Agency cannot agree rate with end client: how do I proceed?

[dweezil]

I have an agency problem: how should I handle the agency? Can I ditch them or am I liable for their costs?

I have told the agency I need a resolution: should I provide a deadline then walk away from them? This agency has spent a lot of time trying to make this deal happen. The role has been advertised for months inside IR35 but has been changed and is now outside (since about 2 weeks ago). Negotiations in respect of placing me would have started at that point.

What is the correct format in which to terminate with the agency. I am aware that I may be "burning bridges" but they will obviously lose the money they spent on negotiating which will have been considerable. Will I be liable for their costs?

Really the end client is expecting a lot for the money. They are paying a low rate given the work they want done. But I suspect I need to use a different agency, or go direct, to take up this work. Unfortunately I really need the work now.

I know this agency is asking for more commission than other agencies charge but they are a very good agency.

[Lance]

what have you signed with them?
If you've used them before for the same client you may struggle to just ditch them.

[LondonManc]

Do you eat steak or cheese ffs?

Say to A that you're known to the end clients, multiple visits and extensions - do they want the business or not.

[TheCyclingProgrammer]

I'm confused - how can you have an agreement with the agency if the agency doesn't have an agreement with the end client.

You tell the agency the rate you expect, they tell you what the client is offering, you all negotiate and come to an agreement. If you cannot reach an agreement on rate there is no contract and nothing to terminate. You have no obligation to do any work for the agency without an agreement.

If the client won't budget and you won't budge, then keep looking elsewhere.

[dweezil]

what have you signed with them?
If you've used them before for the same client you may struggle to just ditch them.

I've never worked for this client through them before. I've signed nothing in respect of this role.

[dweezil]

Do you eat steak or cheese ffs?

Say to A that you're known to the end clients, multiple visits and extensions - do they want the business or not.

OK. I need to push. They didn't really have to do that much, I know...

[northernladuk]

I'm confused - how can you have an agreement with the agency if the agency doesn't have an agreement with the end client.

You tell the agency the rate you expect, they tell you what the client is offering, you all negotiate and come to an agreement. If you cannot reach an agreement on rate there is no contract and nothing to terminate. You have no obligation to do any work for the agency without an agreement.

If the client won't budget and you won't budge, then keep looking elsewhere.

I'm a little confused about the situation but the above covers the general situation.

If that doesn't suit your situation I think you need explain in a more structured way.

[dweezil]

I'm confused - how can you have an agreement with the agency if the agency doesn't have an agreement with the end client.

You tell the agency the rate you expect, they tell you what the client is offering, you all negotiate and come to an agreement. If you cannot reach an agreement on rate there is no contract and nothing to terminate. You have no obligation to do any work for the agency without an agreement.

If the client won't budget and you won't budge, then keep looking elsewhere.

So I am free to approach this end client direct and bypass this agency? I understood that there was a contract between me and the agency that they would represent me in this role. Is that incorrect?

This work is there for me, right now. The end client is holding out to use me. I don't want to look elsewhere: I've been on the bench for over a month now and cashflow is looking poor.

[dweezil]

I'm a little confused about the situation but the above covers the general situation.

If that doesn't suit your situation I think you need explain in a more structured way.

Unfortunately my original post included more detail but I didn't want the situation to be recognisable by the agent concerned, who may read this board, and removed it.

Am I correct to think that there is no contract between me and the agency to represent me for this role? Am I free to approach people at the site direct and negotiate a contract via any other route?

I know for a fact that this agent requires a percentage commission above the "allowed maximum" at this site. Also, though, this agent is a very good one to work through as he has many good connections. Probably the best agent in my sector as far as I can tell.

He is honest in that he explained to me the difference between the cut he was being offered, vs what he demanded. But I can't afford to hang around much longer.

[Lance]

Am I correct to think that there is no contract between me and the agency to represent me for this role? Am I free to approach people at the site direct and negotiate a contract via any other route?

I don't know. What have you agreed? In writing or verbally.