Like everything else contract work also has a less advantageous side. Contract workers cannot be as loyal to the organization as the permanent staff. Contract workers usually have the option to leave if they find a better situation, which they usually do. The employer should ensure that the payments, working environment and all conditions are satisfactory so that the contracts complete the project satisfactorily. Additionally, contractors bring contemporary skills to the project. This should not deter the employer in the hiring for his permanent staff. Sometimes although it is cheaper to hire foreign labor, employers can find it difficult to sponsor such workers on a permanent basis.
Recruitment agencies with contract workers have usually fulfilled all pre-requisites for foreign labor, and they can be contracted to work without hassles. When deciding to go into contract employment, workers must also think about the advantages and disadvantages associated with contract employment. Some these advantages may outweigh advantages enjoyed by permanent workers, or permanent work might seem a better deal. Within some sectors such as the Oil and Gas sector, which recruits mostly on a contract basis, contract rates have risen faster than salaries due to greater demand and scarce supply or workers. Since contract work may not be regular, and does not offer many benefits associated with permanent employment, many individuals would prefer permanent employment at lower salaries. Some individuals also reject contract work due to concerns that it hinders the prospects of gaining charter-ship.
Contract workers usually have better chances of experiencing diversified environments, and gain skills that help advances careers. Contract workers are usually more likely to be exposed to different working situation where they learn different skills as opposed to permanent employees. Contract workers can exercise greater control over when and where to work, and who to work for. They can even choose the length of the contract. Permanent workers face greater restrictions than contract workers, and this induces permanent workers to opt for contract work. Contract workers have greater opportunities of widening their contracts both socially and as expanding their network to avail greater opportunities.
Contract workers form relationships with people they meet at different projects, and can keep up with new innovations and developments related to their work. These new contacts and skills can create important links for future career opportunities. Project manager usually have very tight deadlines to meet, so they prefer contract workers with the right skills, instead of training permanent employees. This saves time and also money in the long run. Conditions for contract workers are different, which affords both the employer and the worker greater flexibility. Contract workers can choose when to take time off and can have longer holidays than permanent workers.
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