Becoming A Contractor

HAVE YOU CONSIDERED CONTRACTING in new zealand?

Contract roles can offer you greater flexibility, work/life balance and the opportunity to increase hourly earnings.

Many professionals consider themselves to be career contractors. As well as being specialists in their field, their strengths lie in quickly fitting in and delivering for a new team, expertly managing key projects.

Robert Walters have well established teams in and who focus solely on recruiting contract roles. 

Jonathan Hay, Manager of our IT division in Wellington; Rebecca Sanderson, Manager of our Finance Contract division in Auckland and Michelle Miller, Senior Consultant for our Banking & Financial Services division answer commonly asked questions regarding the contracting space.

contracting q&a

1. How do contract rates compare to permanent rates?

Jonathan: Contract rates for IT roles are on average between 35-45% higher when compared to the equivalent role in the permanent space. We typically work out the annual rate for contractors on a 46 week year to allow for public holidays, annual leave and any sick days. Some rates in skill shortage areas such as Senior level BA’s and .NET developers have moved this year in the contract space but have stayed quite flat in the permanent space.

Rebecca: Contractor rates for accounting & finance roles have increased across all levels this year compared to permanent salaries which have remained static. Good strong professional contractors in any market will always be able to secure a good hourly rate and therefore contracting is often much more desirable, especially in a candidate tight market when employers are willing to pay above market rate to secure candidates.

Michelle: Contractor rates for banking & financial services roles are generally the equivalent of permanent rates, e.g. a candidate looking for $100k could typically expect $50 per hour (depending on the role of course!). In some cases, there have been slightly higher contract rates as the market tightens for high calibre candidates.

2. How do employers typically treat contractors?

Jonathan: Most employers bring in a contractor to deliver a specific piece of work and they are usually deployed within a programme with other contractors and some permanent resource. Employers typically integrate their contractors into their environment and include them in Friday drinks and social events.

Rebecca: Contractors are a very important resource to all employers. They are often highly regarded in organisations as they are providing a service that assists existing full time employees with their work loads or are assisting with a particular project. Often contractors are expected to pick up processes and systems very quickly and often without adequate training. Employers expect contractors to hit the ground running and be completely flexible with not only their time but their workload.

Michelle: Contractors tend to be treated like any other employee minus employee benefits, so they are normally welcome to take part in any social events, team building, morning teas etc.

3. How long is a typical recruitment process for contract roles?

Jonathan: Typical contract recruitment period for IT roles is 3-4 days.

Rebecca: The turnaround time for contract recruitment on average is usually 2 days. It can be much quicker i.e. a couple of hours. It often depends on how quickly the employer needs a contractor on board and if they wish to interview potential contractors before hiring them.

Michelle: Generally 1 -3 days, from the time where your CV is represented, the interview process and job offer. Most contract roles only have one interview, so the process is able to move much quicker than for permanent positions.

4. Can contract roles lead to permanent opportunities?

Jonathan: Yes but it is essential that we highlight this as a possibility when we are engaging with a prospective contract candidate.

Rebecca: Contract roles can absolutely lead to permanent opportunities. It often gives both the employer and contractor time to get to know their colleagues and understand the organisation and ascertain whether they make a good fit. It is a great opportunity for the contractor to make a good impression and showcase their technical abilities. Very often changes can happen quite quickly within organisations such as resignations, creating new opportunities that will typically be made available to all internal candidates including contractors.

Michelle: Often contract roles lead to permanent opportunities.  It’s depends on the capability of the candidate and also the opportunities at the time within the organisation.