[ellen364]

From what I've seen and heard from others, budget shenanigans and office politics are both common reasons for hiring contractors/freelancers.

If it's September and your budget expires in April (new tax year here in UK), hire a few contractors to make sure you spend all that money. After all, you don't know what next year's budget will look like. And not using your budget might be taken as proof you don't need as much money next year. So hire contractors and do that project now, rather than waiting and taking the risk you can't do it all.

For even more budget shenanigans and org politics, imagine you're a product/project/whatever manager in charge of an exciting new project with a big budget. You do not control any of the dev teams. For some reason the dev leads are not excited by your new project and are reluctant to assign people to the project. They tell you it will be next year and you wonder if they mean never. Luckily, you have a big budget for the project! So you hire contractors and now your project has a dev team. The company doesn't have to keep on the temporary team and the project is delivered. Success!

This scenario kicks several massive cans of worms down the road. But for a while everyone's happy while progress is made on the project. Later the dev teams will be annoyed when they have to maintain code they didn't want in the first place. And whatever organisational problem meant the dev teams didn't want to get involved will still exist. But, by hiring contractors, everyone gets to ignore those problems for a while longer.