In a bid to counteract the current economic downturn and consequent redundancies, it would appear that many IT contractors are choosing to widen their job searches and move around the market more often. In other words, they are refusing extensions to their contract, instead opting to look for contracts elsewhere. Also, many employers are waiting until the last minute before offering renewals to contracts thus leaving contractors in a precarious position.
IT contractors are anxious to secure new work opportunities as there is so much uncertainty within the market. It is also apparent that there are major pay cuts in this field. Difficult decisions are facing every contractor as they have to make a choice based on what is best for them. Some will choose the uncertainty of a couple of weeks work with premium pay while others would opt for the security of work for a number of months at a standard rate of pay.
It would appear that many organisations are now choosing to operate on extensions to contracts on a month to month basis, rather than offering permanent positions. However, contractors are responding by searching elsewhere.
If the economy picks up quickly, as is predicted by the Bank of England, the business community would need to respond fast. At this juncture, businesses would be crying out for contracted staff and, with a swelling market, contractors would have the luxury of picking and choosing where to work. They are likely to look most favourably on the businesses that treated them well during this down period.