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But isn't it expensive and complicated to hire IT contractors?

  • Publish Date: Posted about 3 years ago
  • Author:by Orla Fitzsimons

There is a common misconception in the market that perceives IT Contractors as a very expensive and more complicated hire than a permanent employee, but this is not the case!

Do you want a great competitive advantage? Then you might want to consider a contractor, whether simply as a temporary solution until a hard-to-find permanent hire is found or to afford you the specialist skills that only a contractor can bring to win a large business project.

VANRATH have been placing contractors into Software Houses and local SME’s for over 10 years, and below our specialist contract consultant Orla  gives some more detail about why an IT contractor could be a good choice for your business-

1) Contingency planning - Cost saving solutions 

The effects of the pandemic have left an atmosphere of uncertainty for the financial future of many businesses. Contractors are cost-effective resources to accommodate project-driven demands and unexpected upturn in internal operations and systems. Outsourcing is a great way of saving money in comparison to taking on permanent employees. Consider the following:

  • No holiday, sick or overtime pay

  • Reduced overhead costs

  • Insurance covered by agency

  • Tax and pension dealt with by contractor

  • Controlled staffing budget


  2) Innovation – new skills and ideas!

Businesses today have a wide range of requirements that permanent staff simply do not have the capacity, or necessarily the skills, required to meet. Organisations have a constant need for expertise from third parties, particularly for new project implementations at short-term notice.

The advances in emerging technology may mean some projects require rare and specialist skills only required for the duration of the project. You are more likely to find a contractor with these rare and specialist skills due to their exposure in the market.

Fixed-term contractors or temp workers are often better performers than those in permanent positions because of their exposure to other more advanced companies. They are specialists in their field due to the various working environments they’ve worked in, meaning they can offer unique insights and solutions to existing company problems.

Contractors can help you avert internal company bias and help facilitate conflicting perceptions to help direct the business in the most effective way possible. Their fresh perspectives can help organisations to gain new ideas and implement required changes.


3) Flexibility 

Contractors offer the advantage of flexible working hours and willingness to accommodate inevitable changes during their contract. Today, many of our clients view this key attribute as an essential ingredient for success and something only achieved through contracted staff.


4) Quick fixes to employee headcount

Contractors offer a quick fix solution to regular employee absences which can impact on business productivity and team motivation. Whether its maternity leave, sick leave or peak season annual leave, contractors can be very helpful short-term solutions, eliminating the need to take on new and costly permanent employees by bridging shortages internal skills and headcount gaps.

Fixed-term contractors or temp workers are often specialists in their field due to the various working environments they’ve worked in, meaning they can offer unique insights and solutions to existing company problems.

Project implementation or company change projects require contractors that are readily available with the technical ability and strength to perform to a high standard from day one. Contractors for many organisations is a key and strategic resource that do not require resources such as training schemes or the time and effort of internal staff compared to permanent hires.


5) Try before you buy - Expert temporary fulfilment when looking for a permanent hire

Searching for the best quality permanent staff in the market can take some time to complete, with the period between interview to offer stage often taking several weeks. The notice period for middle to senior level professionals also needs to be taken into consideration, as this can be 3 or even 6 months, and without careful planning business critical work can be delayed.

Contractors offer employers the flexibility to search for expert permanent staff whilst the interim period is fulfilled with highly skilled temporary professionals who can maintain the quality of work during this time. Contractors relieve pressure for hiring managers, preventing the hiring process from being rushed - ensuring you hire a high-quality permanent headcount whilst not impacting on the business performance during this period.


So, Should I Use A Specialist Contract Recruitment Company? 

Businesses will often choose to take on contractors via a reputable recruitment business (rather than direct) because they lack the time, resources, and expertise (of contracting) to recruit effectively.

The legal framework surrounding contracting is also quite different to permanent. A reputable recruitment business like VANRATH will be ISO accredited and members of relevant professional bodies; for example, the REC (Recruitment and Employment Confederation) and will have robust contractual documentation processes which clearly defines the relationships and responsibilities of all parties up and down the supply chain. They also operate a strict compliance audit process that protects all parties and meets the legal obligations and requirements of HMRC etc.

Many contractors also choose to work through trusted recruitment businesses in their industry because of their relevant experience of working with contractors (often recommended by fellow contractors). These recruitment businesses offer value added support and advice as part of the service.

One thing is for certain; the UK economy has and always will rely on the flexibility and skills that a contingent workforce provides. Understanding the advantages of hiring a contractor will provide business leaders with the best chance of addressing their skills needs. Should you need any more information, please get in touch with our contracting specialists Orla Fitzsimons on or call 02890 330 250.