The Distinction between An Employee and an Independent Contractor

Essentially, employment law provides a number of safeguards to workers classified as employees that are not available to workers classified as independent contractors.

An employee is generally one who “works under the direction of a supervisor, for an extended or indefinite period of time, with fairly regular hours, receiving most or all of his income from that one employer.” Section 2 of the Employment Act, 2007 defines an employee as: - a person employed for wages or a salary and includes an apprentice and indentured learner.

On the other hand, an independent contractor typically has the bargaining power “to negotiate a rate for the use of [a special] skill.” An independent contractor also “serves multiple clients, perform[s] discrete tasks for limited periods, and exercises great discretion/control over the way the work is actually done.”