Long-term contractor unemployment low despite downturn

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Long-term contractor unemployment low despite downturn

Posted Apr 14, 2009

New research suggests that the number of long-term unemployed contractors is far lower than it was five years ago.

Despite the effects of the downturn, the survey results from contractor service provider, Giant Group, show that just 7.5% of contractors are on the bench for 90 days or more compared to 13% towards the end of 2003.

62% of the contractors surveyed said they'd opt for a longer-term contract over higher rates of pay, compared to 56% back in 2003.

Unsurprisingly, confidence in the financial sector as a potential source of contract work has plummeted, whilst more contractors have faith in public sector prospects than they did in 2003.

30% of contractors believe they be able to source more contract work in the public sector, compared to just 13% five years ago.

Matthew Brown, Giant's MD, commented:

"Despite the current problems that IT contractors are faced with they are still faring far better than they were following the dot com crash."

"IT departments were pared to the bone after the 2001/02 crash and have been cautious about vanity projects ever since.

"This means that IT departments are much leaner going into the current downturn and IT Directors have far less fat to trim."

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