Having worked with contractors in the US, there are some added legal cautions where employers for especially software contractors to not setup too long/close of an engagement. But, in general many contractors will end up working for a larger contractor house which carries your vacation/healthcare etc. They of course take a cut to do that. None of them are exemplary, but some are less terrible. An arrangement of a cooperative of contractors and even whole mini teams could control more of their own destiny would be interesting there.