The IT industry is certainly proving to be very lucrative at the moment, with rising rates of pay being predicted, as well as the latest Recruitment and Employment Confederation (REC) report showing that the demand for the sector has seen a two year high.
A recent IT labour index has also revealed that the IT contractor sector has seen a 25 month high; so it seems that it is a very good time to work for yourself within the IT industry.
According to the recent REC/KPMG report on Jobs report, IT contractor demand scored 59.6, which shows that the sector has been up on every single month of the last two years.
Bernard Brown, head of business services at KMPG, commented on these findings, saying, “With house price and service sector figures moving in an upward direction, indications are that the economy is getting stronger.
“For some time staff have sat tight refusing to move when job security was low. Now the best staff will be looking for better offers so employers will need to strike a balance between recruiting new blood and retaining their best.”
IT contractors will also be interested to learn that the skills most in demand are:
- Business analysis
- Mobile app
Negotiating higher rates of pay
And so, with predictions of IT contractor pay rates seeing a hike, it’s most definitely worth looking into negotiating a better rate.
If you are planning on doing this, you need to consider your relationship with your client, and to make sure that you maintain a good relationship with them while negotiating your rates of pay.
For example, think about your timing when broaching the subject. If you’re current contract is close to coming to an end, there’s probably not much point even discussing it. This might not come across well to your client, as it may seem as if you are rushing them to make a decision on your rates of pay in a short space of time.
It would probably be best to discuss this at least six weeks before you want the changes to be made.
There’s also the fact that the longer you have been working for your client, the easier it will be to talk about negotiating your current rate – however, if you have been working on the contract for less than a year it may be harder for you to justify higher rates of pay.
It’s not an easy thing to ask your client for a higher rate, but with IT demand and the market continuing to flourish, you really shouldn’t be scared to ask for more money.
How much could you be earning as a contractor? Type in your daily or hourly rate into our contractor calculator and see how much you could be taking home.
If you have any other questions about contracting or would like any further advice please call our New Enquiries Helpdesk on Freephone 0500 152500 / 01442 275789 or email: email@example.com.