Wednesday, July 30, 2008

Sometimes, when peopel are hired by staffing companies, they get hired by the clients eventually


Sometimes, when people are hired by staffing companies and placed with clients, they eventually may be offered permanent positions with the client if they fit in. Back in 1988, I had interviewed with Cutler-Williams for a possible position with Texas Utilities that would have worked this way. Sometimes that is the arrangement in advance.

Other times that sort of migration may be resisted, and be prohibited by non-compete clauses. This may be the case particularly when someone wants to go from employee (or corp-to-corp) to freelance for higher rate.

The mentality that encourage freelancing had grown in the 1980s, as mainstream employers, sometimes under pressure because of leveraged buyouts or threats of hostile takeovers, began to feel the pressure of employee benefits on the bottom line. Employers reduced the numbers of layers of reporting and increased the “span of control.” For a long time, that environment helped create the desirability of the “hands on” consultant as opposed to career employee, sometimes stuck in “middle management.”

Chip Camden has a related article in the “IT Consultant” blog at Tech Republic, from July 21, 2008, “Harassed for Attempting to Transition from Employee to Consultant”, link here.

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