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ARTICLE · 13 DECEMBER 2017

Time To Review Your Independent Contractor Relationships

In addition, independent contractors do not benefit from employer CPP contributions or employer EI premiums.

CanadaEmployment and HR

Summary

The Canadian workforce encompasses a diverse array of business relationships. In the face of economic pressures, many companies moved away from hiring employees and have begun to favour hiring independent contractors. In many workplaces, the line between employees and independent contractors has blurred. Increasingly, workers are being classified as independent contractors when they are, for all intents and purposes, treated the same as employees of the business.

Bill 148, the Fair Workplaces, Better Jobs Act, 2017, which came into force on November 27, 2017,attempts to address this misclassification. To avoid unintended liability under the Employment Standards Act (ESA), businesses should review their independent contractor relationships to determine if they can withstand scrutiny from government agencies. With no set formula for determining a worker's classification, professional legal advice may be needed to effectively address any

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