Determining Employee Status





Determining Employee Status

Summary: Facts

Make-a-Bed Furniture Company wanted hired an external consultant, John, who would streamline their manufacturing processes in order for the company to save money. The president of the company decides to hire him as an independent consultant since John has other engagements. John is instructed on how to carry out his duties, the number of hours he should work per week, and how to claim his wages, which would be on an hourly basis. He finishes his external work and reports to the company as a fulltime employee, despite still being paid for 20 hours a week. John is replaced by another agency when he fails to make any formal recommendations after a year. He files for unemployment benefits, and sues the company when it claims that he was a contractor, not an employee.


There are various rules that determine whether an individual is an employee or an independent contractor as stipulated in the IRS 11-factor test. Employment status is determined by the degree of behavioral control and independence of the worker. Employees are given direct instructions on how to work, where and when. Independent contractors are allowed to seek out other forms of business externally.




From the common laws test, John is an independent contractor. Firstly, he is allowed to have other businesses on the side, as stated in the law. Secondly, he was paid hourly, which is typical of an independent contractor. Finally, his relationship with his employer was temporary, as his job was to streamline the company’s processes. Therefore, it is correct to assert that John is an independent contractor, not an employee.

As a human resource director, in future, I would ensure that three things have been done first during hiring. Firstly, I would ensure that all employees and independent contractors have signed contractors that clearly define their status. Secondly, I would ensure the worker is treated according to their employment status to avoid any confusion. Finally, I would ensure that the permanency of the relationship has been clearly defined.

Calculate your order
275 words
Total price: $0.00

Top-quality papers guaranteed


100% original papers

We sell only unique pieces of writing completed according to your demands.


Confidential service

We use security encryption to keep your personal data protected.


Money-back guarantee

We can give your money back if something goes wrong with your order.

Enjoy the free features we offer to everyone

  1. Title page

    Get a free title page formatted according to the specifics of your particular style.

  2. Custom formatting

    Request us to use APA, MLA, Harvard, Chicago, or any other style for your essay.

  3. Bibliography page

    Don’t pay extra for a list of references that perfectly fits your academic needs.

  4. 24/7 support assistance

    Ask us a question anytime you need to—we don’t charge extra for supporting you!

Calculate how much your essay costs

Type of paper
Academic level
550 words

How to place an order

  • Choose the number of pages, your academic level, and deadline
  • Push the orange button
  • Give instructions for your paper
  • Pay with PayPal or a credit card
  • Track the progress of your order
  • Approve and enjoy your custom paper

Ask experts to write you a cheap essay of excellent quality

Place an order