Independent Contractor: To Be Or Not To Be — That Is The Question

As an employment lawyer, I am often approached by clients on the issue of "independent contractors versus employees". Corporate clients look to use independent contractors, rather than employees, to perform work more cheaply and with more flexibility – without costs such as CPP, EI, EHT, WSIB premiums, benefits, overtime, etc. and without the necessity of complying with employer obligations such as those found under the applicable employment standards legislation. Individual clients want to provide "consulting" or "contractor" services to third parties with the associated tax savings afforded to true independent contractors.

In either case, I provide the following words of general advice.