Self-employed worker or salaried employee? Getting it wrong can be costly

September 22, 2013 0 COMMENTS

By Myriam Robichaud

You’re about to hire an employee. But he has his own business and wants to be an independent contractor. That way, he’ll pay less tax. And it’s easy for you too — you will just have to pay his invoices and won’t have to include him in your employee headcount.

But wait. There can be significant consequences from incorrectly characterizing an employee as an independent contractor. Not only can the individual, at the end of the relationship, claim he was really an employee and entitled to significant severance benefits, the tax authorities can also come knocking, as was the case recently in Quebec. read more…

Independent Contractors Considered Workers for Health and Safety Purposes

February 21, 2011 0 COMMENTS

By Rosalind Cooper

For years employers across Canada have struggled with the difference between independent contractors and employees. Individuals believed to be independent contractors are often classified as employees after their relationship ends, leading to liability for employment-related severance and other amounts.

The courts, human rights tribunals, and other administrative tribunals are constantly grappling with this issue. Most recently, the Ontario Court of Appeal had to consider the decision in the context of whether independent contractor truck drivers were workers within the meaning of the Ontario Occupational Health and Safety Act (OHSA).

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