I’ve been a perm at a consultancy hired out as a contractor. It’s great if you’re working for a good consultancy. You get some excellent clients on your CV, get to work on some interesting projects and can signal when you want out. It’s a short to medium term strategy unless you want to move up through the consultancy’s management, because you’ll never be financially well off as those whose jobs you’re doing.
I got out to work as a perm closer to home. Salary, work-life balance are much better. Some of my friends got out to go consult/contract and they earn a lot more. The successful ones say the trick is to not ramp up your lifestyle in line with the pay so you’re not reliant on working all year. Decent contracts in our industry last from a few months to a few years.
Part of me wishes I’d taken that route but it wasn’t an option financially. If you have it then take it. If you’re good at what you do and your industry is booming you can always go back to being perm with someone else. With contracts, a lot of times it’s not about hiring the best, but hiring the best available at the time. You have the option of being a contractor and feeling out the market while being well compensated. Can your current job offer you a similar opportunity to feel out your progress in the organisation?
I would also be a bit worried about your current workplace if they’re considering making someone as young as you redundant. What’s that all about?