Termination & Conversion
What are early conversion costs from contract-to-hire to full-time employees?
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Staff augmentation and contract-to-hire firms typically charge a declining "conversion fee" if you hire a contractor early as a full-time employee.
Typical structure:
•Converting at around 24 months: roughly three months' worth of the engineer's monthly rate
•Fee scales down over time the longer the contractor works with you
•Some agreements allow zero-fee conversion after a certain tenure (e.g., 24-36 months)
conversion feecontract-to-hireearly conversionbuyout costpermanent hire
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