I work for a contractor and I’ve always wondered why they hire us when I get paid $30 a hr and obviously my boss is making a cut on top of that. But the company I’m painting for only pays there employees $18 per hr? Wouldn’t it be easier just to hire an extra employee to preform simple tasks like painting, shoveling stone, ect these are all none skilled labor jobs.
In: Economics
Because I can hire you for a specific job for an agreed upon price and duration, and have no further obligations to you after the job is over- or if I decide to fire you. You come with your own insurance, your own management, your own equipment (generally), and your own pay system. You exist completely separate from my business.
Hiring employees is a lot more complex, and usually takes much longer and costs more. For specific jobs that you aren’t going to do regularly, contractors are the way to go.
Latest Answers