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ARTICLE · 16 FEBRUARY 2022

High Court clears up contractor law

Gilchrist Connell
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All those engaging independent contractors should urgently review their contracts to ensure they align with HC decisions.

AustraliaEmployment and HR
Joel Zyngier
Joel Zyngier
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On 8 February 2022, the High Court of Australia issued two seminal decisions on the law in Australia relating to independent contractors: Construction, Forestry, Maritime, Mining and Energy Union v Personnel Contracting Pty Ltd [2022] HCA 1 and ZG Operations Australia Pty Ltd v Jamsek [2022] HCA 2.

The decisions have significant repercussions for employers and anyone engaging independent contractors in Australia. It is critical for anyone engaging independent contractors to undertake an urgent review of their contracts, to ensure the contracts align with the High Court's decisions.

In the decisions, the High Court held that whether someone is an independent contractor or an employee is to be determined by reference to the rights and duties created by the contract between the parties (written or otherwise) that regulates that relationship. The conduct of the parties after they enter into the contract and/or the circumstances of entry into the contract is

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