Yes, absolutely you should!
You have nothing to lose and everything to gain from just a few minutes of your time.
Fact is most positions are filled without advertising (up to 80% according to statistics). Advertising is expensive and sometimes difficult to do because of company policies and procedures. Résumé filtering and interviewing several candidates is time consuming so if a prospective employer has a résumé in hand for someone that has the skills needed they may simply offer a position without the hassles of advertising and the selection process. Some employers also like receiving these inquiries because it demonstrates motivation, resourcefulness, drive and a desire to work for their company.
Unsolicited résumés are especially useful if you want to work for a specific company. Don’t send an unsolicited résumé to the Human Resources (HR) department because they don’t know what to do with it (most will simply discard it). Send the résumé to the manager or supervisor of the department you want to work in, and address it in their name (it will take a little sleuthing, or cold calling, to find their names). These are the people that identify the need to the HR department. Send an occasional update to your résumé. There is nothing wrong with a little advertising.
People and companies are often unsure what to do with unsolicited résumés. Help them out by indicating your intentions on the cover letter, such as:
- state you're not responding to an advertisement but would like to work with them (unsolicited résumé)
- the department and the type of job you are looking for
- why you are qualified for the job
- why you want to work for their company
Do not call to check on a résumé before a decision is made. Some employers will consider this as a negative on your applicatrion, especially if the advertisement says no calls. Best to wait until the decision date is complete, about a week after the due date of the résumé.
Employers often don’t send responses for rejected résumés because it’s too time consuming. An advertised entry level position may draw several hundred résumés; it takes a considerable amount of time to reply to each one of them and companies often do not have the personnel resources. If you haven’t received a call it may be because they decided to promote from within, or more qualified candidates have applied. May be a good opportunity to re-examine your résumé and cover letter.
Although they will not change their decision based on a call there may be instances when you can call after the anticipated decision. Be careful as some people do not like any calls of this nature, so be prepared for rudeness at the other end of the line. Best is to call earlier in the day when there is less stress. Be brief, pleasant and be very humble on the phone (praise the company and the industry), and ask if they anticipate hiring again in the future, or if there are other companies in the industry that may be hiring.
There are several styles that are recommended by different people. I tend to disagree with a single page résumé. In my opinion, a two page résumé is best because one page is too brief and compressed, and three is too long. I feel that it should take more that one page for all the sections of a résumé, including a description of experience and education. Résumés should also have some white space. The only exception is your résumé for on-line applications as there may be length restrictions. Do not submit a double-sided résumé.
Please don't. This advise is from people that obviously haven't tried dealing with a stack of over 100 résumés where paper clips grab adjacent résumés, cover letters become separated and paper clips go missing. It's a mess. Use a staple in the far corner of the paper. I cannot think of a single reason why someone would want to separate the pages of a résumé. Professional interviewers never write notes directly on a résumé ( if they do they likely have limited training on interviewing).
How can you get experience if nobody will hire you because you don’t have experience? Everyone that has a career today has faced this dilemma. Here are some thoughts and considerations:
First, lets consider why they ask for experience. One of the primary reasons they ask for experience for an otherwise "entry-level" position is to see that the applicant has the basic skills required for holding down a job. This includes coming to work on time every time, able to develop a good work ethic, has good interpersonal skills, is able to learn new skills and has a sense of business flow. Appease to this by emphasizing your experience and strengths on these points.
If an advertisement asks for experience that you feel you may not have, apply anyway. It’s only a few minutes of your time to send out a résumé and cover letter. Fact is that most employers rarely get what they ask for. Consider the advertisement an employer’s “wish list”. They often need to re-examine their requirements and make concessions when selecting candidates. They will pick the best résumés they received, whether they meet the stated requirements or not.
Customize your résumé and cover letter to emphasize any related experience and education you may have. Even the most seemingly monotonous and mundane summer job has valuable experience. Employers will consider “transferable skills”, or equivalent skills that you may have achieved without direct experience. Cutting grass or working at a gas station for the summer may have added several business skills to your résumé, such as responsibility, management, training, supervising, etc…
Get experience. I know this may sound unappealing, but you should consider taking an entry-level job. Working doesn’t mean an end to the career hunt; in fact, it enhances it. You are making some money, establishing a network of contacts in the industry, are in a career mode and are gaining that valuable experience. Keep looking for that next opportunity. Even people with the poorest work ethic seem to move up, so imagine where you could land up with some drive, skill and determination. A person that I know started at a help desk and within two years was managing a critical database just because he got to know people in the company, had an excellent work ethic, took extra courses and frequently asked for more challenging work. A few years later and he is now planning and managing major IT projects making an excellent(!) income. Many companies consider the entry level position as an essential training ground to promote from, and for many companies it is policy to offer positions to existing employees first. One doesn't become a supervisor, manager, designer or expert without field experience.
Look for opportunities with smaller companies. They often cannot pay as well so they tend to attract people with less experience. Jobs with small companies are often more exciting with greater responsibility and more opportunities for a diversity of experience. They are a good "training ground" for future positions with this or other, larger companies.
Starting a career is not easy. It is disheartening to send out a stack of applications and résumés without a single response. Don’t worry, because this is the normal process for someone new on the marketplace. Stay positive and persistent. Don't consider this a loss; you just haven’t gained.
If possible, when you receive a verbal rejection, ask for the next lead. “Sorry, we’re not hiring right now” should be followed with “Do you know who might be hiring”. Remember, the person hiring knows the industry (even the competition), is aware of who might be hiring, and you play on people’s good will.
A rejection letter is not all bad news. Often rejection letters are sent only to those that are on the short-list. You may also get more names and department information for the next time you apply to that company.
Create and maintain a database of contacts. Frequently the person they hired doesn't work out and they need to restart the process of finding a candidate, and you will have a better chance the second time you apply.
When companies hire new people it's often because they are growing the department so you have a potential next job lead.
Employers will keep information on the runner-up in case the first choice doesn’t work out, or managers will pass résumés of good candidates to other internal departments.
Continue your efforts and don't be afraid to ask questions of those that you speak with.
Remember, you are selling yourself. Be in a professional sales mode. Your skills are the product; the résumé is the advertisement. If you are rejected for the job after an interview, look at it as having gained important experience. Practice makes perfect; every rejection is an opportunity to improve. Every résumé you send improves your chances of getting a job.
If you don’t think you want the job, go to the interview anyway. Here’s why:
Practice makes perfect, so you should try to secure every interview you can. Every interview is an opportunity to improve yourself so that you’re practiced for the important ones.
Another reason: The position may be better that you thought.
If you feel that you’d be in over your head technically, think again. New hires go through a period of training; it’s standard procedure for most companies. If you have foundational knowledge you’re trainable. Trust the company's judgment. They have your résumé so they know what you are capable of.
After the interview, some employers may feel that you fit a different position within their organization based on your qualifications and you may receive an offer for a more suitable position. Happened to me, and I initially didn’t want to go to the interview because I felt that the job wasn’t what I was looking for.
Be slightly overdressed for the position. Invest in clothes that fit, and are clean and comfortable.
Many hiring decisions are made in the first couple of minutes into the interview. You want to create a good first impression. Look assertive and confident.
May sound trivial, but I’ve had two bosses that assessed people by their footwear. Keep your shoes polished when applying for that office job. The opposite is true when applying for that construction job…your boots should show some wear and “experience”.
The toughest aspects of finding a job include knowing how to get started and where to look. It’s not easy looking for a job, especially if you have just graduated from college or university and are unfamiliar with the business side of the industry sector.
There are three foundations to finding a job:
- From advertisements sent to the general public such as a newspaper advertisement or a web site
- Through people you know
- Through timing, luck and determination
Your goals are to look for advertised positions and establish a social network of people in the industry.
Here are some tips for finding job leads:
Newspaper ads. Get subscriptions to the most read newspapers in your area. Want ads are expensive and often only run for a day or two so look every day (a large newspaper want ad costs $5000 or more for a single run). There are also two types of employment opportunities advertised: those direct from the companies that are hiring and those from employment agencies. Note that if a company is planning to replace a current employee or if they don’t want to let their competitors know their intentions, they may lease a box number to remain anonymous. Apply to these also, although many box numbers are actually employment agencies.
Company web sites. Many company web sites have a careers section. Keep a regular eye on these by bookmarking companies you’d be interested in working for and check them once per week.
On-line résumé database sites. These are becoming increasingly used by companies but I would suggest doing some research before posting your personal information on these types of sites. Potential problems may include identity theft, increased email spam and solicitation calls from placement agencies. Some employers would rather select candidates from these types of web sites and not have to advertise, so it is worth considering.
Cold calls. Just sending a résumé to a company without a person's name will likely be fruitless. HR departments do not keep unsolicited résumés.
A cold call is an unsolicited communication with a company or a person. A cold call is the first step in getting information that may otherwise be difficult to find. When looking for work with a specific company, a telephone call will help discover who makes or influences hiring decisions. Your goal is to find the person responsible for identifying the need for staff in the department you want to work in such as the manager or supervisor. You don’t necessarily need to speak with this person at first, just need the name and the title so that you can send a tailored unsolicited cover letter & résumé, after which a follow-up call may be made.
A typical call cycle starts with a few minutes of preparatory research on the company (don't spend too much time on this step unless you specifically want to work there). Get an idea of the structure of the company and what department you may want to work in. Aim for entry-level positions; once the communication link is established, better positions may present themselves. Next, call the company and ask questions of the receptionist. Tell her that you'd like to know the name of the person in charge of the department. You have precious little time with her, as a good receptionist protects the staff from this type of call. Getting past this gatekeeper is the fun part. Try calling at lunch time when a less experienced receptionist is at the desk.
Once you have the name of the person and have sent out a résumé call that person to confirm that they've received it. Ask if they are the appropriate person to send it to (call them in the early to mid-morning as that person will be less stressed).
Optionally you can first speak with the person and ask if you can send a résumé to their attention but this may not be as effective (for instance, if they state to not send a résumé you are done).
Other forms of cold-calling includes dropping off résumés door-to-door. This is more effective with small companies, and especially effective if you live close by. Create a generic cover letter and résumé that emphasize your soft skills, such as your ability to learn, ability to work alone or in groups, time management skills, etc.
Employment Agencies. They are middlemen, matching employers to employees. To make the hiring process easier, many companies have contracts with these types of agencies and you'll have no choice but to use that agency. If you want to work for some companies that have these arrangements you’ll be directed to the agency. The word of advice regarding agencies is that most are fine, several are excellent, but avoid them if you can find employment without them. In advertisements you may be able to identify agencies by their advertised telephone numbers or post office boxes that show up in several ads for different positions.
I am not a fan of agencies as some have caused problems for me and for people that I know personally.
People networks. Talk to people you know and let them know that you are looking for a career position. Take the time to attend free training seminars and trade shows. Join clubs that are related to your area of expertise. Get to know a group of people that can help you get a job. Keep in touch with classmates. It is true that 80% of jobs are not advertised; they are filled through word-of-mouth and good timing.
College/university services. Most colleges and universities have people dedicated to matching graduates to employers. Make sure you use their services because not only do they keep in touch with who’s hiring but they can also provide additional services such as résumé critiquing, interview tips, and industry information.
Accreditation, certification or other professional organizations. Professional organizations often have certification levels and memberships for people fresh out of school. The advantages are that you’ll receive their publications with a membership list, and this list can be used to generate a job lead. If your industry sector has such an organization, I’d suggest joining them. Such a membership will impress potential employers, especially those on the list.
Here are some specific actions you can try:
Go through newspapers daily. Look at the want ads and the listing of activities in the city. I’d suggest a subscription to have them delivered as this makes it easier to get an early start. On-line paid subscriptions of the paper may also be available. Most ads only run a couple of days, and some may only run once (ads are expensive).
Develop a list of companies in your specific industry sector by doing a little research. Keep a copied, written or typed database of these companies as a “Job Lead Worksheet”. General searches on-line are awkward, not necessarily honest and are very, very time consuming; instead, try the library for a business directory for your city (since these books are typically copyrighted the information may not be available on-line in this format). These publications will list all of the companies in your area and will sort them by:
- Industry sector
- Physical location (city and city quadrant)
- Size
- Financial size
Drive around your area and make a list of companies that may hire someone with your skills. Proximity to the employer does improve your chances for getting a job….you’re less likely to be late for work.
After developing a list of companies look for company web sites to see if they publish job openings. Bookmark these pages and check them once per week (browsers allow you to open all links within a bookmark folder). There are web sites that specifically check the career sections of many web sites. See the links section of this site for more information.
Seek activities that will put you in contact with potential employers. It is true that most positions are filled through word-of-mouth. People networks are vital to a successful and enjoyable career.
Join a club or society . Select one that attracts employed people, such as: amateur sports, robotics, model car racing, public speaking groups, political groups, Habitat for Humanity, etc. (The local knitting club may not be helpful.)
Take a night course that would cater to people in your industry. Not only will it add to the education section of your résumé, but you can socially network with the employed people in your class that share similar educational interests.
Keep in touch with classmates. They sometimes pass up opportunities that they’ve heard of or they may be employed and know of a company or department that’s hiring.
Go to trade shows or free seminars. Don’t plan to apply for jobs at trade shows or seminars but you may ask about the company and general employment opportunities. Bring a few résumés just in case you get lucky. Be considerate of their time because companies need to generate revenue at these events. For trade shows, pick up the show guide for a listing of companies. Collect company information, pamphlets and business cards. You shouldn’t register as “student”; don’t take it personally but they dislike students and unemployed people because they have no money (hint: are you perhaps a “consultant”?).
Check Government employment resource centers. Local and federal governments promote employment opportunities, resources and services to help with your job search. Some agencies even give out free bus passes to help with the search.
If you are a recent graduate, most colleges and universities have employment services. Excellent services that come highly recommended.
Change your scope. Apply to large and small companies.
Consider where else your skills can be used. If you are technically trained, there are also excellent opportunities in professional sales, technical training, product management, product evaluator, inspector, city maintenance worker, etc…
Look for technical skills on the fringes of your skills. For instance, a biologist may also work for a supplier of biology equipment.
Consider looking for lesser positions from companies that tend to promote from within.
As stated earlier, make cold calls to companies in your field of interest. Find out who is making the hiring decision, who would be managing the department you’re interested in. Maintain a database of this information. Send this person an unsolicited résumé with an appropriate cover letter describing your interest in any future job openings.
Drop off résumés to small companies in your area door-to-door, with a cover letter describing your interest in any future job openings.
Seek out and attend all job fairs. Most colleges hold job fairs. Even if you’ve graduated some time ago you are still entitled to go to these shows. In fact, employers at these fairs prefer to speak with grads because they likely have immediate openings to fill. Keep in touch with your college and watch their web site for upcoming events. Some cities have job fairs sponsored by various organizations. These should be advertised in the paper. Look for them.
Keep in touch with your college program or department head. Employers often contact the program or department head directly to ask for a graduate.
Talk to the sales staff of a company you may want to work for. Requires some verbal skill (time=money for them) but they provide more detailed information than a receptionist.
The most difficult part of finding a job is staying focused. You must work at it for at least 6 to 8 per day. Unfortunately you are at home when looking for work and its hard to stay focused will so many distractions around. Set short term goals (write them down) and stick to them. Pick an area in your house where you are away from as many distractions as possible such as a dining room or a bedroom. Leave the television off and focus your browsing to the task at hand. Consider scheduling an hour or two out of the house such as a coffee shop, library or other place where you have a table to work from, have fewer distractions and are more motivated. Use distractions as a reward (“if I do this for one hour I’ll allow myself a half hour to …”). Stay loyal to your schedule. Write your daily plan in a notebook, or create a daily checklist of things to do. An example may look like this:
- Every Morning: Go thought the newspapers and identify opportunities. Write cover letters and résumés for the newspaper ads.
- 11:00 to Noon: Look at the career section of web sites and submit résumés where appropriate.
- Noon to 1:00: Pick 5 small companies that may have job opportunities in my field of interest and find the name of the manager of the department I’m interested in (lunchtime may be the better time to call for information).
- 1:00 to 2:00: Personal time
- 2:00 to 3:00: Write unsolicited résumés to companies researched.
- Evening: Attend a meeting or other event that will put you in touch with people in the industry.
It looks difficult but if you set your mind to it, you can do it. The sooner you find employment, the sooner you can buy that stuff you wanted and get on with your professional life. It just takes one job and you have your career start. This is the motivator.
Here is my story: “My summer jobs as a student were on the family farm. Later, when I was in college, I received two summer jobs through the brother of a high school classmate."
"I was very frustrated looking for work as there were few companies in Saskatoon that were involved in my field. After a few months and desperate to find any work I applied for a job as a dry cleaning clerk for minimum wage. When I asked for an application form the lady said they had already received over 200 applications and if I don't have experience I shouldn't bother. I immediately left the store, got some empty boxes and moved out of that jobless, stagnant city. I headed east, like many people of my graduating class."
"My actual career start was through sheer luck and timing. After I had settled down in the Toronto area I copied my résumés and, with a stack of them on the front seat of my car, I handed them out door-to-door in a light industrial area near my neighbourhood. That afternoon I had 2 interviews on the spot and was working in my field the following morning. The two employers that interviewed me were thinking about hiring someone when they received my résumé, and my résumé prompted a quick decision. There wasn't anyone to compete against for the unadvertised positions. I got offered both jobs because I seemed to have what they needed. The one that I selected said that he trusted people from Saskatchewan because he was from there also (Regina was also jobless and moneyless). It was pure luck. I stayed with that company for many years until they closed down during the mini recession of the early 90's. Other career opportunities came my way because of the people I knew in industry (including competitors). For instance, for one position I received a call at home from the manager of the competition...he stated that I had "stolen" so many of his sales opportunities that he wanted me to work for him (I had never met him before). Another job lead was from someone I worked with...he had moved to another organization and they needed someone with my experience and education. I’ve held 3 different summer jobs and worked with 4 companies in my career, and none of these opportunities were advertised except one, and although I was already there working as a contractor, they had to advertise because of the organization's policy. All positions were through luck, industry contacts and through people that I knew.”
I learned that not all opportunities are advertised. Getting the word out that you are looking for work is worthwhile. It pays to keep connections with people you know.
Take the time to ask professionals how they got started. These experiences may help with your search.
My experience is that many employers are not overly concerned with your marks; most are satisfied that the candidate has completed the requirements to graduate and are more interested in your personality, adaptability and commitment but if you have good marks you should indicate it. Here are some suggestions:
- Based on a GPA scale of 4 indicate the GPA if it is 3 or over.
- Indicate your average mark if it is over 75%
Be honest, but you can be creative when it comes to stating your GPA. You can select your overall average, the average for your major(s), the average for your last semester or year, or the average for the courses or subjects that is of most interest to the employer. People tend to remember the number and not necessarily the details.
I recommend looking for work outside of an agency first but if you’re getting frustrated an agency may be an option.
There are two basic types of employment companies: hiring agencies that simply match you to an employer, and contract agencies that you work for and your services are contracted out.
Most hiring agencies are professional and will help you prepare for employment. They may offer training opportunities, benefits, and other perks. They will help you write a résumé. They’re experts at finding employment; they don’t get paid until you are hired which means they are very motivated to find you a job. They can change fairly hefty fees to employers (30% of annual wage in some cases). They can also find temporary jobs which may be advantageous to you…you can start earning some money and experience while they continue looking for a permanent position. Most agencies will work with students.
Contract agencies can find employment in your area of expertise and help you gain valuable experience. Each agency company has an area of specialty so select one that is appropriate for the industry sector you want to be in and one that staffs for permanent positions.
Unfortunately, I have also deal with and heard first-hand accounts of unscrupulous “head-hunter” hiring agencies and contract agencies. Here is some advise:
- Signed agreements with these agencies can reduce your freedom for changing jobs. Read the contract before you sign it. It is sometimes negotiable.
- Many contract agencies carry minimal if any benefits and little job security. You are essentially self-employed and carry all the risks.
- It’s almost certainly a scam if you are asked to pay an agency to find work for you because they are paid by the employer.
I've some first-hand experiences with "headhunters". See this link.
On average it takes about 3 months to get a studies-related job, but this statistic varies significantly by location, area of study, local economy and personal factors. Throughout the province of Alberta, Canada, there are more jobs than trained people to fill them. Oil & Gas and the manufacturing sectors are experiencing rapid growth despite the recession (in fact, Alberta created more jobs in the first quarter of 2011 than all of the United States). In Alberta, students are often hired before completing their studies. The more persistent you are at trying to find work the better your chances.
Many organizations use on-line agencies to find staff and see what is available. Sending your résumé on-line may be a good idea but you will need to filter some personal information out of your résumé. Your information is available to whoever wants it and the potential exists for identity theft or being the target of scams. Just keep a clear head. If you are ever offered a job from out of the country, asked to pay for a job application or are asked to handle money for a company it is a scam. Be very cautious of jobs advertised on some user-post web sites such as Craigslist or Kijiji. Never provide a birth date on-line.
The best field of study and the best career area is one in the area that you enjoy. You’ll likely spend at least 80,000 hours of your life working so it’s important that you find something that you enjoy.
If you’re not sure what that is, think of a hobby you’d like to take up, something you’d like to know about, something you have a knack at doing. Today’s North American marketplace is more equitable in terms of pay and reward for effort and skill. Pay for good mechanics and electricians can be the same as for engineers and managers.
If you are one of those people that doesn’t know what their area of interest is, don’t despair. There are resources available to help you select a career interest. High school guidance counselors are one resource but they are not necessarily the best or only source of information (see this link for more information). Colleges and universities also offer career counseling services (some charge a fee). Most colleges will allow prospective students to sit in on classes for a day to get a feel for how learning is conducted. There are a variety of tests that one can take to help determine a level of interest.
If you are driven by income and are physically fit, a university degree isn’t the only way of achieving a good wage. Many skilled trades people make 6-figure incomes with a little overtime. Have you called a plumber or an electrician lately? If you have, you’d soon realize that skilled trades people can make a considerable amount of money. I personally know electricians that have made over $200,000 in a year, of experienced drywallers that charge $130 per hour, pipefitters that charge fees that average to over $100 per hour and heavy duty mechanics that make over $100,000 per year with some overtime. There are additional bonuses and perhaps tax breaks if you are willing to live in difficult or remote locations.
Consider your driving factor, your personal motivating factor. If you are a hard worker and enjoy earning reward for achievement, virtually any field offers open-ended wage positions such as sales, trades, management and personal business ownership. If job advancement and management are your preferred route, a university education in engineering, business, or other similar marketable discipline is perhaps the greater factor for improving success in these types of roles. If stress-free jobs are what you’d prefer, if you’re more of a 9-to-5 type of person, then there are many, mostly non-management roles available.
I highly recommend a post-secondary study. It provides many more options for career advancement into the future. If you are one of those focused people who know their area of interest while in high school, it’s a good idea to get formal education soon after graduating. It’s difficult to pursue advanced studies while managing a full time career. Realize that many of the career paths after education are not solely performing the specific discipline. For instance, many engineers do very little engineering in the workforce as they tend to take on management roles. Those with a background in electronics can pursue supervisory roles, technical sales, training, planning and other areas of the electronics industry.
In terms of education, if you are unsure about a 4 year university commitment, one consideration is to take a shorter path by enrolling in a two year diploma program. Here are some points to consider:
If you plan on pursuing the Diploma route, I highly recommend building and maintaining a personal portfolio. This will prove important for future educational and career advancement. Include a copy of the course outlines.
The “dot-com” bust of 2001 took a heavy toll on IT related positions and it took graduates up to a year to find something in their discipline as there were many experienced IT people looking for work. Some decided to go back to school to take on a second diploma. Today the world economy is very different. There is a much higher demand for IT and electronics professionals, trades of all types and almost anything related to the medical field. There are numerous government publications available on line to support these statements, as well as trade magazines. Check out the employment information at www.money.cnn.com or from government agencies.
Many graduates feel completely lost after an interview. They don’t understand the technology or how the company operates. They fear they’re in over their heads. They get upset at their College or University for not having addressed a specific area of the industry in their courses.
Don’t worry. This is normal. Every employer knows there will be a period of training and acclimatization. They know you have limited experience. If you have a technical background, that foundation is used to learn something new. They will set up training and a buddy for you to work with. Once focused you will learn the trade very quickly. Trust the employer...they have a good sense of what you are capable of (as long as you did not lie on your résumé).
By the way, schools cannot possibly teach everything in the limited time that you are in school but you are taught foundational material. I was in the networking industry for half of my career and received my training from experience, vendors, co-workers and from self-study. Amount of time discussing computer networking when I was in school? Zero. Cabling? about 30 minutes.
I have met and know several self-employed people. Trades, such as plumbers, welders, mechanics, electricians, and other service-based technical industry sectors lend themselves well to self-employment. Being your own boss may sound appealing but it also carries risk and requires a range of talents. You have no “social net” such as benefits, retirement pension plans, sick leave, employment insurance, etc unless you set them up yourself. You must also find and maintain your own client base through sales and advertising. You work longer hours and may make less per hour. The lower tax rates for single-owner business is now gone. It’s not easy to be successful in solo ventures and I’d suggest gaining experience in the industry first before considering self-employment.
A growing trend in industry is hiring people as contractors and not employees. Hiring you this way means that you carry all the risks and have no job security. The employer does not pay into CPP (Canada Pension Plan), EI (Employment Insurance), deduct taxes, or provide sick or maternity leave, and they can terminate you without notice or severance pay. In addition, the one great financial advantage of a lower tax rate for contract & self-employed workers is gone in Canada.
In some cases there is no avoiding working as a contractor. Personally a couple of my summer jobs were as a contractor to the government and I worked as a contractor with an employer before they hired me as an employee. Many graduates have contracted to IT companies and close friends worked as contractors for extended periods of time. Some made more money this way, had more flexibility, could write off some expenses at tax time (not as much now as a few years ago), and had spouses that worked full time and therefore had family medical benefits. I also know two contractors that were injured and had no income at all while they recovered.
My recommendation is to accept a contract position if it could eventually lead to a full time employee position and it helps you gain needed experience, but know your rights. The laws in Canada are changing to address this industry trend, and there are general rules in place for determining if you are a contractor or are in fact an employee with the ability to claim security and other benefits. The rules for EI have recently changed in Canada to support contractors. See www.servicecanada.gc.ca for more information. For other issues regarding contracting, see this site: www.workersactioncenter.org .
Well, thanks for asking. Go to this page.