Contract For Service vs. Contract of Service
Distinguishing between a contract of service (employee) and a contract for services (independent contractor) is vital in determining workers rights, and the obligations owed by their employers. Sometimes it is not clear whether a person is an employee or an independent contractor, which can lead to disputes between workers and employers. This essay discusses how to distinguish between a contract of service and a contract for services by looking at the intention of the parties …
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…Contracts Act, clearly expressed contractual intentions of the parties prevailed over all other considerations whereas section 6 of the Employment Relations Act directs the Employment Court and Authority to “determine the real nature of the relationship.” Lastly, it is important that it is distinguished between a contract of service and a contract for services to know what rights each individual worker is entitled to which will avoid any confusion in the future of the workers employment.
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