I've learned of two cases of apparently excessive profits of recruiters supplying contract staff to government. An acquaintance who gets home help for an elderly relative told me that the home help woman is paid only €10 an hour out of the €25 an hour her recruiter receives from the government. This woman has to use a car for her home visits in the country.
The second case was a pay cut from €15 an hour to €10 an hour for a contract translator I know,again a job requiring use of a car.
Possibly this latter cut was due to government cutbacks but the recruiter did not say so. More likely,the recruiter is exploiting the heavy unemployment among translators.
Opportunities for such excessive gross profit margins could also be due to the difficulty of complying with the typically complicated bureaucracy of bidding for government contracts. The civil service is so fearful of making a mistake in selecting contractors that it makes complicated rules which favour a minority of companies with the necessary expertise in navigating bureaucracy.