For a small outfit it makes more sense, or it did at least for us to contract out instead of hire an employee. I started out as an employee. and they were able to almost double my wage by having me become self employed.
That was when I was cutting for them by the hr only. Then I got a machine and now work by the ton cutting and skidding. Which is only better on some days. The thing about a small operation it that you can only put out so much wood in a day, so you can really only afford so much of an employee before it breaks you. Out here with short one log trees, and low market value, a gypo can lose their shorts real quick if they pay a guy too much.
On the flip side, with the tax incentives for a person making a low wage (federally) someone who is just falling and has low overhead can make a killing as an independent compared to what they would make hourly as an employee, and the contractor themselves has less expense. Win win.
on a side note, as a faller, I will have to say a buncher really makes more sense than tipping by hand. Here's why that I've noticed. your time from ground to landing is greatly reduced because it can bunch into bundles. On smaller trees that can mean hooking 3-5 times as many logs in one drag. its 2-3 times faster at cutting than by hand. Also, they can lay the tree the way they want for easier extraction. I still cut, but only steeps and large stuff, the rest of the time I pull cable and put the pedal to the metal. Thats what makes me really appreciate the buncher. Hooking hand felled singles sucks, unless they are big.
The catch 22 is that yes its faster, but we are all starving cause there aint no money in logging here so we all run wore out pieces of junk that we work on all the time and pour money into like they pour oil out of. So is it really that much more efficient?
dunno.
some days its better to just grab a saw and git er done.