Contract-to-hire is legit, but it's also crap. Basically, treat it as a contract and don't count on the "to hire" part. They might hire you -- but they don't have to, even if you do a good job. They're under no obligation.
As for doing contract work through an agency: it can be great, it can be bad. It depends on the agency. I worked as a tech writer through an agency for seven years. It was a small outfit that mainly handled tech writers. The owner had been a former tech writer, knew his stuff, and knew how to match the right guy with the right job. He also paid regularly (on W2) and on time, even when the client was slow to pay _him._ If there were problems on a job, Tim would hear both sides of the story. And he had a lot of contacts and was good at getting work. Writers who signed on with him tended to stay.
That said, not all agencies are that good. Some agencies send you out to jobs you aren't qualified for, don't have anyone who knows you personally (so when a job drifts by they don't think "Bob could do that one."). Some agents like to think that they own you, and will try to make you sign agreements that limit your ability to contact _any_ employer that they made contact with on your behalf, even if it was just faxing a resume.
So, it's a good way to work -- IF you have a good agency and IF there's a lot of work out there. Because you do have to job-hunt every few months. And if there's no work, there's no work. Here in the Bay Area, there are a whole lot of people chasing after not that many contract IT jobs right now. On the bright side, a good number of 3- and six-month contracts get extended one, two, or three times. And if you have an in-demand skill, your odds will be better.
And you're right, the exposure to all sorts of different environments, technologies, and software is very valuable. In my experience, employers are a little less picky on qualifications for a contractor than a permanent hire, so you can end up doing stuff you'd never be considered for on a permanent basis. And that gets you good experience that can lead to permanent jobs later.
Sometimes, my old agent would help the process along. He'd send me out and say, "They're going to ask if you know XYZWare -- say yes," and I would. Then when I got the job, Tim would sling a copy of XYZWare at me to take home and play with. By the time I reported to work, I -did- know it. And I've done that on my own as well.
Anyway, I was perfectly happy working this way through the '90s -- but there were loads of IT jobs in the '90s, and now a lot of all that -- including tech writing jobs, increasingly -- has headed offshore. So the one thing I would say is, this may or may not be a valid way for you to make a living. If you want security in this day and age, this may not be the way to go. I'd be hesitant to give up a perm job for a contract right now, unless 1) I really hated my job, 2) the contract was long-term (nine months at least, a year would be better), 3) the money was great, and 4) I had a hot skill that I was pretty sure would keep me in demand.
Last edited by Rodney; 03-08-2006 at 01:56 PM..
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