In Seattle going as contractor means making $150k instead of $300k. Does contracting in Sweden pay double? $600k? Or as a contractor you make half what Seattle contractor is making.
I'm not sure we're all using the same definition of contractor then? For the exact same type of work?
Contract work virtually always pays much more than full-time on an hourly basis, since now you've got to cover your own health care, social security, and so forth. And then on top of that you're charging more because there's no security.
The whole exchange you make for full-time employment is to be paid less than short-term contracts, in exchange for greater stability.
OK people are definitely talking about two different things in this thread then.
There's what you're talking about, W-2 contractors who work through a staffing agency which provides temporary work for lower-skill positions. They are often paid less than full-time but this is usually because they have less skill/experience. An equivalent full-time job often doesn't even exist at the company.
And then there are independent contractors (aka consultants) who legally function as their own company, and who do higher-skill contract work. They are paid much more than full-time.
W-2 contractors are the same people who were FTE before. They are not paid less because they have less experience. Please read the article before you comment.