Unless you’ve been stranded on a desert island recently, you will no doubt be aware that there is an economic downturn going on. Everyday brings with it news of more companies going into administration, more job losses and more stories of businesses struggling to survive. In the translation world, there has been much talk about rates in recent weeks, with several translators reporting that they have been asked to lower their rates by certain translation agencies and with some freelancers considering reducing their rates in order to boost their work load.
Corinne McKay wrote an excellent post on this topic on her blog, Thoughts on Translation, yesterday. Like Corinne, I’m not in favour of lowering rates just because the economy is in bad shape at the moment, but she makes some great points about why/why not to lower your rates. I agree that we should take an objective look at our business situation before considering what action to take. It’s all too easy to get swept up in the economic doom and gloom that we are confronted with everyday in the media so it’s vital to ask yourself whether you really have less work or whether it just feels that way. Check out Corinne’s post here. Essential reading for all translators!
Enjoyed this post? Then make sure you subscribe to my RSS feed!
{ 1 comment… read it below or add one }
During a quiet spell a couple of weeks back, I briefly considered effectively cutting my rates by asking clients to pay me in pounds sterling rather than their local currency (although based in Canada, I keep a bank account in the UK for the convenience of European clients). Then work picked up again and I didn’t take the idea any further.
On reflection, I realize this would have been very short-sighted. Exchange rates have been all over the place in the past year. The kind of clients I like to work with probably value a stable rate in their own currency more than a short-term cost saving that could well be wiped out in the next round of currency fluctuations.
The exchange rate is currently moving in my favour again, but the cost to clients of my services remains the same. So the moral of the story is not to gamble with your rates in response to a slight downturn in work.