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Permanent
Overview
Most IT professionals are employed in either a
Permanent or Contract capacity. In day-to-day
terms this distinction can often be quite small,
with Contractors and Permanent staff working alongside
each other on the same projects performing essentially
the same tasks.
However, in terms of life-style, there are some
major differences which mean that whether you
are better suited to Contract or Permanent, is
primarily a question of how you choose to balance
work and the rest of your life.
It may well be that the decision as to whether
you pursue Contract or Permanent as an option
may vary depending on what stage you are at the
time in your career or life in general. For example,
it's not uncommon for individuals who have been
happy contracting in the early part of their working
life, to look for the greater predictability of
Permanent employment later on.
So, the decision Contract or Permanent is one
which will depend, not just on your own personal
lifestyle but also your circumstances at any one
particular time.
To help you decide, we've summarised what we believe
are the Pros and cons of Permanent Employment
Permanent
Permanent employment is the normal mode of employment
for the majority of IT professionals. In this
case the IT professional is employed directly
by the end client on an open-ended basis, with
a contract of employment in place which sets out
what each party can expect of the other. The employee
will also have various protections under employment
legislation, which will provide the context in
which the contract of employment operates.
Permanent employment is underpinned by the implicit
assumption of a commitment between the employed
and the employer. In other words, unlike a Contractor
who will generally be regarded as a tactical resource,
a Permanent employee is an integral part of the
organisation for which he or she works and will
be party to all of the long term benefits such
as pensions and promotions that go hand in hand
with permanent positions
Advantages/Disadvantages
Permanent employment generally has a degree of
security and consistency which is hard to achieve
through contracting.
Similarly, because a Permanent employee will be
viewed as a medium / long term prospect on the
part of the employer, there will be a greater
willingness to invest in the individual, with
training being a key example of this.
Likewise, the potential for meaningful career
advancement and promotion is pretty much monopolised
by Permanent employees and they are also likely
to be assigned the most interesting work in an
effort to gain their loyalty and commitment.
Permanent employees receive other benefits that
are unavailable by definition, to Contractors.
Some of the most basic examples are Sick Pay and
Holiday Pay but a whole range of other 'perks'
from Pensions to Bonuses, from Company Cars to
Sports and Social Clubs.
The downsides of Permanent employment are largely
the flip side of the advantages of being a Contractor.
The ability of a Permanent employee to juggle
non-work interests and ambitions with a career
is difficult. For example, an employee requesting
an extended holiday (even unpaid) will often be
deemed to lack commitment and to be taking their
responsibilities to the company less than 100%
seriously. If they choose to take the trip regardless,
they may well be 'burning bridges' they would
rather not have to burn. During downturns in the
IT market, permanent employees will be “last out
the door” giving you more security.
Also, despite the added perks available to Permanent
employees, it is still (generally) the case that
a Permanent employee will struggle to earn as
much as a Contractor doing the same job>
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