Are Contract Opportunities Right For You?
Being a contract recruiter, the question that I am often asked by job seekers is “Why should I consider contract positions?” In this article, I will try to answer the following questions:
- What is a contract job? And what types of contract job are there in the market?
- Do contractors receive the remuneration package from the company?
- Why should I consider contract opportunities?
As a matter of fact, contract positions always give people the perception that it is relatively unstable, compared with permanent positions. However, in this ever-changing market, with sudden layoffs and department, a lot of jobs are not guaranteed to be stable, thus work stability can only be seen as an illusion.
Before shutting the doors to contract positions, let me list out all the important factors of contract positions.
Please note that there are different contract positions offered in the market, the following types that I will go through are based on a full-time employment contract, which is the main stream in Hong Kong. Before you apply to a certain contract position, be sure to consult your recruiter on the type of contract you sign up for.
Temp-to-perm contract: In a given time frame, the contract is going to be converted to permanent.
Fixed-term contract: The time frame of the contract is fixed, so there will be no chance to convert the contract to a permanent hiring. An example of a fixed term contract would be a project assignment or sick leave coverage for a permanent employee of the company.
Renewable contract: The signed contract is renewable, if required. Either the employee or the contractor has the right not to extend the contract.
Other than the types of contract, another frequently asked question is “Do contractors receive any benefits?” The answer is YES they do. However, there is no standard policy. Different companies have their own employee benefits.
Benefits: Of course contractors receive benefits, however there is no standard for all contract positions but the benefits are regulated under the Hong Kong Labor Law. Some contract roles are even eligible for contract completion bonus.
Why should one consider a contract position?
For the over-thinkers: Being in a contract role is always a way to gain insights of an organisation within a short period of time. Since not everyone has a clear career path planned out right at the beginning, a contract role can be an opportunity for the job seekers to challenge themselves by exploring different fields.
For professionals: Contract jobs give you the chance to put your feet into the company that you want to work for, and it will benefit those whose want to keep their particular skills sharpened.
Take a look at the American/ European economy, contracting is starting to be the game changer across all sectors and it is inevitable that Hong Kong follows that trend.