In today’s world of work, many employers are prioritising flexibility in their recruitment, especially when it comes to tech. As a result, these organisations are turning to contractors that they can work with on a project basis.
Why? As my colleague James Hallahan, Chief Strategy Officer for Hays UK, observed: “There’s an urgent need for specialist skills that can facilitate digital transformation and embrace emerging technologies, and tech contractors remain a key solution in a tight hiring market.”
Naturally, there are countries, such as the UK, where the market is mature in working with non-permanent professionals. Other locations include the US, Germany, Netherlands, Australia and Japan.
At the same time, we’re seeing growing markets in parts of Europe, including France, Spain, Italy and Poland. These are places where, historically, people have enjoyed the security and reputation that comes with permanent employment. However, they’re now opening their eyes to the benefits of contract work,
With this in mind, skilled professionals entering the world of contracting need to be prepared. I’ve put together some advice on setting yourself up for success before you find your first role.
A career in IT contracting begins when you’ve already developed skills that are in demand and will continue to be for the foreseeable future. While it’s vital that you continue to develop your skillset (either during or between projects), you’ll need to be ready before you find your first contract job.
A good place to start assessing the market right now is by searching existing opportunities through recruitment agencies such as Hays, which you can do here. We’ve also compiled our list of the top 10 tech roles that organisations are hiring for here, so you can get a greater sense of the skills you’ll need.
At this point, I’d also highly recommend another of my blogs, where I lay out the things to ask yourself before committing to a contractor career.
As my colleague Adam Shapley outlined in his blog on the advantages of becoming an IT contractor, you can expect to charge a daily or hourly rate that would be higher than that of a permanent employee.
So, how do you determine which rate reflects your skills and experiences, without pricing yourself out of the right opportunities? You can start by checking our local Tech Contractor Day Rate Guides, which we release annually to inform skilled professionals of what they should expect to earn. Click here for guides in the UK, Ireland and Australia. For more information on typical rates where you are, get in touch with your local Hays office today.
There are different ways to set up your business as a contractor, each with their own benefits and drawbacks. Many of these are around income and expenditure.
For example, a UK-based contractor can position themselves as an employee of an umbrella company, while someone in US might consider a sole proprietorship. This is easiest and generally reduces administration. On the other hand, founding a limited company can offer tax and expenses advantages. It’s a similar situation in many countries, so do thorough research before you begin. It’s worth bringing in an accountant to help you keep on top this, particularly regarding tax.
As I mentioned above, it’s best to step into contracting once you’re experienced in your field and can demonstrate to potential clients that you’ve got the skills they need to bring on board. Doing this right means standing out from the crowd.
However, if this is the start of your contractor career, you won’t have the experience that others do yet. You should have a strong CV by this stage in your career, as well as a LinkedIn profile that aligns with this as a further promotional tool. In each case, highlight your skills with the latest technology or processes that some contractors may not have been exposed to or trained on yet. On top of this, it’s often worth directing clients to a website (or even Github project, depending on your area of expertise) to show them what you can bring to their organisation.
Now that you’ve done your research, understand how to form your company and got your profile ready, it’s time to start your search. Besides remuneration, things to consider are:
In many countries, it’s easier for contractors to work with a recruitment agency that sources non-permanent staff for clients, so this is often a good place to start. In addition to finding opportunities on your behalf, companies like Hays can offer you advice and help prepare you for applications and interviews.
At Hays, we work as lifelong partners to IT contractors around the world to support their ambitions. Whether you’re starting out in your contracting career or further along the road, get in touch today to see what we can do for you.
James Milligan Global Head of Technology Solutions
James Milligan is the Global Head of Technology Solutions at Hays, having joined in 2000. In his role, he is responsible for the strategic development of Hays' technology businesses globally.
