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Agencies asking to lower agreed rates during the pandemic
Téma indítója: Renvi Ulrich

Marina Taffetani  Identity Verified
Local time: 14:53
Tag (2013 óta)
német - olasz
+ ...
Same here Nov 22, 2020

Anna Haxen wrote:

One of my oldest clients (based in Belgium) was taken over recently by another European agency and all was well for a while. Then came covid-19, and this new agency informed their vendors that they could see no other option than to cut 10% off all future invoices until September 2020. I politely told them to count me out. In late August, they started sending out amateurish videos in which the CEO, I think it was, droned on about how covid has affected the economies around the world and how hard things still were for them, pulling up figures and graphs as proof, and ending, of course, with how they were still, sadly, unable to pay their vendors in full. At that point I politely wrote and offered my sympathies and told them they were welcome to strike me off their list for good. Is it me or is it outrageous to use this situation as an excuse to underpay their freelancers, given all the various relief funds that have been established for businesses such as theirs? And can anyone explain how chasing away their vendors like this can benefit them in the long run?

That's the agency I was talking about. I had the same experience: I had been working with the Belgian agency for quite a long time, and when they were taken over things started going downhill. What Dan says might well be true, but this agency is a big one... sorry, but I have a really hard time believing they are suffering that much. As I said before, I had to accept for the moment, but to be honest I'm looking forward to having a chance to move on...


Tom in London
Egyesült Királyság
Local time: 13:53
Tag (2008 óta)
olasz - angol
My point precisely Nov 22, 2020

Dan Lucas wrote:

....., somehow, and as far as I know they don't offer to raise rates again in the good times.

My point precisely. If you reduce your rates, it proves that you can. Getting them up again will be very problematic.

Yaotl Altan

Adieu  Identity Verified
Local time: 05:53
angol - orosz
+ ...
It depends on what industry their major clients are in Jan 12

If it's marketing, oil, or manufacturing, I'd be inclined to believe their stated motivations.

If it's medical, pharmaceutical, big tech, or digital entertainment, I'd call bull and see this as a ploy to replace professionals with bottom of the barrel laid-off amateurs looking for any kind of remote work with any pay whatsoever.

Robert Rietvelt

Yaotl Altan  Identity Verified
Local time: 07:53
Tag (2006 óta)
angol - spanyol
+ ...
+5 years Jan 28

Renvi Ulrich wrote:

Léa Pigeau wrote:

I think you shouldn't accept a drop on your rates since you have no idea how much time it will last and you have no garantee they will raise the rates back up when the crisis is over.

Thanks for your insight, Léa. That's a great point. Any change to the agreed rates should be for a specific agreed length of time.

Depending on the country, but certain economies will fly high again... in 2026 to recover the same pre-covid19 GDP level. Of course, China is already with a nice performance now.

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Agencies asking to lower agreed rates during the pandemic

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