Re: Hiring Publications Managers
Isn't the "extra money" that contractors get paid in lieu of the "Benifits" that the captive employees receive? And isn't the excuse, or justification for using contractors that they actually cost less than a captive employee.
I've always wondered about that. The bottom line is never what you pay upfront for anything.
Yes, indeed. I pay my own UI and CPP (unemployment insurance and Canada Pension), both the employee's share AND the employer's share. I also pay my own income tax rather than have it deducted at source.
I have to pay for all my own benefits -- and while health care is significantly cheaper here in Canada, I do have to have some supplemental insurance (and my income tax rate is SIGNIFICANTLY higher than that of my US counterparts).
When I was writing proposals for an engineering firm, we calculated burdened labour as 1.4 to 1.7 times base salary.
Then there are the operating expenses: I also have to purchase and maintain all of my own equipment and software, AND pay for any and all training and education, advertising, licenses and professional memberships, supplies, and books.
Think of everything you do and everything you use in the course of a year as a captive employee. I have to pay for it myself, and I don't get any discounts for bulk purchases the way larger companies do.
As business owners, we take a significant financial risk. Believe me, we EARN the extra dollars. It's not a reward, it's a necessity.
And as for longevity and loyalty, I had one contract run for five and a half years. The only reason we parted company is because the client was bought by a large US firm that had its own tech pubs department. The contract that followed ran for 18 months -- at the one year mark they offered me permanent employment.
mailto:winday -at- wordsplus -dot- net
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