Editing Employment (section)

== {{anchor|Employee}} Employees and employers ==
{{Distinguish|Supervisor}}
{{Further|List of largest employers|List of professions|Tradesman}}
An '''employee''' contributes labour and expertise to an endeavor of an '''employer''' or of a person conducting a business or undertaking (PCB)<ref>{{cite book| last1 = Archer| first1 = Richard| last2 = Borthwick| first2 = Kerry| last3 = Travers| first3 = Michelle| last4 = Ruschena| first4 = Leo| title = WHS: A Management Guide| url = https://books.google.com/books?id=cQapBQAAQBAJ| edition = 4th| publisher = Cengage Learning Australia| date = 2017| pages = 30–31| isbn = 978-0-17-027079-3| access-date = 2016-03-30| quote = The most significant definitions are 'person conducting a business or undertaking' (PCBU). 'worker' and 'workplace'. [...] 'PCBU' is a wider ranging term than 'employer', though this will be what most people understand by it.}}</ref> and is usually hired to perform specific duties which are packaged into a [[job (role)|job]]. In a corporate context, an employee is a person who is hired to provide services to a [[company]] on a regular basis in exchange for [[Financial compensation|compensation]] and who does not provide these services as part of an [[independent business]].<ref name=":3" />

===Independent contractor===
{{About|the classification in general|3=Independent contractor (disambiguation)|section=yes}}
An issue that arises in most companies, especially the ones that are in the [[gig economy]], is the classification of workers. A lot of workers that fulfill gigs are often hired as ''independent contractors''.

To categorize a worker as an independent contractor rather than an employee, an independent contractor must agree with the client on what the finished work product will be and then the contractor controls the means and manner of achieving the desired outcome. Secondly, an independent contractor offers services to the public at large, not just to one business, and is responsible for disbursing payments from the client, paying unreimbursed expenses, and providing his or her own tools to complete the job. Third, the relationship of the parties is often evidenced by a written agreement that specifies that the worker is an independent contractor and is not entitled to employee benefits; the services provided by the worker are not key to the business; and the relationship is not permanent.<ref name="author">{{Cite book |last=Bagley|first=Constance E|url=http://worldcat.org/oclc/953710378 |title=The entrepreneur's guide to law and strategy |year= 2017 |publisher=Cengage Learning |isbn=978-1-285-42849-9 |oclc=953710378}}</ref>

As a general principle of employment law, in the United States, there is a difference between an agent and an independent contractor. The default status of a worker is an employee unless specific guidelines are met, which can be determined by the ABC test.<ref>{{Cite web |title=ABC test |url=https://www.law.cornell.edu/wex/abc_test |access-date=2022-10-06 |website=[[Legal Information Institute]] (LII)}}</ref><ref>{{Citation|title=Dynamex Operations West, Inc. v. Superior Court|date=April 30, 2018|url=https://heinonline.org/HOL/LandingPage?handle=hein.journals/berkjemp40&div=11|url-access=limited|volume=4|page=903|access-date=March 30, 2020}}</ref> Thus, clarifying whether someone who performs work is an independent contractor or an employee from the beginning, and treating them accordingly, can save a company from trouble later on.

Provided key circumstances, including ones such as that the worker is paid regularly, follows set hours of work, is supplied with tools from the employer, is closely monitored by the employer, acting on behalf of the employer, only works for one employer at a time, they are considered an employee,<ref>{{Cite web|url=https://corporate.findlaw.com/human-resources/overview-of-independent-contractor-guidelines.html|title=Overview of Independent Contractor Guidelines|website=Findlaw|language=en-US|access-date=2020-03-30}}</ref> and the employer will generally be liable for their actions and be obliged to give them benefits.<ref>{{Cite web|url=https://corporate.findlaw.com/human-resources/employer-liability-for-employee-conduct.html|title=Employer Liability for Employee Conduct|website=Findlaw|language=en-US|access-date=2020-03-30}}</ref> Similarly, the employer is the owner of any invention created by an employee "hired to invent", even in the absence of an assignment of inventions. In contrast, a company commissioning a work by an independent contractor will not own the copyright unless the company secures either a written contract stating that it is a "work made for hire" or a written assignment of the copyright. In order to stay protected and avoid lawsuits, an employer has to be aware of that distinction.<ref name="author"/>