My friend Simon pointed me to this post this morning. It was an interesting read about some common complaints about the rates at which contractors get charged out to employers.
I can't say that my contacting arrangement is the same as this as I am not sure what amount my agency takes (I certainly don't think it is exorbitant), but I think there may be other significant price hikes elsewhere. In my contract, my employer has me deployed out to a client's site. Between myself and the end client, there are several companies (agency, management company, employer, and my employers parent company). They will all be taking their cut, but I wonder how much.
I have recently talked to some internal people who believe that the rate at which the client ultimately pays for contractors is around three times as much as what I get. Someone is earning a healthy living.
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