When You Become Dependent On Independent Contractors: The Risk To Employers

I am big on keeping Independent Contractors off benefit plans to protect both parties, but it does not end there.  We are seeing more employment law cases around Independent and Dependant Contractors, so these relationships must be entered into with care and reviewed regularly to avoid risks.  The article below provides an example of the additional costs employers could face.

A recent decision of the Ontario Superior Court is a reminder to all employers of the liability associated with engaging individuals as contractors in circumstances where the practical, day-to-day nature of the economic relationship is that of an employee. This can become particularly tricky to manage when there are transitions in that relationship from contractor to employee or from employee to contractor.