Reply to DH job offer / contractor to employee/ salary negotiation/ advice needed

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[quote=Anonymous]DH has worked as a contractor through a well known specialized contract  company for almost two years. The client company in which he was placed has said they want to hire him, and they wanted HIM to indicate his salary requirements. He asked for an offer. Now they have come back and asked for his salary requirements again.

Some basic facts:

The contract company is charging the company an unknown amount above what he is making, but based on his past experience with another company that hired contractors, it may be as much as three times as much per hour.

The contract company did indicate the client company wanted him for hire down the line.

DH has highly specialized skills that the client company very desperately needs.

So they want him, want him a lot, and have been paying him through this company at a rate that has cost them dearly and left him with less than he is worth.

He worked for his last company for 15 years, and he is new to being a contractor and therefore this specific process.  We know this much:

1) standard range (more than he is making)
2) signing bonus is standard and the range for that
3) He wont need to justify his salary based on what he will be doing for them

Any ideas appreciated, especially based on experience with this kind of transition from contractor to employee.

Concern: We dont want him to price himself out of a job.[/quote]

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