Contractual Work: A Good Option?

Posted on Nov 8th 2009, 10:32 am, under Career Advice

You may be one of the millions of Americans who were let go due to the recession, or you may be a fresh graduate who has yet to land his or her first job. Whatever the reason, you need a job, and times are indeed tough. But have you ever considered doing contract work? If you are interested in the idea, here are a few things for you to think about:

The Pros:

There are some definite advantages to contractual work. First of all, you can get hired a lot faster than you would as a permanent employee. During these tough times, contract openings are getting easier to find. Increasing numbers of companies are turning to contractual workers in order to deal with today's uncertain market.

As a consultant or contractual worker, you also have a chance to try out work in a new position or industry without the commitment a permanent position entails. If you decide that this job doesn't really suit your needs or skills, you can move on without too much difficulty. Some people actually prefer working in this kind of setting: it's fast-paced and challenging, the objectives are clearly defined, and you have more freedom because of your limited commitment. 

Second, joining a company as a contractual employee lets you bypass the often more stringent requirements for permanent positions. Better yet, if you do well and your employers like your performance, they might even offer you a long-term job.

Third, it's a great way to put some credible work experience your resume, especially if you're a fresh graduate or a newcomer to job hunting. In addition to this, you can use your time in the new company to enlarge your professional network. You get to build natural working relationships with new colleagues and clients. See if your contacts can help you land the kind of job you're ultimately aiming for.

Finally, contractual work provides you with a much-needed boost in confidence. With unemployment still running high, any kind of work, even a short-term job, can change your outlook and attitude. This confidence will naturally emerge as you continue your search for a permanent position. 

The Cons:

Obviously, as the term implies, contractual work doesn't offer much job security. Unless you're able to get a contractual-to-permanent position, you'll have to worry about your next job once the contract period ends. Plus, contractors are usually the first ones to be released when companies enter financial difficulties.

In addition, you can't expect your benefits to match those of permanent employees; in fact, sometimes you may not be eligible to receive them at all. This may not be too much of a problem if you have a spouse with benefits.

Lastly, working as a contract employee can distract you from your search for a permanent job. If you see contracting as a temporary solution, make sure that you keep looking for long-term openings in your free time.