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ARTICLE · 26 SEPTEMBER 2016

Employees Distinct From Contractors

In the world of employment law there are "independent contractors" and there are "employees," each one has pros and cons from both the employer and employee perspective.

CanadaEmployment and HR

In the world of employment law there are "independent contractors" and there are "employees," and each one has pros and cons from both the employer and employee perspective. The important thing to remember is that there are very different implications of each one, so when you are determining which type of relationship you are entering into you should do so with care.

Let's start by explaining the difference between an independent contractor relationship and an employment relationship. In an employment relationship, an employer hires an employee and the relationship is subject to employment laws including minimum wage and reasonable notice and severance. In an independent contractor relationship, the independent contractor works for themselves and is hired to perform a specific service. The employment legislation does not apply and instead the only governing law is that of any other contractual relationship.

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