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ARTICLE · 05 FEBRUARY 2013

Labour Only "Subcontractor" not entitled to Compensation

The case addressed the question of "employee or sub-contractor" as well as whether or not the claimant was a "worker".

AustraliaEmployment and HR

CARUSO v EWART [2012 WADC 181]

The issue in this case was whether Mr Ewart was a "worker" within the meaning of the Workers Compensation and Injury Management Act 1981, WA.

Although turning on its facts, it addresses all of the features of the frequently litigated question of "employee or sub-contractor" as well as the broader question of whether or not the claimant is a "worker".

Ewart claimed compensation following a fall from a ladder and argued that he was employed under a contract of service by Caruso. His work was that of a painter handyman. He had a business name that he had used before and the evidence pointed to a sub-contract rather than an employment contract. However, it was also clear that his pay was probably "in substance for his personal manual labour or services", in which case, even if found to have been engaged under a contract for services, he may nevertheless be a "worker" and therefore entitled to compensation.

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