Contract Work vs Permanent Work

[Pho3nix]

Morning all,

Seeing as I'm job hunting wanted to hear from the community which they prefer and for what reasons and what are the perks of each.
I've been considering contract work because I'd get a bit more cash in my pocket vs working permanent but the security aspect of I have a job at ABC is something that I like to have .

Have any of you worked in both situations and could you please tell me about your experiences. Many thanks.

Pho3nix

 

[*SynergyX*]

unless you have a big enough buffer to fall back on if your contract does not get renewed and you need to find work again contracting is a no no.

 

[syntax]

Contract work is ok, but i would only do it if there is nothing else, or i get a longish contract.
The pay is usually great, but if you get sick or need to take leave you are screwed.

My friend recently had an op whilst he was on contract work, he couldnt log the hours he needed and ended up struggling for cash.

 

[Skydrops]

Morning all,

Seeing as I'm job hunting wanted to hear from the community which they prefer and for what reasons and what are the perks of each.
I've been considering contract work because I'd get a bit more cash in my pocket vs working permanent but the security aspect of I have a job at ABC is something that I like to have .

Have any of you worked in both situations and could you please tell me about your experiences. Many thanks.

Pho3nix

Seeing as I have been on both ends, id say it's simple... long term = permanent, short-term = contract...

Also if you get your contract canceled in some industries you are left with nothing, where as permanent work you can claim for retrenchment, severance packages, etc.

 

[TelkomUseless]

Yea I was on contract at certain bank. Then one day you get a nice email, telling all contractors , rate cut or 30 days notice. 2 months later all contracts canned. Not nice.

 

[patrick]

If you're really good, and have good financial discipline then contracting is the way to go. To be honest I don't know why anyone would hire somebody permanently anymore, just a headache.

If a worker doesn't perform it's almost impossible to get rid of them in a permanent post. With contractors, you just stop renewing. Where i work there are no permanent staff. The best you can get is a fixed term appointment for a year.

 

[TheShadow]

I've worked in both types and I prefer contracts.
It works well in the software development sector right now, but things could change at any time.
I wouldn't go with contracts shorter than 12 months.

Permanent does give you a sense of security, though the recent rounds of retrenchments really gives you no guarantee.

The biggest negative with contracting is that banks don't trust you... getting a bond is trickier because you are not seen as having as stable an income as a permanent employee.

The risks wrt sickness must be managed with a good income protection plan. This is the first thing you should consider taking out if you choose the contracting route.

Life is about taking risks, but make sure your responsibilities are covered.

 

[RiaX]

Consider your BEE position in society then consider contracts .... thats all the advice I have

 

[noxibox]

On a fixed term contract you have almost the same rights as a permanent employee, and once the contract gets renewed you are a permanent employee in the eyes of the law. Companies seem to think they can just not renew in the future, but they will get hammered if the employee decides to make a case out of it. When the initial period comes to an end they also cannot hire someone else on a fixed contract to do the same job, it has to be offered to the current contract employee. If they decide to create a permanent position they have to offer it to the contractor first. You also have full right to access to company medical aid and any other benefits offered to permanent employees. The law only really recognises employees and independent contractors, the former being subject to their employer dictating work location, hours, what equipment to use, what must be done and how, while the latter can pretty much do as they please, work where and when they want, how they want, even have someone else do the work.

Yea I was on contract at certain bank. Then one day you get a nice email, telling all contractors , rate cut or 30 days notice. 2 months later all contracts canned. Not nice.

They have to retrench you exactly the same as a permanent employee, unless you're an independent contractor.