Contract positions are those that offer a candidate’s services to a company on a temporary basis.
Regular Contractors who invoice for their time via a Limited Company or Umbrella Company are often referred to as freelancers. They are usually assigned at a fixed hourly rate of pay for a fixed period of time and are paid weekly or monthly, with the amount reflecting the hours signed-off by the candidate’s line manager (on weekly timesheets).
Contractors often earn substantially more than a permanent member of staff would on an annual salary. This is because there is less future job security in a short-term role and there are some benefits contractors are not entitled to although since the AWR regulations have been put in place this has been improved.
Assignments are expected to, and almost always do, run for their whole duration. However, there is usually a notice period of 1 month built into a contract for either party to terminate. Contracts should only be prematurely terminated due to unexpected circumstances.
Contractors are not employees of the company and are generally required to cover themselves with Professional Liability insurance. Umbrella companies usually include this type of insurance.
For more information contact your Arc7 Consultant on +44 (0) 1483 397070.