As for contracters only after profit... well that is true, but I will think you will find that there were contractors in many messes BEFORE PAYD was introduced.
I have been out of the RN for several years now, leaving before PAYD was introduced, but there was extensive questionnaires regarding its implementation during myu time in the mob, if i recollect it started round about 1998....
And unfortunately, before PAYD, people were unhappy with the standard of food being dished up and were voting with their feet... one of the reasons it was implemented.
I think you will find that as a bunch of human beings, we are never happy with our lot, and there is no perfect solution.