Contractors are the first to go when the economy goes south, because there's no legal protection to the relationship and getting rid of it is as simple as letti

Contractors are the first to go when the economy goes south, because there's no legal protection to the relationship and getting rid of it is as simple as letting it lapse. It's a huge pain to fire an employee even for cause. Without cause (layoffs), you usually have to pay severance, have your unemployment insurance premiums go up, and deal with a morale hit to people left behind.