When transitioning from a contract position to permanent employment, it`s common for your salary to change. This change can be positive or negative, depending on the terms of your contract and your negotiating skills.
Before diving into the nitty-gritty of contract to hire salary changes, it`s important to understand the differences between these types of employment. A contract position is typically a temporary job with set start and end dates. The terms of your employment are defined by a contract that outlines your duties, pay, and benefits. A contract position is often used to fill a temporary staffing need or to complete a specific project.
On the other hand, a permanent or full-time position is just that – a long-term job with no predetermined end date. Full-time employees receive benefits, such as healthcare and retirement plans, that aren`t typically offered to contract workers. Full-time employees are also often eligible for bonuses and promotions that aren`t extended to contractors.
When transitioning from a contract position to a full-time role, your salary can change for several reasons. First, if you were working as a contractor through a staffing agency, the agency may have been taking a cut of your hourly rate. When you transition to a full-time position, you`ll likely negotiate a new salary that doesn`t include the agency cut.
Secondly, if your contract position had a set hourly rate that didn`t include benefits or vacation time, your new salary as a full-time employee will likely be higher to compensate for those added perks.
On the other hand, if your contract hourly rate included benefits and vacation time, your new salary may actually be lower as a full-time employee.
Before accepting a full-time position, it`s important to negotiate your salary to ensure that you`ll be fairly compensated for your skills and experience. Research comparable salaries in your area and industry to determine a reasonable starting point for negotiations. Be prepared to provide evidence of your accomplishments and value to the company during these negotiations.
In conclusion, transitioning from a contract position to a full-time job can be an exciting opportunity to secure a more stable and fulfilling employment situation. However, it`s crucial to carefully consider and negotiate your salary to ensure that you are being fairly compensated for your work.