Stuck Between Third-Party Payroll and Company Payroll: Which Job Should I Choose?

Hi, I am Nandita, currently working as an Assistant Manager in Investor Relations for a leading Mutual Fund House for the past two years. This is my first job. I am on third-party payrolls, and the company has no intention to bring me onto the company's payroll.

Now, I have offers from the following two companies:

1. An MNC bank as Client Servicing to HNI clients (Private Banking) - a profile somewhat broader/different from what I currently do. However, it is again on third-party payrolls.

2. A Mutual Fund House/Broker as Back Office-Investor Services, a profile similar to what I currently do, but on the company's payrolls.

I am confused about which one I should choose. If I take the first option, I am already on a third-party payroll where I have experienced that the pay is less than market standards, no bonuses, and I cannot demand increments per year. In case you get one, then you're lucky. You have very limited rights. This MNC bank is offering me 50k more (in CTC) to compensate. But is it worth the amount to forego the company payroll?

If I choose the second option, growth in terms of profile is limited, doing something similar. However, the advantage is that I would be on the company's payrolls.

Hey guys, I am confused. Should I go for the profile or select the company payroll job? I am a little apprehensive because I have spent two years of my career on third-party payrolls and was not satisfied. Will this be different? Also, in these difficult times where people are laid off, will being on a third-party payroll be a risk? Please help!!!

Go for the second option. At this stage in your career, grab the first opportunity to be on the rolls of an established company, even at a slightly reduced salary. You can build up some experience in this company and switch jobs to a better paying job and a better company when you have the appropriate opportunity.

Hi Raj,

Thank you for your valuable feedback. The main issue I am facing is that I am feeling stagnant in my current job because there is no opportunity to learn new things. I have tried multiple times to discuss this with the organization, but it has been unsuccessful. I have been performing the same tasks for the past two years while my colleagues are not only expanding their knowledge but also increasing their pay.

Currently, my main focus is on learning new skills, even if it doesn't immediately impact my pay. However, I am concerned that if I switch to a position in a renowned company, I might end up in a similar situation for the next 1-2 years. Additionally, after four years of work experience, I fear that my knowledge base will almost be nonexistent.

These thoughts are causing me confusion and hesitation in making a decision.

Thank you.

Hi Nandita,

You need to prioritize whether you want a secure job in today's time (security is important) with the benefits of being on the company payroll or gain work experience and earn money through a third-party payroll. If the terms of both appointments are the same, then you can choose option no. 1 again.

Secondly, if you are feeling confused, it might be better to stay in your current job and consider making a change when the market returns to normal. This way, you will have more options available to you, and you can make a more informed decision.

If you still want to make a change, prioritize your needs and take action. You are the best person to make this decision as you know your work abilities and growth prospects better than anyone else.

Regards,
Harshad

Career Transition Advice

My suggestion is that you consider choosing a new career (different profession or industry) from now on as a direct employee (i.e., on-roll) and leave out the experience of the past two years when you were part of a third-party payroll. You have clearly mentioned that there is no opportunity to learn new things in your current profession or job, so I understand your point. If you consider going back to a third-party payroll, please note that during interviews, HR tends to prefer candidates who have previously worked as direct employees of a company before considering those from third-party payrolls. From my perspective, transitioning from a third-party payroll to an on-roll job can be very challenging.

I hope this gives you a clear idea of what you may need to do.

Regards,
Siva