Company sacked IT Contractor who was earning too much

Company Sacked IT Contractor
Company Sacked IT Contractor for earning too much money

Company Sacked IT Contractor George

A company sacked IT Contractor, George, and he shares his experience here with you.

Sackings and Rate Cuts
IT Contractor Sackings and Rate Cuts

I got a contract with a major company, my best rate so far.

However two months into the contract they have given me my notice.

Reason the manager has given is there is not enough work and my rate is very high compared to other contractors.

I find this quite disgusting, why did they agree to the rate in this first place?

I did offer to bring my rate down to match the other contractors; but they refused, apparently I am earning 20% more than the others!

Also they have offered me a permanent position.

Dr. McLaughlin‘s IT Contractor Surgery

Yes, I know the feeling.

I was always a good negotiator and throughout my career I got good rates and good uplifts at renewals.

However, when clients are looking to cut down on the number of contractors, they often just get rid of the higher paid ones and keep the lower paid ones.

It happened to me several times.

Below Market Rates

Sack and the IT Contractor
Sack and the IT Contractor

Whereas my brother was always on or below the market rate but was continually working.

It‘s a dilemma!

One likes to be on as much money as one can but, as we know, staying in work is the most important thing for the successful contractor.

This company sacked IT Contractor George for earning too much.

Has this happened to you or anyone you know?

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    1. That happened to me. I was on $40 per hour when the time came to renew my contract. I mentioned to HR that I would like a raise, saying that the usual rate for what I was doing was $65 per hour. I had hoped they would increase my hourly rate by $5 or even $10 but they gave me the full $25 extra, asking me not to tell anyone else what I was earning. Then several months later the company ran into financial difficulties and I was let go.


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