Employment Law Independent Contractor or Employee - Case

Topics: Employment, Human resource management, Recruitment Pages: 2 (689 words) Published: November 14, 2010
Your role is to decide if Karen is an independent contractor or an employee and discuss some of the preventative and ethical situations that are occurring in this case.


1. Do you feel that Karen is an independent contractor or an employee? What is your rationale for this decision? In my opinion Karen should be a considered a permanent employee as she has been working and promoted in the company for five years and she is considered an asset to them, she is paid in salary already all she needs is to be legally hired as a permanent employee in this case I feel like it would be the right thing to do as the human resource manager and give her the right to get benefits. Karen should drop her other clients and work full time and exclusively for the company as a permanent employee so that there is no conflict of interests.

2. What factors do you feel help contribute to Karen being an employee? First and most important she has been in the company for five years working fulltime, also they removed the word temporary out of her job title given a permanent job title “Human Resources Consultant” this change could create some confusion for Karen too and could become a legal battle because its misleading. She is getting paid salary she should get also the benefits that include paid vacation, sick time, health insurance, retirement plans and the opportunity to get a raise on a regular basis. Employees also have less paperwork to fill for the IRS their taxes and Medicare already reduced from their check which save time.

3. What factors favor her being a contractor?
Well Karen was obviously hired and kept as a contractor for five years, and the things that favor her about this is that she was able to work over the years with different organizations got that additional income from them, she works for her self, she can set her own schedule for work and also set her own pace in the amount of work done at a time, and is considered self sufficient....
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