I think you guys are mixing temp job and contract job
together.
Temp job are usually for very short period during the busy months
of a company (e.g. just before closing of account for the year).
They are always paid less due to the nature of the work being no
experience required. In this case, you can quit anytime and you
will not likely be fired since they need people during that period.
Typically, students waiting for their results or during vacations
takes these up.
Contract work, however, is very different. And it can be heavenly
to hell depending on your position and your negotiation skill.
Typically, the drawback of contract work is that you do not enjoy
any company benefit (No insurance, no CPF (maybe), no company
discount etc...) since you are not recognised as a staff of the
compnay in most cases. The good side is that those items are
usually covered by higher pay (since you do not fall into any
"company rule on salary range", but it is not necessary true. This
is especially because in recent times, contract work has started to
be taken by those who cannot find a job, while in the past, it was
more of a market held by those who are truely skilled and can
afford to go contract instead of perm employment (for the seek of
freedom mostly).