Exploring Contract Jobs in Renewable Energy: Pros and Cons

Contract jobs in renewable energy come with many benefits, including earning potential, career flexibility, and a vast range of opportunities. There are also some drawbacks, but as you'll learn in this piece, they can be overcome. In this guide, we'll explore the intricacies of contract work, including what it is and its different types. We'll also delve into the pros and cons of contracting jobs, providing transparent insight into what it means to be a renewable energy contractor.

In this guide, we’ll cover the following:

• What is contract work in renewable energy?
• 3 pros of contract jobs in renewable energy
• 3 cons of contract jobs in renewable energy

What is contract work in renewable energy?

Contract work in the renewable energy industry involves the employment of talent for a set duration to work on specific tasks or projects. Unlike permanent positions that roll on a consistent basis, contract jobs operate on pre-agreed terms, with contracts lasting for a few days, weeks, months, or even up to a year. 

Referred to as renewable energy contractors, these individuals are often experienced professionals who have worked in permanent positions within the renewables space. With specialist skills and expertise, contractors work independently and typically find work through their own contacts or with the support of a contract recruitment agency.  

There are several avenues to pursue contract work in a career in renewable energy, from freelance to on-call positions and more. Below is a breakdown of the different types of contracting jobs you could embark on:

• Freelance Jobs: Freelancers are self-employed individuals who offer their expertise to companies on a project-by-project basis. They are typically motivated by the autonomy of these roles, which allows them to set their schedules and pay rates while having the flexibility to choose which projects to work on.
• Temporary Work: Contract recruitment agencies often facilitate temporary positions. They match renewable energy contractors with short-term opportunities based on their specialist skills and the organisation's requirements.
• On-call Work: Renewable energy contractors engaged in on-call work can fulfil a company's specific requirements when needed. This contract work involves receiving compensation for remaining on standby for a role and is expected to report promptly to a task or project when called upon.
• Fixed-Term Contracts: Fixed-term contract jobs are a predetermined duration of employment, often aligned with specific timelines or demands of renewable energy projects. On a fixed-term deal, contractors receive similar benefits and rights to permanent employees throughout the contract's duration.
• Agency Contracts: Agency work involves a third-party contract recruitment agency. The agency acts as a middle ground between the contractor and the business looking to hire. They will also handle administrative tasks, including payroll, while ensuring the contractors receive what is agreed upon with the employer.
• Right-to-Hire Positions: These jobs in renewable energy allow the employer to offer full-time and permanent employment to the contractor once they have completed their initial contract work. These types of contracting jobs serve as a trial run for both parties to assess the potential for long-term compatibility.

Overall, it's clear that there are several paths to take regarding contract jobs in renewable energy. There are also various pros and cons of contracting jobs, which we will delve into in our following sections.  

3 pros of contract jobs in renewable energy

If you’re considering registering for the latest contract jobs in renewable energy but are seeking advice to help justify your decision, this section is here to help. We’ll provide insight into three key pros of contracting jobs, including their excellent earning potential, greater career flexibility, and how they’re in high demand within the renewables space.  

1. Contract jobs offer excellent earning potential

Contracting jobs in renewable energy offers talent the unique opportunity to enhance their income instead of more traditional permanent roles. While full-time jobs come with fixed salaries, contract work provides individuals with the flexibility to negotiate pay rates. 

Renewable energy contractors can do this based on their industry experience and expertise in specialist skills required by the employer for their project. To an extent, contract workers can control the market and command premium rates in exchange for their expertise. High-level contractors can dictate their worth to an employer based on how in-demand their skills are and the niche value they can bring to a task or project.

Contract work also enables talent to define their rates. They can charge an employer by the hour, day, week, month, or once their contributions to the project have been completed. This flexibility allows contractors to manage their finances effectively and take on projects with more significant earning potential.

Essentially, contractors can be their own boss. Unlike permanent employees who are contracted to work for one employer or one project, contractors have the option to work for multiple companies and assignments. The flexibility that accompanies contract jobs in renewable energy allows talent to maximise their earning potential by embarking on various jobs simultaneously. When doing so, the contractor can adjust their rates accordingly based on the duration and complexity of the project.  

Contract jobs come with the added bonus of retaining a larger quantity of their earnings. A permanent hire may have deductions to their salary due to aspects of their contract, such as benefits packages. However, contractors typically take home a guaranteed sum based on the hours worked. This pro of contract renewable energy jobs means contractors can retain the money that would otherwise go towards benefits and employee perks. As a result, they can receive potentially higher pay.

2. Renewable energy contractors have greater career flexibility 

Our next pro of contract jobs in renewable energy is greater career flexibility. We touched on this in our previous point, but it’s good to consider contracting as your own boss. The flexibility allows talent pursuing contract work to control their schedules and take on assignments aligned to their preferences and aspirations.

Achieving a sustainable work-life balance is a significant factor in why professionals transition to contract work. Contract jobs offer autonomy. In addition to determining pay, contractors have the freedom to decide when and how long they work. This flexibility enables talent to manage their workload, balancing their professional lives with their personal goals. These individual objectives could relate to further education, hobbies or nurturing relationships with friends and family.  

Many professionals embarking on renewable energy careers would love the opportunity to choose the tasks and assignments they work on. Contract work offers this privilege, allowing talent to pursue projects aligned with their skill set, expertise, goals and interests. This degree of flexibility can increase motivation levels within an individual, as they know they are working on renewable energy projects they are genuinely passionate about. 

Contract work allows individuals to dictate where they work, catering to diverse preferences. This flexibility empowers talent to choose between remote, on-site, or hybrid work. It also allows them to decide where in the world they’d like to work, with the opportunity to travel to experience different locations or stay in one region - essentially whatever is best for their renewable energy careers and personal lives. 

3. Contract jobs in renewable energy are in high demand

In recent years, renewable energy jobs have reached 12.7 million globally. However, many within the industry agree there is a talent shortage and a supply and demand issue regarding professionals in the space. Therefore, another pro of contract jobs is that talent in the industry is in high demand. Due to this demand, contracting is an attractive path for professionals seeking diverse and rewarding renewable energy career opportunities. 

Renewable energy contractors are in an excellent position, with many global companies eager to make immediate hires and quickly find the talent they need for their projects. Contract recruitment is often the more seamless solution, taking less time to source and place professionals than permanent hiring. 

Unlike perm recruitment, which often involves a more prolonged process of interviews, onboarding and training, contract staffing allows organisations to tap into a network of contractors provided by a hiring agency. The simplicity of hiring a contractor who can come into a business and hit the ground running without the intricacies of making a permanent hire makes contractors easier to access, highly sought after and in greater demand. 

Another reason contract jobs are in high demand is that they involve less risk for the employer. For example, if a business hires a permanent employee and fails to meet expectations, it's far more complex to part ways with the talent. However, suppose the partnership doesn't work out with a contractor in this scenario. In that case, it's much easier for the employer to go their separate ways with the individual, especially if it's a short-term contract.

While a renewable energy contractor can make an excellent living with the flexibility to pick up projects as and when they choose, contract recruitment can be more cost-effective for employers. Rather than committing to a long-term permanent deal, contract staffing can be more beneficial to the employer, allowing them to budget accordingly for the specialist people and skills they need, when they need them and for how long. 

As mentioned, contractors are typically experienced professionals specialising in a specific area. Businesses often turn to contractors to deliver expertise and support in areas of a project that may not warrant full-time or ongoing resources. The niche attributes of a renewable energy contractor, backed by proven industry expertise, put them in high demand over a permanent employee who may lack experience, require further training, and may not be needed for the project's entire duration. 

3 cons of contract jobs in renewable energy

When referring to contract work for alternative and renewable energy jobs, it's important also to consider the associated cons or drawbacks. In this section, we'll outline three cons of contracting jobs, including how they may offer less job security, result in missing out on career progression, and prevent you from receiving employee benefits. 

When reading this section, remember that these points do not aim to detract you from pursuing a renewable energy career as a contractor. Instead, they aim to offer you a transparent perspective.

1. Contract jobs in renewable energy may offer less security

Arguably, one of the main cons of contract work for renewable energy jobs is that they may offer less security. Unlike full-time and permanent roles that provide long-term career prospects, contract positions may leave talent open to fluctuating opportunities with shorter notice periods. 

Contract jobs do not always come with longevity. Therefore, talent pursuing contract work must constantly seek new clients, search for job opportunities, and gain recommendations to sustain their renewable energy careers. Unlike permanent positions that come with an innate sense of long-term stability with a single company, contractors have the challenge of securing ongoing projects to maintain a steady flow of income. 

It's best to ensure you have a network of clients you can contact before pursuing contract jobs. You could also seek the support of a contract recruitment agency, which can help you find contract work if opportunities become scarce. 

As mentioned, contract jobs often come with shorter notice periods than permanent contracts. Even though some contract work can span multiple months or years, both the employer and the contractor will be aware of the flexibility of terminating the contract at a moment's notice. A lack of long-term commitment can cast doubt in the contractor's mind and leave them vulnerable to sudden changes in their employment status and income. 

When embarking on contract jobs, a contractor must make a good impression and perform to the employer's expectations. Many contractors aim to build relationships with the company they support, leaving the door open to contract work on future renewable energy projects. 

Those considering a renewable energy career as a contractor must be prepared for change and uncertainty. It's possible to experience gaps between projects, resulting in periods of no income. These issues can be managed by consistent and proactive job searching with support from a recruiter. It also requires financial planning, another reason why achieving an excellent earning potential is essential for any type of contract work.

2. Renewable energy contractors can miss out on progression

Another drawback to contract jobs involves potentially missing out on opportunities to grow your career in renewables. Unlike full-time and permanent roles that come with clear procession opportunities and promotions, contractors may find it challenging to navigate a path to advance professionally.

Renewable energy contractors may secure regular and long-term work but may not have a specific manager to support their progression. A lack of structure or person to turn to could make advocating for greater fees and compensation challenging. Contractors should seek support from a contract recruitment agency to help track their performance and offer them future and more diverse opportunities.

As the renewable energy space evolves and new technologies emerge, it’s essential to remain up-to-date with the latest developments, trends and skills to stay relevant and competitive within the industry. Contractors must take the proactive initiative to progress their careers and skill sets in their own time. Enrolling in training courses, earning qualifications, attending networking events and gaining experience across various renewable energy projects can open the door to more opportunities. 

These initiatives can be conducted when work fluctuates or when the contractor has maximised their earning potential and has the financial freedom to dedicate time to training and development. Again, contractors could seek guidance from a recruiter or industry expert on how to progress within the industry and what skills to hone in on. Attending networking events is also an excellent approach to seeking career advice, future contract work and opportunities to expand your expertise in renewables.

3. Contract work may not come with employee benefits

One final drawback of contract jobs in renewable energy is that they don't necessarily offer the benefits associated with permanent roles. The benefits associated with full-time roles, such as insurance, annual leave, sick pay and pensions, are not always provided to contractors. As mentioned, contractors are their own bosses, independent workers who are not tied to a company permanently. Therefore, they are guaranteed to be entitled to certain benefits.

Renewable energy contractors operating outside of IR35 are responsible for ensuring they cover their insurance and pension contributions. This can add an extra layer of administrative complexity to a contractor's workload. Managing sick leave and holidays can also be challenging for a contract worker. Ultimately, it requires careful planning and financial preparation. 

Managing finances is another challenge of being a contractor. Renewable energy contractors are more accountable for managing their finances than permanent hires. As a contract worker is not a full-time employee of a specific company, the individual must take care of aspects of employment such as income tax, pensions, insurance, and business expenses. 

Thankfully, contractors can manage their finances with support from a finance expert or a specialist recruitment agency. They can also utilise the pay-as-you-earn (PAYE) system. Although much of the responsibility is on the contractor, these options alleviate some of the challenges surrounding finance. 

In summary, while contract work can offer excellent remuneration and flexibility, it's best to be prepared to potentially miss out on certain benefits. It's important to understand that this shouldn't be a deterrent, and solutions and services are out there to ensure contractors have a fulfilled and successful renewable energy career.

Final thoughts on contract renewable energy jobs

Overall, contract jobs in renewable energy offer both opportunities and challenges. These roles give professionals autonomy and flexibility, allowing them to leverage their expertise across diverse projects. The potential for high earnings and the industry's demand for specialised skills make contracting an attractive career path. 

However, there are risks, including less job security and limited benefits compared to permanent roles. Contract workers can thrive in the renewable energy sector despite these challenges with careful planning and proactive career management - something we can support.

If you found this piece insightful, read our guide on How Chemical Engineers Can Become Renewable Energy Engineers.

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