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I was wondering if anyone else is noticing this trend. Major employers who hire people through third part agencies for long term positions, but there are no benefits involved other than a paycheck.
I'm a writer and was laid off in 2009 from a job with benefits. The only work I've been able to find is as a contractor. In my current position, I make good money (typical technical writer pay) but have been working for over a year with no benefits. Since I have a family to help support, I need the money and therefore haven't had a day off in over a year.
So I interviewed for another job that involves writing, may pay a little more than I'm currently making, but again, it's a contract job. They say they're looking for someone for at least a year and probably 2 years. This too is a major company. But like my current job, no paid holidays, no sick time, no paid time off at all. I asked the recruiter why this job would be on contract, and she really wouldn't answer the question.
In my current position, I'm estimating that the company I work for has paid the third party agency around $40K in the past year, on top of my salary. How does this make sense for a company to do this? My benefits wouldn't have cost them $40K. Why are companies doing this? Any clues? Or is this just the "new normal" in America. Work your ass off year after year with zero benefits or time off.
Yep the permatemp phenomena has become a plague to STEM graduates. Where I work people get hired they last 2 to 3 years, they finally either get hired permanent (to a different company) or give up and pursue a career change and the cycle repeats.
Companies like having an army of disposable employees that they can get rid of with one phone call and classify as a business expense rather than head count (labor) cost.
Yep the permatemp phenomena has become a plague to STEM graduates. Where I work people get hired they last 2 to 3 years, they finally either get hired permanent (to a different company) or give up and pursue a career change and the cycle repeats.
Companies like having an army of disposable employees that they can get rid of with one phone call and classify as a business expense rather than head count (labor) cost.
I still can't figure out how it benefits a company to have me as a temp at my salary level though. On a day-to-day basis, I can forget that I'm not a perm. employee... until those around me start talking about vacations, time off, sick days... and then I feel like the second class employee that I am. And I get nothing from the agency I work through. I'm making them big bucks, but never here a word from them!
Well I filed an SS-8 with the IRS with my agency/employer because the dumb@sses thought they could not pay payroll taxes by declaring me an independent contractor (meaning I have to pay an extra 7.5% of my income for the employer portion of SS and medicare).
I think the company I work for is the slimiest, dumbest corporation on Earth. I could tell you stories all day how they purchased two $200K state of the art analytical chemistry aparati and they are now gathering dust likely for the rest of time (and they are still paying the service contract for them). They p*ss all their talent away. They are having trouble retaining their directly employed employees let alone their permatemps. I honestly have no idea how they survive other than they are big and a recognizable household name.
And to top it all off I get these daily pep emails from the CEO stating how they are one of the most ethical companies in the USA. I guess in their retarded vision recycling and organizing community cleanup events makes them an ethical company.
Generally there is no room for negotiation. Anyone with other options wouldn't work for one of those pimp agencies. The agency is looking for the cheapest acceptable candidate to give to the client so they can skim as much off the client and pay out as little as possible.
This is the new norm for this country. I haven't worked a permanent job in this state since I got here in 2003 and have little faith that I will ever again as long as I live here. Guess what? If you aren't willing to hire me permanent then you don't have my loyalty.
OP.... can't you negotiate things like that with your contract house? I.e. benefits, vacation time?
I'm pretty sure the coworkers I have now who are contractors are getting benefits/vacation from their companies.
I tried and the told me no. A company I just interviewed with for another contract position told me the same thing. They said that "since the economic downturn, we stopped offering paid holidays, sick time, and PTO of any kind".
I have worked as a contractor for 4 years at a company without vacation time but I do get benefits
They do offer "Medical and Dental", which is a total joke. It's about as "bottom of the barrel" as you can get for health insurance. I'm on my spouse's health insurance instead.
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