Is there a change in the way HR departments view temporary workers?

According to Gerry McLaughlin, from IT Contractor.com there has.

"Whereas previously IT contracting was highly cyclical and many contractors spent what they had built up in the good times during long spells out of work, it looks as if IT contracting has become a much safer profession,"  Mr McLaughlin said.

"Companies now see them as the enablers of cost cutting during a downturn as well as being core to the business during an upturn - so contractors now have an each way bet."

And let's not forget that obtaining temporary work with a company is a good way to show off your knowledge and skills, which could lead to a more permanent position.

Would you agree?  I would really like your thoughts on this so, add your comments.