Is it cheaper to hire a contractor than an employee?

Often yes, but not always. Contractors eliminate costs like statutory contributions, benefits, and office overheads — but may charge higher day rates than an equivalent employee salary. The real cost comparison depends on engagement length, contractor day rate vs. fully-loaded employee cost (salary plus 30–40% in benefits and statutory obligations), and the platform costs of managing contractors at scale. For short-term or specialist work, contractors are typically more cost-effective. For long-term, core-function roles, employees usually offer better ROI.