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BP IT contractors latest to suffer contract rate cuts

Published on Feb 20, 2009 | | Contract Rate Checker

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BP is the latest company to tell its IT contractors to accept an across-the-board rate cut, or find themselves alternative work.

The oil giant follows dozens of other companies in reducing spend on IT contractors.

Last year, the cuts were initially restricted to the financial services world, but now rate culls are becoming increasingly commonplace across industry sectors.

BP has asked its 900-strong contractor workforce to accept a 10% rate cut, with an effective date of March 1st 2009.

IT contractors were told via email of the impending rate cut: "Given the impact of the deflationary economic environment, BP is taking the first step to align IT contractor charge rates with current market conditions," they were told.

Worryingly, the affected contractors were reportedly only given two days from receipt to respond to the rate cut request.