at outside contracts. The problem though is that there is quite a bit of competition for these roles (for the reasons you've highlighted) and such people come from everywhere in the country because they are prepared to travel, or even to book themselves in a hotel for the week. Let's just say that someone considering your request would have no chance whatsoever to get the same job as a contractor.

Skag

Thanks for your view.

FBaby wrote: »

You must think very highly of yourself to believe that they are so desperate for money that they will go for it.

Yes, in the originally given scenario, one must be very confident to try that.

Takeaway_Addict

You say they could keep you for another year and save the hassle but unless your role is going to end in the year I doubt most employers would hire you SE, they would just get on with retraining someone else.

Thats part of being an employer.

paddyrg

I work in an industry where some people think themselves irreplaceable - band and touring crew members in the middle of global tours. When they start getting complacent and arrogant, it affects the rest of morale for the other people. The simple solution - drop them and replace them. There's some short term pain, but the gain is pretty dramatic and rapid and everyone else gets back on with their jobs.

Companies expect to lose people, and employers don't like being blackmailed. If they've invested heavily in you, that might be all the more reason to accept your resignation then tell you where you can get off rather than expose themselves to more of the same.

Companies don't so business with companies, people do it with people. If I were your current employer, and was cornered, and my hand forced, I'd first seriously weigh up if we could do without you, then second consider if I took you on contract how quickly I could dump you.

That aside, you'll almost certainly not be able to contract as a sole trader, and if you form a limited company you'll very likely fall within IR35, seeing as you're currently an employee in the same job. Expect to pay about a grand a year in accounting costs for your limited company year-end books, they're not straightforward like personal tax. Insurance isn't expensive, maybe a tenner a month, but you must have it by law.

Contract rates are necessarily higher than employee rates, but you lose a lot of rights - eg you may not have the right to use the canteen, medical service, almost certainly have to provide your own equipment and software licenses, etc. The current employer will need to draft a contract, so there are legal fees to consider, depends if they employ other contract staff and have systems in place,or are going to have to spend a lot of extra money just to keep you.

Andy_L

Why not just ask them for a pay rise?