APPENDIX A
Significant Differences Between Employees and Independent Contractors
in Fields Relating to Consultation Services
Employer/Employee
Worker asserts he is an employee or seems unsure of his status
Worker has no DBA, does not own his own company, has no client base, and/or has no business cards or independent advertising
Worker performs services on an ongoing basis for the alleged employer
Worker's services are directly integrated in the primary service supplied by the employer
Pay is by hourly wage or salary, rather than by the job
Pay is unilaterally set by the alleged employer
Alleged employer supervises the worker in the details of the projects or assignments
Alleged employer provides the facilities, tools, equipment, and/or supplies for the work
Alleged employer provides office space and clerical help to the worker at no cost
Worker requires training and periodic supervision
Worker is subject to routine quality control checks
Worker is required to furnish regular reports to the alleged employer
Worker has no right to engage assistants to help him perform the contract services, or if the worker hires assistants, the alleged employer pays their wages
Alleged employer reimburses the worker for expenses associated with the job
Worker is covered by all or part of the alleged employer's benefits plan and liability insurance
Worker does not determine the hours or the details of the work
Independent Contractor
Contractor asserts he is self-employed and generally maintains his own client list or customer base
Contractor is usually hired locally where the alleged employer performs the overall project
Contractor performs a service the alleged employer is not qualified or able to supply
Work is generally performed at client's site and/or contractor's office/home
Tools and equipment are furnished by contractor or client
Supplies are furnished by contractor without reimbursement from alleged employer
Contractor is highly skilled and requires no training or supervision
Alleged employer and client are interested only in the outcome of the work, not in the details of how the work is done
Contractor has some voice in determining the hours of performing the work
Work is not on a continuous basis, but rather on a job to job basis
Pay is generally by the job and is negotiated with the contractor
Contractor invoices the alleged employer for work performed
Payment is to the company or DBA of the contractor
Contractor has the right to hire assistants and to pay them out of his own pocket
Contractor is not reimbursed by the alleged employer for expenses
Contractor is not covered by the alleged employer's benefit plan
Contractor maintains his own errors and omissions liability insurance
Contractor is not required by the alleged employer to submit performance, cost, or progress reports other than invoices or perhaps work or progress reports verified and signed by the employer's clients