Glossary

Independent Contractor

A self-employed worker who negotiates their own fees and working arrangements.

Independent contractors can work with multiple employers and organisations at a given time. Independent contractors are not covered by the same employment entitlements as permanent employees. This means they do not get sick leave, annual leave or bereavement leave, and they usually cannot bring a personal grievance claim against an employer.

Employers must be sure they correctly label the nature of their working relationship with a contractor. If an employer gets it wrong or deliberately tries to disguise a permanent employee as a contractor, they may face penalties and be directed to pay outstanding entitlements to the employee. They may also face an unjustified dismissal claim should they cease giving the employee work.