If you’re in the job market as of late and have been in touch with any recruiters, it’s likely you’ve heard the phrase “contract to hire” brought up at some point. This isn’t a new term in the world, but it’s something you should be keenly aware of, especially if you’re in the technology field, where contract to hire can be the norm when dealing with many companies.
Maybe this is something that you’re not too familiar with, but if that’s the case, we’ve leveraged a great article that describes exactly what a contract to hire position is.
What is a contract to hire position?
A contract to hire position is a term used in the staffing world to describe a position where you are placed at a company, initially as a contractor making an hourly rate. Following a specified time period, typically three, six or twelve months, your employment is evaluated and you are then made a permanent full-time employee. Once a full-time employee, you no longer have any ties or connections to the recruiter company that placed you.
With a contract-to-hire position, you are placed with the INTENTION of going from a contract employee to a permanent employee, although neither the recruiting agency, potential full-time employer or yourself are under any contractual obligation to make sure you convert to permanent employee status.
The key word here in this discussions is that there is no guarantee that you will ever convert as a permanent employee for the company in which you sign a contract to hire agreement with, which can be bad especially if you have to support a family and want stability in your career. To that effect, it’s highly important that you are aware of how to approach this scenario so that you can cover yourself effectively if things go south in the career search.
Make sure when you’re speaking to someone about a contract to hire role, that you are determining if they’ve ever placed someone with that company before, if they’ve ever converted permanently and if it’s a great company to work for. You don’t want to end up in a bad situation because the company isn’t a good one, that can certainly hurt you in the long run.
In addition to determing if a contract to hire position might add value to your career and where you’re looking to go, I’d suggest checking out LinkedIn to see if anyone has ever left the company or been labeled a contractor in their job description and do a little examination on your end to determine if this is a place that you can really stay at in the long run!
Do you need more information about what contract to hire jobs really are? Check out this video below from Rob, that details exactly what the type of role entails and how you can prepare yourself for the potential outcomes! Be smart and intelligent as to how you approach these type of roles, as Rob specifically discusses below, because if you’re not, a contract to hire position can potentially hurt you in the long-run within your career!