Employee

Indefinite-term contract (which is the rule), fixed-term or open-term (ie, a term contract whose termination date has not yet been defined, but that will be terminated as soon as the underlying need for contracting is no longer verified – for example, as a contract to cover absence), part-time contract, telework contract and contract under service commission regime – a particular type of contract for high-level employees which provides flexibility for termination and is not common. The parties may execute an employment contract for a fixed term or open term, which must be done in writing.  Part-time, fixed-term and open-term employees may not be discriminated against due to their status.

Independent contractor

Independent contractors may be engaged directly by the company or via a personal services company. Engagement may be subject to misclassification exposure. The factors that tend to indicate an individual is an employee (rather than, for example, a self-employed independent contractor) are the existence of a work schedule, the scheduling of vacation, the worker’s legal subordination to the company, the company’s authority, direction and disciplinary powers, control of punctuality and attendance over the individual, integration into the structure of the company and use of work tools belonging to the company, among others.

In the event of misclassification, the relationship may be converted into an employment relationship on a permanent basis, and the employer may be liable to pay a fine for non-compliance.

Agency worker

Agency workers may only be engaged to fulfill a temporary need for work. The agency work contract duration depends on the underlying reason for hiring and does not typically exceed 24 months. Agency workers have the right to equal treatment to employees in relation to pay and other regular benefits.

Employee

Full-time, part-time, fixed-term, indefinite-term employees or trainees.

The following factors tend to indicate a labor relationship: (i) availability to work for their employer; (ii) an employer who directs and subordinates the individual; (iii) an employer who instructs the services and duties required and creates the individual's schedule; (iv) if the individual renders the same services as other employees; (v) if the individual has identification and a corporate email from the employer; and (vi) if the individual works for the employer on an exclusive basis. Courts will also look at the extent to which the worker depends economically on the employer and if the employee is remunerated with a fixed amount.

Independent contractor

Contractors should only be engaged where there is no labor relationship – that is, no direction/subordination or economic dependence or other indicators of a labor relationship as outlined above.

Misclassification – that is, failure to register an individual as an employee – or submission of an incomplete or defective registration carries the risk of severe sanctions and fines from the authorities, including amounts owed to social security for unpaid contributions. In addition, steep fines are levied upon statutory severance, including the doubling of the amount of severance owed to a (misclassified) employee.  An additional fine equivalent to 50 percent of the unpaid amount of the severance is also applicable if the employer does not pay the correct severance payment as requested by the contractor and the contractor files a judicial claim for this amount.

Agency worker

Employers may engage workers through agencies. Agencies must be authorized by the authorities to function as an agency.

The employer is jointly and severally liable with the agency for all labor obligations arising from the worker's employment.

Article 30 of the Labor Contract Law No. 20,744 (LCL) requires the employer to ensure that the agency complies with all applicable labor and social security obligations regarding the engaged worker, including the payment of the social security contributions, occupational risk insurance policy or life insurance policy.

Employee

Individuals can be recruited on either a full-time, part-time or casual basis (ie, employed by hour or by day) or a fixed-term contract for a limited duration.

Independent contractor

Independent contractors may be engaged directly by the company or via a personal services company.

Agency worker

Agency or temporary workers can be used by some organizations for short periods. Labor hire licensing laws apply in some states or territories which may apply to use of agency workers. Agency staff members are not engaged as employees of the business where they are placed on assignment.

Employee

Indefinite, fixed-term, full-time or part-time. Part-time and fixed-term employees have the right not to be discriminated against due to their status.

Independent contractor

Independent contractors may be engaged directly by the company or via a personal services company. Engagement may be subject to misclassification exposure.

Agency worker

Agency workers are common and are either employees or workers. Agency workers have the right to equal treatment to employees in relation to pay and other benefit terms.

Employee

Unlimited or fixed-term. Part-time employment is legally possible but is not common.

Independent contractor

There is no concept of a consultant, unless individuals have established their own professional license and business.

Agency worker

There is no general concept of an agency worker or "temp" in Bahrain. Some Bahraini-owned employment agencies are licensed to provide manpower on a temporary basis; such employees remain under their sponsorship.

Employee

Indefinite, fixed-term (including a specific assignment), full-time or part-time. The law provides for specific employee categories to which specific terms of employment apply, such as sales representatives, structural remote workers (ie, teleworkers or homeworkers) and students, among others.

Part-time and fixed-term employees, and, among others, sales representatives, structural remote workers (ie, homeworkers or teleworkers) and students, have the right not to be discriminated against due to their status.

Independent contractor

Independent contractors may be engaged directly by the company or via a personal services company. Independent contractors cannot deliver their services under an employer’s authority of, and in a subordinate position towards, the principal.

Agency worker

Agency workers are common, but may only be employed to temporarily replace an employee whose employment contract is terminated or suspended, to address an extraordinary increase of the workload, to perform exceptional work or to fill in a vacancy. Each type of agency work is subject to strict conditions and is limited in time. Agency workers can moreover only be in service with licensed interim agencies. Agency workers have the right to equal treatment to employees in relation to pay and other benefits.

Employee

Indefinite, fixed-term, full-time or part-time (intermittent).

Independent contractor

Independent contractors may be engaged directly by the company or through an entity. Engagement may be subject to misclassification exposure.

Agency worker

Agency workers are hired by temporary work agencies to render services to the temporary agencies' clients. Agency workers are entitled to various employment rights. 

Employee

Indefinite, fixed-term, full-time, part-time or casual. Employers may generally provide for differential treatment between these categories of employees; however, basic employment standards apply to all categories in most Canadian jurisdictions.

Independent contractor

Independent contractors may be engaged directly by the company or via a personal services corporation. The use of independent contractors creates misclassification exposure, which can give rise to tax, social security contribution and workers' compensation liabilities. It may also create potential claims for overtime, vacation, holiday pay and notice of termination. Classification may be different under different statutory schemes, and care must be taken to ensure the relationship is not truly one of employer and employee.

Dependent contractor

In some Canadian jurisdictions, courts have recognized the concept of a dependent contractor, which is similar to an independent contractor except that the individual exhibits significant economic dependence on the employer. Dependent contractors are generally entitled to notice of termination, akin to employees. As with the use of independent contractors, the use of dependent contractors also creates misclassification exposure, which may include tax, social security contribution and workers' compensation liabilities. It may also create potential claims for overtime, vacation, holiday pay and notice of termination.

Classification may be different under different statutory schemes, and care must be taken to ensure the relationship is not truly one of employer and employee.

Agency worker

The use of agency workers is common in some industries. Certain jurisdictions in Canada have special rules intended to provide protections to agency workers and may deem the contracting company liable if the agency fails to pay wages or provide required benefits to its workers. Many statutory regimes also have a mechanism for declaring a contracting company the true employer, a co-employer or common employer under applicable legislation. Some provinces have established a licensing framework for recruiters and temporary help agencies to operate within the given provinces, and employers using agencies in these provinces should ensure that the agency is properly licensed.

Temporary foreign worker

Canada has a program that permits employers to hire temporary foreign workers to fill temporary labor and skills shortages when qualified Canadian citizens or permanent residents are not available.

In Canada, the authorization to hire temporary foreign workers is regulated by the Temporary Foreign Worker Program (TFWP). If the applicant does not qualify for an exemption from normal immigration requirements (typically through the International Mobility Program, or IMP), an employer will be required to obtain a Labour Market Impact Assessment (LMIA), after having met specific advertising requirements, to hire foreign workers to fill temporary and skill shortages. The LMIA confirms that the hiring of temporary foreign workers will not have a negative impact on the Canadian labor market. Some Canadian jurisdictions have statutes and regulations that apply specifically to the employment of foreign nationals working in particular industries.

Employee

Indefinite, fixed-term or task-specific. Employees may be hired part-time (ie, up to 30 hours of work per week) or full-time.

Fixed-term employment agreements have a maximum duration of 12 months. However, this may be extended to 24 months for employees holding a technical or professional title granted by an educational institution recognized by Chile, but this alternative is almost unused in practice.

Independent contractor

Permissible. Chilean law authorizes companies to outsource various kinds of services, including the core business, or specific tasks, such as cleaning or canteen services. In this case, workers are dependent and subordinated to the contractor company rather than to the principal (ie, client).

If the contractor company breaches labor or social security payment obligations towards its employees (including severance compensation), the principal (ie, client) is jointly liable for them, limited to the period that workers were assigned to render services for the principal. The principal (ie, client) may mitigate against such liabilities by regularly checking compliance with employment and social security obligations.

Agency worker

Outsourcing labor through personnel supply companies may only be done for specific purposes defined by law and only for short periods of time, which vary according to the ground invoked for using agency services, such as temporary replacement of sick employees. The personnel supplier is responsible for the worker and is required to satisfy the respective social security and labor obligations. In cases where these obligations are not met, the company who has obtained the temporary worker is liable in total or on the whole for employment obligations of the employer.

Employee

Indefinite, fixed-term, full-time or part-time. Note that, after 2 consecutive fixed-term contracts, the employee may be entitled to an indefinite-term contract.

Independent contractor

It is uncommon for independent contractors to be engaged directly. Such a relationship is likely to be considered de facto employment.

Agency worker

Labor dispatch arrangements are becoming increasingly regulated in terms of treatment of labor dispatch workers and the numbers that can be hired within a single workplace. Because of this, labor dispatch arrangements are becoming a less attractive hiring option.

The rules are more relaxed for representative offices as they cannot hire local staff directly and must therefore rely on agencies.

Employee

Indefinite, fixed-term or for the duration of a project.

Fixed-term agreements cannot exceed 3 years but may be extended indefinitely. If the duration of the contract is less than 1 year, it can be extended 3 times (with each renewal equal to or less than the initial term) but, after the third renewal, the contract may only be extended for periods of 1 year.

Additionally, employees may be hired for face-to-face work, telecommuting (allowing hybrid work) and remote work.

Independent contractor

Independent contractors may be engaged. Specific rules regarding direction and control, subordination and autonomy in how they perform the work must be followed in order to reduce misclassification exposure. Independent contractors are obliged to pay social security contributions monthly in arrears.

Agency worker

Staffing agencies or "temporary services agencies" are entities that provide services to third-party beneficiaries to temporarily assist in the development of their activities via individuals hired directly by the staffing agency. The agency acts as the individual's employer.

Agency workers may only be hired in 3 cases:

• For occasional or sporadic activities
• For replacement of employees on vacation, maternity or sick leave, or
• To support production increases, for a period of up to 6 months, which is extendable for 1 further period of 6 months after which the employer must either terminate the engagement or hire the worker directly.

If none of these scenarios apply, the company receiving services from the agency may be considered the employer of the agency workers and/or may be subject to monetary sanctions including a fine of up to 5,000 times the minimum monthly wages which may be imposed by the Ministry of Labor.

Employee

Indefinite, fixed-term, full-time or part-time. Part-time employment must be individually agreed with the employee. There are several limitations on fixed-term employment relationships (ie, maximum 3 years and 2 renewals, subject to certain exceptions). Part-time and fixed-term employees have the right not to be discriminated against on the basis of such status.

Independent contractor

Independent contractors may be engaged. Such an engagement may be subject to the risk of exposure for misclassification (so-called "illegal work") if the given relationship has signs of dependent work.

Agency worker

Agency employees have a right to treatment that is equal to other employees in relation to pay and other employment terms.

Other options

Under Czech law, there are 2 other employment options based on either an "agreement on work performance" or an "agreement on work activity."

• Agreement on work performance: maximum 300 hours per calendar year; more flexibility, especially in relation to the termination procedure; less administratively burdensome; social and health insurance contributions payable only from certain remuneration thresholds.
• Agreement on work activity: hours worked must not exceed, on average, 1/2 of regular working hours (approximately 20 hours per week); more flexibility, especially in relation to the termination procedure; less administratively burdensome; social and health insurance contributions payable only from certain remuneration thresholds.

Employee

Indefinite, fixed-term, full-time, part-time or freelance (with employee status). Part-time and fixed-term employees may not be discriminated against on the basis of such status. White-collar workers are typically covered by the Danish Salaried Employees Act.

Independent contractor

May be engaged directly by the company or via a personal services company. Danish courts examine the reality of the engagement in assessing whether an independent contractor has been misclassified and is actually an employee and therefore covered by the Danish employment law protection.

Agency worker

Permissible. Must receive minimum pay and benefits corresponding to what they would have received had they been directly employed by the end user.

Employee

Unless otherwise agreed, an employment contract is valid until further notice. An employment agreement may either be full-time or part-time. If justified reasons exist, an employment agreement may also be fixed-term.

Independent contractor

Independent contractors typically work under a business name or through a company. Independent contractors are not considered to be in an employment relationship, but there's a risk of an employment relationship if the independent contractor actually works under the supervision and control of the employing company.

Agency worker

Agency workers are commonly engaged under fixed-term contracts, but there must be a justified reason for using a fixed-term contract. Employees must be treated equally, and temporary employment is not a reason to discriminate against agency workers. Some collective bargaining agreements (CBA) limit the use of agency workers in the line of business in question. The CBA applicable to the employment terms of agency workers is typically the CBA applied by the user.

Employee

Indefinite-term employment contract (CDI), which is the rule, or fixed-term contract (CDD), which is only permissible in limited circumstances.

The employment contract may be full-time or part-time.

Part-time and fixed-term employees enjoy the same rights as regular employees.

Independent contractor

Independent contractor relationships are permissible. There is a risk of reclassification into an employment contract and a finding of "concealed" work if a relationship of subordination is demonstrated.

Agency worker

Agency workers are strictly regulated by the French Labor Code.

Employee

Indefinite, fixed-term, full-time or part-time. In principle, a part-time or fixed-term employee may not be treated less favorably than a comparable full-time or permanent employee because of their status. Different treatment is only justified for objective reasons.

Independent contractor

Independent contractors may be engaged directly by the company or via a personal services company. Engagement may be subject to misclassification exposure with high financial risk. Work instructions and organizational integration, in particular, may jeopardize an independent contractor position. Incorrect classification may have severe consequences for the customer with regard to tax and social security (eg, it may yield an obligation to pay the employer’s and employee’s share of social security contributions for at least up to the last 4 years; and if intentional, up to 30 years). The individual could also claim an employment relationship. Among the possible consequences, the company may be excluded from public tenders and incur administrative fines – and, in if intentional, may be charged with criminal offenses.

Agency worker

Agency workers shall not work for unlimited periods of time at the same business. The agency is required to hold a special permit granted by the Federal Employment Agency. Agency workers have the right to treatment that is equal to that of employees in relation to pay and other essential working conditions, unless a specific collective agreement provides otherwise. There is a statutory maximum lease period of 18 consecutive months for an individual agency worker with the same client; amendment by collective agreements is possible. Previous assignments to the same company shall be taken into account if they took place after April 1, 2017 and the gap between 2 assignments was shorter than 3 months. On the expiration of such period, the employees must either become permanently employed with the employer or must be withdrawn by the temporary employment agency. Additionally, the contractual agreement must be openly declared as agency work, and the exact agency worker must be determined before the start of agency work. Breaches of employee leasing laws can additionally trigger severe consequences for the lessee. In particular, the employee could claim an employment relationship with the lessee by operation of law. Moreover, breaches may trigger administrative fines, and the lessee may be held liable for social security contributions. In addition, the companies may be excluded from public tenders.

Employee

Indefinite, fixed-term, full-time, part-time or casual.

Independent contractor

Independent contractors may be engaged directly by the company or via a personal services company.

Agency worker

Typically, agreements between the agency and the end user stipulate that the end user is not the employer, while an agreement between the worker and the agency stipulates that the worker is either self-employed or an employee of the agency. The placement may be for a fixed term or may be open-ended. The Employment Ordinance (EO) and Employment Agency Regulations regulate employment agencies.

Employee

Employment may be established for either an indefinite or fixed term as full-time or part-time employment.

Independent contractor

Independent contractors may be engaged through a company using service contracts on a civil-law basis. There are several criteria that help to decide whether a specific service may be provided by an independent contractor or whether an employment relationship must be established.

Agency worker

Employers may enter into crew leasing agreements with temporary workers' agencies in order to employ temporary agency workers. The engagement of a temporary agency worker by the same receiving employer is limited to a maximum of 5 years.

Equal conditions of work and employment must be given to employees employed directly by the receiving employer and to temporary agency workers. Equal treatment in respect of remuneration and benefits is required from the 184th day of employment of a temporary agency worker.

Employee

There are 2 categories of employees: workmen and non-workmen. A workman, as defined under the Industrial Disputes Act, 1947 (ID Act), is any person employed in any industry to do any manual, unskilled, skilled, technical, operational, clerical or supervisory work for hire or reward. Those mainly employed in a managerial or administrative capacity, or those employed in a supervisory capacity (and earning more than INR 10,000 per month) and sales employees (other than those employed in certain notified industries such as the pharmaceutical industry) are non-workmen. The IR Code has replaced references to “workman” with “worker” to make the term more gender neutral, and the definition of worker varies slightly from that of a “workman” under the ID Act and would include sales promotion employees.

Whether an employee is a workman or a non-workman is a matter of fact which can be determined on the basis of the nature of the employee's duties and the job description. If the employee is a workman, the employer must comply with certain labor and industrial laws, such as the ID Act. If the employee is a non-workman, the terms and conditions of their employment are primarily governed by their contract of employment with the employer. However, in some circumstances, employees (both workmen and non-workmen) may still be governed by the state-specific shops and establishment legislation (S&E Acts), which apply to most companies engaged in commercial activity. Employment may be indefinite, for a temporary term, full-time or part-time. The new labor codes formally recognize fixed-term employment structures and, once the codes are in effect, such employees would be eligible to certain employment benefits that may currently not be available to them, such as gratuity payment.

Legislation has established various employment exchanges, which public establishments and certain private establishments must notify of any vacancy before a post is filled. No employer is, however, obliged to recruit any person through the exchanges. Further, under the SS Code, the coverage of the statutory employment exchanges has  been broadened to include career centers, vacancies and persons seeking services of career centers and employers. The SS Code, when in force, will replace the employment exchanges (Compulsory Notification of Vacancies) Act, 1959.

Recruitment may also be conducted through recruitment agencies, labor contractors, advertisements in newspapers and on-site recruitment at the establishment.

State governments are also entitled to formulate rules prescribing state-specific employment conditions for employers. For instance, Haryana enacted the Haryana State Employment of Local Candidates Act, 2020 (Local Candidates Act) that requires employers in the State of Haryana to reserve a certain amount of job posts/roles for local candidates (subject to various exemption).

Independent contractor

Independent contractors may be engaged. A person is an independent contractor when a company designates the deliverables sought, and the person is free to carry out the work in the manner they deem fit, as long as the timelines and the quality of deliverables are met.

Establishments tend to engage independent contractors or consultants especially for activities where professional expertise is required for the business. Some employers also engage contractors to augment their workforce.

However, if, in reality, the nature of the working relationship is one of employment, there is a risk of misclassification. If misclassified, such ''contractors'' are entitled to the same employment benefits as the regular workforce.

Although not specifically covered under statute, employment arrangements such as gig workers and platform workers have begun to be used in India. The definitions of gig workers, platform workers, etc., have been determined under the SS Code. A gig worker is defined as a person who performs work or participates in a work arrangement and earns from such activities outside of traditional employer-employee relationship. Furthermore, a platform worker is defined as a person engaged in or undertaking platform work. Such workers also work outside the traditional employer-employee relationship in which organizations or individuals use an online platform to access other organizations or individuals to solve specific problems or provide services or any such other activities which may be notified by the Central Government, in exchange for payment. The SS Code also requires mandatory registration of gig and platform workers. However, the true impact of the labor codes will have to be reviewed once the rules under the labor codes are finalized and the SS Code brought into effect.

Agency worker

The practice of employing agency workers or contract labor is prevalent to varying degrees in almost all industries and services. It is more prevalent in labor-intensive sectors such as manufacturing, mining and construction industries.

Legislation regulates the employment of labor through intermediary contractors, regulates the manner of their deployment (including obtaining requisite registration certificates and licenses) and empowers the appropriate government to abolish such arrangements in certain circumstances. The intermediary agency is liable to provide amenities and pay wages including payment of social security, if applicable, to its employees deployed at the client's (referred to as the principal employer) workplace and, if it fails to do so, the principal employer is responsible, but may recover its costs from the intermediary agency. The OSH Code prohibits principal employers from engaging contract labor in core activities, subject to certain circumstances. The OSH Code provides a list of non-core activities where the prohibition would not apply, such as housekeeping, security and canteen.

Employee

In December2022, the Government of Indonesia issued Government Regulation in Lieu of Law (Perpu) No. 2 of 2022 on Job Creation which revokes Law No. 11 of 2020 on Job Creation and amends Law No. 13 of 2003 on Manpower (Manpower Law), among other laws.

The Manpower Law divides employees into two categories:

• Indefinite-term employees (also known as permanent workers): employees who do not fall into the category of definite-term employees or foreign employees.

• Definite-term employees: employees under a definite- or fixed-term employment agreement (“FTC”), also known as  contract workers. These employees may perform work to be performed and completed at once or work which is temporary; work whose completion is estimated within a certain period of time (up to 5 years); seasonal work; work that is related to a new product, new activity or additional product that is still in the experimental stage or tryout process; or work involving activities whose kind or nature is non-fixed. At the end of the definite- or  fixed-term employment agreement, if the employee has worked for at least 1 month the employee is entitled to compensation according to the term of employment as follows:
  • 12 months continuously: 1 x the monthly salary
  • 1 month but less than 12 months: the service period/12 x the monthly salary

  • more than 12 months: the service period/12 x the monthly salary

Moreover, if either the employer or the employee terminates the FTC before its expiry, the employer must pay the compensation calculated as above and the service period is calculated as the period for which the employee has worked.

A foreigner may only work under a definite term of employment and cannot therefore be a permanent worker but does not otherwise fall under the above rules. For example, a foreigner may fill a position which is open under a Minister of Manpower regulation and is required to perform a transfer of knowledge to Indonesian employee(s). Further, a foreigner is not entitled to compensation according to the term of employment. Their unpaid salaries act as compensation for the remaining term of their work permit.

Employees may be engaged on a full-time or part-time basis.

Independent contractor

May be engaged but should not be provided with fees or benefits which could be deemed as salary or employment benefits as they may be deemed to be employees. The independent contractor should also not be treated as an employee (eg, by imposing statutory working hours). Not separately regulated but will fall under general contract law.

Agency worker

No restrictions apply to activities or manpower regarding what may be outsourced. However, further technical requirements (eg, rights and obligations of an outsourcing company towards its employees) apply to outsourcing companies under a government regulation. One of the protections provided under the government regulation is that if an outsourcing company employs FTC employees, the FTC must regulate the protection of the employees in case of a change to the outsourcing company, provided that the work still exists. Further, an outsourcing company is obliged to fulfill its employees’ statutory entitlements.

Employee

Indefinite, fixed-term, full-time or part-time. Part-time and fixed-term employees have the right not to be discriminated against on the basis of their status.

Independent contractor

Independent contractors may be engaged directly by the company or via a personal services company. Engagement may be subject to misclassification exposure.

Agency workers

Agency workers are common. Agency workers have the right to equal treatment to employees in relation to pay, working hours and other benefits.

Employee

Indefinite, fixed-term, full-time or part-time. Israeli law requires companies to send candidates periodic notices regarding the status of their applications and to provide notice where the candidate is not chosen for the position.

Independent contractor

Independent contractors can be engaged directly by the company or via a personal services company. Engagement may be subject to misclassification exposure.

Agency worker

Agency workers will typically be either white- or blue-collar workers. Certain agency workers have the right to become employees of the employer after 9 months, and receive rights and benefits equal to these provided to employees at the same work place. Special rules apply to entities that engage agency workers providing security, catering and cleaning services.

Employee

Indefinite, fixed-term, full-time or part-time. Part-time and fixed-term employees have the right not to be discriminated against due to their status. Additional engagement options are available, such as on-call employment, job sharing or apprenticeships.

Independent contractor

Independent contractors may be engaged directly by the company, provided that certain requirements are met. Freelancers may also be engaged on an open-term basis, but there is increased misclassification exposure.

Agency worker

Agency workers are common. Agency workers have the right to equal treatment to employees in relation to pay and other benefits terms.

Employee

Most employees will fall into one of 3 categories: regular employee, fixed-term contract employee or dispatched employee. Employment may also be full-time or part-time. As of April 2013, if a fixed-term contract employee concludes a fixed-term contract for more than 5 years with renewal(s) and there has been no break in employment of 6 months or longer, the employer must make the employee an indefinite-term employee upon the employee's request.

Independent contractor

Independent contractors may be engaged, but care must be taken not to control or direct independent contractors as such action may lead to the independent contractor being deemed an employee.

Agency worker

Hiring dispatched workers is popular because it may lessen some of the burdens associated with the employment relationship. The employees sent by the dispatching agency are direct employees of the agency and not the company utilizing their service. There are strict limitations on the positions that may be filled by dispatched employees, control over the employee and time limits on how long a dispatched employee may be used for the same position. The area is very heavily regulated, and penalties for violations are severe. Only reputable and licensed dispatching agencies should be used. From April 1, 2021, the Ministry of Health, Labor and Welfare's Guidelines for Equal Pay for Equal Work applies to all companies, and, in principle, employers are not allowed to have differences in wages or compensation between dispatched worker and regular employees without justifiable reasons if they are doing the same or reasonably similar work.  If, pursuant to the Worker Dispatching Act, a dispatching company concludes a labor-management agreement with the representative of its employees which agrees how dispatch workers’ salary shall be decided, this regulation does not apply.  However, the salary decision method agreed under the labor-management agreement would generally push up the cost for the dispatching company, and the company would reflect the cost increase in its dispatching fees.

Employee

Indefinite-term, fixed-term, full-time or part-time. All employees are entitled to fair labor practices, and the employment relationship is regulated either by statute, contract or the collective bargaining agreement (CBA), in the case of unionized employees.

Independent contractor

Independent contractors may be engaged directly by a personal services company, and the terms of service are regulated by the contract for service between the company and the independent contractor.

Where the company contracts independent contractors, it is required to withhold tax on gross payments made to them at the rate of 3 percent for residents and 20 percent for non-residents, unless this rate is varied by a double tax treaty between Kenya and the country in which the contractor is resident.

Employee

Indefinite or fixed-term. Part-time employment is legally possible, but is not common. If both parties continue to perform their duties under a fixed-term contract after the expiry of the fixed term, the contract shall be deemed to have been renewed for a fixed-term of the same length.

Independent contractor

There is no concept of a consultant, unless individuals have established their own professional license and business, due to the requirement for employees to have sponsorship, which is generally obtained by the employer.

Agency worker

There is no general concept of an agency worker or "temp" in Kuwait. Some Kuwaiti-owned employment agencies are licensed to provide manpower on a temporary basis; those workers remain under the agency's sponsorship. These are mainly for low-level jobs, such as cleaning or security services.

Employee

Indefinite, fixed-term, full-time or part-time. Part-time and fixed-term employees have the right not to be discriminated against due to their status.

Independent contractor

Independent contractors may be engaged directly by the employer or via a personal services company. If there is a relationship of subordination between the independent contractor and the company, there is a risk of the relationship being re-qualified as an employment relationship.

Agency worker

Agency workers are common. Temporary lending of workforce is subject to specific conditions and non-discrimination rules.

Employee

Permanent, fixed-term, full-time or part-time.

Independent contractor

Independent contractors can be engaged directly by the company or via a personal services company. Engagement may be subject to misclassification exposure with financial risk. Work instructions, level of control, exclusivity, provision of equipment, access to employee-level benefits and organizational integration, in particular, will jeopardize the independent contractor position. 

Agency worker

Agency workers are common in industries where short-term or project-based engagements are the norm, and there are no restrictions on these arrangements.

Employee

Indefinite, fixed-term, training, part-time and seasonal or intermittent. Fixed-term agreements may only be executed under specific circumstances (eg, temporary replacement of an employee on maternity leave).

Independent contractor

Independent contractors may be engaged. Specific rules (ie, judicial criteria) must be followed in order to reduce misclassification exposure.

Agency worker

Agency workers are no longer permitted. A company may hire a specialized services provider only for activities that are different from the core business of the company receiving such services. The specialized service provider must be registered with the registry of specialized services provider maintained by the Ministry of Labor. Otherwise, the company receiving the services could be subject to monetary sanctions.

Employee

Indefinite, fixed-term, full-time or part-time (rarely used).

Independent contractor

Independent contractors may be hired directly by the company. The hiring of an independent contractor may be subject to requalification as an employee. Contract drafting must be accurate. Self-employed independent contractors are paid gross and are responsible for their own taxation.

Agency worker

Engagement of agency workers is strictly regulated. Recourse to agency workers should be exceptional. Recourse to agency workers is permitted:

• To replace an employee with another in the event of absence or in the event of suspension of the employment contract, provided that such suspension is not caused by a strike
• In case of a temporary increase in the activity of the company
• For the performance of seasonal work or
• For the performance of work for which it is customary not to conclude an indefinite-term employment contract due to the nature of the work.

Agency workers remain employees of the agency.

Employee

Indefinite, fixed-term (certain or uncertain). The fixed term may be for a certain period if it is known in advance when the task will start and end. An uncertain fixed-term is for a fixed-term which cannot be determined at the outset – for example, where an employee is employed to replace another employee who is injured. When the event that justified the signature of the fixed-term contract for the certain period ends, the contract terminates by expiry. Fixed-term employment contracts for a certain period may only be concluded for a maximum period of 2 years and may be renewed twice. Employment contracts that exceed the renewal periods are considered to be concluded as indefinite employment contracts. Foreign employees may only be hired on fixed-term employment contracts, which cannot be converted into permanent contracts.

Independent contractor

An independent contractor may be engaged through a service provision contract with a company or with an individual. Service provision contracts with individuals must contain clauses that clearly distinguish them from employment contracts. An individual foreign contractor needs a work and residence permit to provide services in Mozambique and will become an employee of their client (ie, corporate person) unless they form their own company to apply for their work permit and resident permit.

Agency worker

A specific regime applies to private employment agencies which provide services for the recruitment of employees with the purpose of temporary transfer to a third-party user, locally or abroad, by means of a temporary employment contract or user agreement. These agencies cannot hire foreigners to transfer them to third parties – they may only do so for nationals. They may only hire foreigners to work for them and not their clients.

Employee

The term ''worker'' is the general term used for ''employees'' in Myanmar, although the 2 terms may have slightly different meanings depending on the specific legislation. Employees may be employed on a full-time, part-time or casual basis. Certain laws such as the Workmen Compensation Act 1923 contain specific carve-outs for employees engaged on a ''casual'' basis. While the law does not provide specific differentiations with regard to the rights and obligations associated with full-time, part-time, fixed-term and indefinite forms of employment, entitlements upon termination of various types of contracts do differ.  

Employers must maintain registers and records of employees, ie, the work performed by such employees, the wages paid to them, the deductions made from their wages, the receipts given by them, and any other particulars. Government-appointed inspectors may visit the facilities of the enterprise and audit the status of such registers and records.

Independent contractor

The labor legislation does not specifically regulate independent contractors. Independent contractors can be hired directly by the company via a service agreement or an independent contractor agreement.

Agency worker

These would likely fall into the category of contractors which are permissible but not specifically regulated by Myanmar Law. 

Employee

Indefinite, fixed-term, full-time or part-time, zero-hours, on-call. Fixed-term employees may gain an indefinite employment status after a certain time and cannot be discriminated against due to their status. With regard to on-call employees and employees with zero-hour contracts, it is mandatory to offer a contract with a fixed number of hours after they have been employed for at least 12 months. This is a recurring obligation.

Independent contractor

With regard to independent contractors, there are no limitations imposed by law and thus no maximum term for hiring an independent contractor. There is, however, the possibility of exposure of deemed employment. The actual circumstances under which the contract is conducted are decisive in regard to the question of whether the work relationship should be considered an employment relation.

Under Dutch law, irrespective of the label given to a contract, an employment agreement will be deemed to exist between 2 parties if:

• The work must be performed in person
• Salary is paid and
• There is a relationship of authority between the individual and the company.

It is important to assess up front if the contract is in fact an employment contract "in disguise." If, based on the facts, this appears to be the case, the independent contractor should be regarded as an employee – so all employee and dismissal protections will apply – and Dutch wage tax and social premiums will be due.

To limit the tax and social security risk, parties may use model agreements, published on the website of the Dutch tax authorities, or submit the contract to the Dutch tax authorities to receive confirmation on the qualification of the contract in a ruling. If Dutch tax authorities confirm the absence of an employment relationship in a ruling, they can, in principle, not recover wage tax and social premiums from the client with respect to that contract.

On January 11, 2021, the Dutch government introduced a new online tool with regard to the legal classification of independent contractors: the Web Module for Assessment of Employment Relationships. The Web Module is an online questionnaire which companies can use to obtain clarity about whether an assignment can be carried out by a contractor instead of an employee. The Web Module will provide 1 of the 3 possible outcomes: contractor, employee or no judgement possible. The Web Module does not yet have legal status, but the outcome of its assessment may be used by companies to review – and reconsider – their working relationship with contractors.

Agency worker

Agency workers are common and cannot be discriminated against due to their status.

Employees who are placed in the organization through a payroll-provider/employer of record (PEO) are entitled to terms of employment that are equal to the terms of employment of “regular” employees of the organization – or terms of employment that are in line with sector common practice, if there are no regular employees within the organization.

Employee

Individuals may be recruited on either a full-time, part-time or casual basis (meaning they are employed by the hour or day) or on a fixed-term contract for a limited period. Various criteria must be met for valid casual or fixed-term employment.

Independent contractor

Independent contractors may be engaged directly by the company or via a personal services company.

Agency worker

Temporary workers are used by some organizations for short periods. The most common forms of temporary labor in New Zealand include casual employees and fixed-term employees. Agency workers are engaged by the agency, not the employer for which they are placed to work. The work arrangement between an agency, the agency worker and an organization is commonly referred to as triangular employment. The organization, despite not employing the agency worker directly, may still be liable in employment disputes due to being a controlling third party.

Employers may engage casual employees on an as-needed basis. While casual employment relationships are not governed by legislation, employers must be cautious that the employee does not “drift” into permanent employment status.

Employee

Indefinite, fixed-term, full-time, part-time or casual.

Independent contractor

Independent contractors may be engaged directly by the company or through another entity (eg, outsourcing or recruitment agency).

Agency worker

Agency workers are usually recruited by agencies and seconded by agencies or recruitment companies to render services for a fixed period or as may be required. There is no limit prescribed by law. The contract between the agent and the company typically provides for the duration of the engagement. The agency workers remain the employees of the recruitment agency, and the companies they are seconded to have no payroll responsibilities or obligations towards them.

Employee

The main rule is that employees are to be appointed permanently. Temporary employment is permitted in specific circumstances. Part-time employees and temporary employees have the right not to be discriminated against on the basis of such status.

Independent contractor

Independent contractors may be engaged. However, independent contractors must be sufficiently independent of the company in order not to be regarded as employees. This includes, for example, that the independent contractor bears the risk of the result of the work, is not restricted from also working for others and invoices all services to the company as a registered independent contractor.

Agency worker

Access to agency work is very limited. Agency workers have the right to equal treatment in relation to pay and other benefits.

Employee

Unlimited or fixed-term employment contracts. If the parties to a fixed-term contract continue to honor the contractual obligations following its expiry, it is renewed automatically for an unlimited period on the same terms and conditions.

Part-time employment is permitted but is less common and applies only to Omani nationals.

Independent contractor

There is a limited concept of a consultant; individuals may not provide consultancy services unless they have established their own professional license and business due to the requirement that workers are prohibited from carrying out work for a company that is not their sponsor.

Agency worker

There is no general concept of an agency worker or "temp" in Oman. Some Omani-owned employment agencies are licensed to provide manpower on a temporary basis, and these individuals remain under their sponsorship.

Secondee

Workers in Oman are not permitted to carry out work for another company that is not their sponsor. However, companies sometimes enter into an agreement with a local company whereby the local company acts as a third-party host to the individuals. Such an arrangement is not legal, strictly speaking, and is most often seen in circumstances where a company does not have a local entity.

Employment contracts

Indefinite, fixed-term or part-time.

Independent contractor

Independent contractors may be engaged, subject to potential misclassification exposure.

To mitigate the misclassification risk, the services must be provided independently without direction or control from the hiring company.

The main characteristics of independent contractor relationships in Peru are as follows:

• Contractors are autonomous and independent in the provision of their services
• No requirement to comply with working hours
• Non-exclusive services (ie, contractors usually have several clients)
• Contractors receive compensation or a fee for their services (rather than a monthly salary, as employees do) and are not entitled to any employment benefits, and
• The arrangement is subject to the civil law (not employment law).

Staffing and outsourcing services

It is permissible to engage workers through a third-party staffing agency. However, agency workers may be hired only for activities that are different from the company’s core business. Moreover, the staffing agency must comply with certain legal requirements (eg, registration with the Labor Ministry). This arrangement is commonly used for janitorial and security services.

It is also permissible to engage workers through outsourcing arrangements with an outsourcing company, except if the services are related to the client’s core business that includes permanent displacement of workers.

Workers assigned to perform services for a company are employed by third-party companies that provide outsourced business solutions or specialist consulting services on a contract (services) basis. The workers are managed, instructed and controlled solely by the outside third party, and such third party has its own financial, technical, material and human resources. The workers are subject exclusively to the orders and policies of the third-party company.

Both staffing and outsourcing arrangements have joint employer risks.

Consequences for non-compliance with the rules include the invalidation of the outsourcing scheme and the incorporation of the outsourced personnel onto the payroll of the client, as well as administrative penalties.

Employee

A regular employee is one who has been engaged to perform activities which are usually necessary or desirable in the usual business or trade of the employer or who has rendered at least 1 year of service, whether such service is continuous or interrupted, with respect to the activity in which they are employed.

If the employment does not fall within the nature of a regular employment, employment may be project, seasonal, casual or fixed-term.

Independent contractor

An independent contractor is one who carries on a distinct and independent business and undertakes to perform the job on their own account and under their own responsibility, according to their own manner and method, and free from the control and direction of the principal in all matters connected with the performance of the work except as to the results thereof. The contractor must likewise have substantial capital or investment in tools, equipment and machineries, work premises and other materials necessary in the conduct of their business.

Agency worker

The law prohibits labor-only arrangements (ie, a relationship where the agency refers employees and the principal merely pays the agency or contractor the salaries of the employees). In a labor-only arrangement, the principal is jointly liable with the agency for any labor claims. An outsourcing arrangement, where the agency directs and controls the employees, is lawful. Such agency may register as an independent contractor under DOLE Department Order No. 174 Series of 2017.

Employee

Employment relationship under an open-ended employment contract, fixed-term employment contract and employment contract for a probationary period; part-time and full-time. It is unlawful to discriminate against employees on the basis of their working part time or working under a fixed-term contract.

Independent contractor

A person engaged under civil law agreement is not an employee in the meaning of the Polish labor law. Nevertheless, a contractor is deemed an employee, irrespective of the formal name of the contract between parties, if an individual is engaged under the other party's supervision and subject to control of the place, hours of work and the manner of performance.

Entities concluding contracts for specific work (umowa o dzieło) are required to register them in the newly created register kept by the Social Insurance Institution (ZUS) within 7 days of the date of their conclusion. The registration obligation includes contracts concluded between persons that are not parties to an employment relationship.

Agency worker

Temporary work is widely used for short periods of employment in order to cover the absence of permanent employees or to perform seasonal works. Over a period of 36 successive months, a single user-employer may use the services of an individual provided by a work agency for a total period not exceeding 18 months.

Employee

Indefinite-term contract (which is the rule), fixed-term or open-term contract (such as a contract to cover absence; subject to strict limitations), part-time contract, telework contract, intermittent work contract (work during part of the year) and contract under the service commission regime.

Part-time, fixed-term and -term employees should not be discriminated against due to their status.

Independent contractor

Independent contractor relationships are permissible and are not governed by labor law. Engagement may be subject to misclassification exposure with high financial risk. Work instructions and organizational integration, in particular, will jeopardize the independent contractor position.

Agency worker

Agency workers may only be engaged to fulfill a temporary need for work. The agency work contract may be renewed without limitation in certain circumstances (though a limit of 6 renewals may be applicable), provided that the total duration of the engagement shall not exceed the legal maximum (ie, 2 years, but typically 1 year).

Agency workers have the right to equal treatment to employees in relation to pay and other regular benefits.

Employee

Unlimited or fixed term. Part-time employment is legally possible but is not common.

Independent contractor

There is no concept of a consultant, unless individuals have established their own professional license and business, due to the requirement for employees to have sponsorship, which is generally obtained by the employer.

Agency worker

There is no general concept of an agency worker or "temp" in Qatar. Some Qatari-owned employment agencies are licensed to provide manpower on a temporary basis (and the individual would remain under the agent's sponsorship) and the executive regulations to the Sponsorship Law do seem to contemplate employees working in Qatar on a temporary basis but such employment arrangements are not clearly detailed in Qatar law.

Employee

Indefinite as a rule, fixed-term (only in the cases expressly provided by the law and subject to specific legal conditions), full-time or part-time. Part-time and fixed-term employees have the right not to be discriminated against on the basis of such status.

Independent contractor

Engagement of independent contractors may expose the employer to the risk of the arrangement being reclassified as an employment relationship, with the possibility of it being construed that the parties have attempted to circumvent applicable employment law provisions.

Agency worker

Use of temporary employees via a temporary work agency is permitted only for executing a temporary and specific assignment, the maximum duration of which, including all successive renewals, is 36 months. Temporary employees are hired by the temporary work agency under a temporary individual employment agreement.

Employers may also have an individual assigned or seconded to them by another employer, provided that all applicable legal conditions are observed and only for a limited period of time.

Employee

Indefinite, fixed-term, full-time or part-time.

A definite fixed-term employment agreement may be concluded but cannot be for a term longer than 5 years. Additionally, it may only be concluded in the circumstances specifically provided for by Article 59 of the Labor Code.

Independent contractor

Independent contractors may be engaged directly by the company. There are severe penalties if a services agreement is requalified as a labor agreement.

Agency worker

The loan of labor (ie, secondments) is generally prohibited. Under the law, secondments are only permitted:

• by private (accredited) employment agencies or
• between related entities, including affiliates or parties to shareholder agreements.

Employee

Indefinite, fixed-term, full-time or part-time.

Incidental work – that is, work that is not considered by its nature to be part of the usual activities of an employer and whose execution does not require more than 90 days – is also a valid arrangement and accrues the same rights and incurs the same responsibilities as any of the arrangements above.

Seasonal work is work that is only confined to specific, local occasions (eg, Ramadan, Eid Al-Fitr or National Day). It accrues the same rights and incurs the same responsibilities as the arrangements above.

It is important to note that, with respect to non-Saudis, all employment contracts are deemed to be for a fixed term. If the employment contract itself does not specify a definite term, the term will be the length of the employee's work visa or work permit. Saudi employees automatically become engaged on indefinite-term contracts after 3 consecutive renewals of the employment contract or when the initial and the renewed term of employment reach 4 years. Part-time and fixed-term employees have the right not to be discriminated against due to their status.

Independent contractor

KSA Labor Law recognizes the validity of an independent contractor status so long that it is genuine and does not bear the indicia of an employment relationship (ie, no control from a party is exerted over the other with respect to performance in furtherance of the former’s interests in exchange for recurring – especially fixed – payments). Hence, engagement may be subject to misclassification exposure.

Agency worker

Subject to following the legal immigration rules for non-Saudis, agency workers are permissible and have the right to equal treatment to employees in relation to pay and other benefits terms.

Employee

The EA is the primary statute regulating the relationship of employees and employers in Singapore. Coverage by the EA is dependent on whether the individual in question falls under the definition of "employee" in the EA. The definition covers every employee who is under a contract of service with an employer, with the exception of seafarers, domestic servants and certain government employees (EA Employees). The second category of employees comprises EA Employees who are: (i) not workmen earning basic monthly salaries of up to SGD2,600 per month; and (ii) workmen earning basic monthly salaries of up to SGD4,500 a month, but in each case this does not include any persons who are employed in a managerial or an executive position, regardless of their basic monthly salary (Part IV EA Employees). Part IV EA Employees are granted further benefits under Part  IV of the EA including with respect to working hours, rest days and overtime.

Employees can be hired on a full-time, part-time or fixed-term basis.

Independent contractor

Independent contractors may be engaged, but the Singapore Courts and the Ministry of Manpower will look at the substance of the relationship to determine if the individual is, in fact, an employee and merely labeling or classifying an individual as an independent contractor is insufficient.

Agency worker

Agency workers may be engaged if they are Singapore citizens or permanent residents.

Employee

Indefinite, fixed-term, full-time or part-time. Part-time and fixed-term employees cannot be discriminated against due to their status.

Independent contractor

Independent contractors may be engaged by a company to provide independent services. However, the rights and obligations of independent contractors must be carefully agreed, and they cannot perform dependent work for the company, as the respective labor authorities could re-classify such a relationship as an employment relationship, which cannot be carried out under a commercial contract. This exposes a company to a high risk of being imposed with a fine in the case of such re-classification.

Agency worker

The temporary secondment of agency workers may be agreed for no more than 24 months. The working conditions, including wages and employment terms of agency workers must be equivalent to those of the user employer's comparable employees.

The agency must hold a special permit granted by the Central Office of Labor, Social Affairs and Family.

Employee

Full-time permanent employment, fixed-term, part-time and employment below the minimum hours per month, which may result in exclusion from minimum benefits. When engaging employees on fixed-term employment contracts, there may be a risk of a reasonable expectation of renewal or continued employment if the fixed-term employment contract is repeatedly renewed. In addition, where an employee is engaged on a fixed-term employment contract for longer than 3 months and the employee earns below a threshold amount determined by the Minister of Labour (ie, the Basic Conditions of Employment Act 75 of 1997 (BCEA) [RV1] threshold), which is set at ZAR224 080,48 per annum (equivalent to R18,673.37 per month) with effect from March 1, 2022, the employee is deemed to be employed on a permanent basis, unless one of a limited number of exceptions and/or reasons for using longer fixed-term employment exists. Furthermore, the employee must not be treated less favorably than a comparable employee performing the same or similar work unless there is a justifiable reason for different treatment.

Certain obligations arise for employers who employ part-time employees earning below the BCEA threshold. After an initial period of 3 months from commencement of such part-time employment, part-time employees earning below the BCEA threshold must be treated, on the whole, not less favorably than a comparable full-time employee doing the same or similar work, unless a justifiable reason for different treatment exists. After 3 months, employers are also required to provide part-time employees (earning below the threshold) with access to training and skills development, on the whole, not less favorable than the access applicable to comparable full-time employees.

A number of rights in the BCEA, including those relating to regulation of working time and leave, do not apply to employees who work fewer than 24 hours a month.

Independent contractor

Independent contractors are excluded from the employment protections afforded to employees, but legislation imposes a presumption of employment if certain elements exist in the working relationship, such as the right of supervision on the part of the employer. The presumption applies only to persons earning below the BCEA threshold. For other workers, the common law dominant impression test applies. There is no single indicator of an employment relationship. Instead, the court will look at the relationship as a whole to determine whether the relationship is one of employment or independent contracting. The level of control exercised by the employer over the "employee" is an important aspect to be considered.

Agency worker

Employees earning below the BCEA threshold enjoy additional protection if placed at a client through an agency (ie, temporary employment service). Except in limited circumstances, if the agency worker is placed at the client for longer than 3 months, the agency worker is deemed employed by the client for the purposes of the Labour Relations Act, 1995 but will remain employed by the agency or temporary employment service for the purposes of all other legislation. The agency worker also becomes entitled to be treated, on the whole, not less favorably than comparable permanent employees of the client unless there is a justifiable reason for different treatment. No deemed employment applies to agency workers earning in excess of the BCEA threshold.

Employee

Employees may be employed on either an indefinite basis (referred to as "regular" workers) or a definite/fixed-term basis for a maximum term of 2 years ("non-regular" workers). Fixed-term employees may be deemed to be employed on an indefinite basis if employed for a period of greater than 2 years, in principle.

Employees may be engaged on a full-time or part-time basis.

Independent contractor

Independent contractors may be engaged, and companies should be careful to avoid establishing employee status whereby the individual is entitled to all the benefits of an employee, including severance and employment security, thus, increasing the compliance, tax, payroll and other risks to the company. The primary factor distinguishing employees from contractors is the degree of supervision and control by the company over the individual.

Agency worker

Engagement governed by the Act on the Protection of Temporary Agency Workers. These are "dispatched workers" employed by a temporary work agency who provide services for a user company, under their direction and instruction, in accordance with the terms and conditions of a contract on temporary placement of workers, executed between the temporary work agency and the user company. The employment relationship is with the temporary work agency.

Employee

Indefinite or fixed-term (subject to strict limitations) and full-time or part-time. Part-time and fixed-term employees have the right not to be discriminated against due to their status.

The new labor reform redefined fixed-term contracts, establishing two main types: (i) a contract due to production circumstances and (ii) a worker replacement contract. If the employees are hired through temporary contracts but the engagement is based on permanent grounds, they will be considered indefinite employees.

The presumption that an employment contract is for an indefinite term is reinforced, and a discontinuous permanent contract for intermittent activities is preferred in opposition to a temporary one.

Additionally, the new labor reform redrafted training contracts, setting up two new options: (i) a contract for training in alternation with salaried employment and (ii) a training contract to obtain professional experience appropriate to the individual’s level of studies.

Independent contractor

Independent contractors may be engaged directly by the company. It is important to ensure that they are not misclassified as this may create liability under employment and Social Security laws.

A recent amendment to article 311 of the Spanish Criminal Code addresses fraudulent contracting with independent contractors. A new provision included through Law 14/2022 and effective on January 12, 2023 provides that “[t]hose who impose illegal conditions on their workers by hiring them under formulas outside the employment contract, or maintain them against a requirement or administrative sanction” is a criminal offense. The reform is intended to address the market model of platform delivery companies using new digital technologies. Liability is for company managers and directors.

Agency worker

Agency workers may only be engaged for a fixed-term or a training situation. Agency workers have the right to equal treatment as compared to employees, in relation to their essential labor conditions, through the entire length of the relationship. In addition, the new labor reform has introduced new violations and penalties. Monetary penalties for hiring services in cases other than those provided for by law have been increased and will be considered for each agency worker.

Employee

Indefinite, fixed-term, full-time or part-time. An employer may not put a part-time or fixed-term employee at a disadvantage by providing a salary or employment terms that are less favorable than those of employees in a similar situation working full-time or those in permanent employment.

Independent contractor

Independent contractors may be engaged directly by a company. However, engagement may be subject to misclassification exposure. In addition, the hiring of independent contractors may be subject to consultation requirements if the employer is bound by a collective bargaining agreement.

Agency worker

Agency workers may be hired and assigned to perform work under a user undertaking's supervision and direction. The equal-treatment principle under the Swedish Act on Agency Work requires the employer (ie, the temporary work agency) to ensure that the basic working and employment conditions for the employee who has been assigned to a user undertaking shall be at least those that would have applied if the employee had been employed directly by the user undertaking to perform the same work. As of June 30, 2022, new amendments to the Swedish Act on Agency Work have entered into force to facilitate agency workers to pursue permanent employment and to limit the hiring of agency workers on a permanent basis. Under these new rules, agency workers who have been working at a user's premises for at least 24 months over a period of 36 months should be offered employment with the user directly. The user may, however, opt out of offering agency workers employment and instead pay a compensation equal to 2 months' salary.

Employee

Indefinite, fixed-term, with a maximum duration, full-time or part-time.

Independent contractor

Independent contractors can be engaged with such status only if they can organize their time and duties themselves and effectively bear the economic risk related to their activity. Engagement may be subject to misclassification exposure.

Agency worker

Generally, agency workers must be formally employed by specifically authorized companies. If an extended collective employment agreement applies to the receiving company's employees, agency workers will also benefit from its provisions regarding salary and work duration.

Employee

Fixed-term and non-fixed contracts. Full-time or part-time. Some foreign employees may be subject to restrictions regarding part-time employment.

Independent contractor

Independent contractors fall outside the scope of the Labor Standards Act (LSA). Courts will review the degree of control over a worker in deciding whether they are subject to the LSA, and are, in fact, an employee.

Agency worker

An agency worker is called a "dispatch worker" in Taiwan and is subject to government restrictions.

Employee

A "hire of services" is a contract whereby a person (ie, the employee) agrees to render services to another person (ie, the employer) who agrees to pay remuneration for the duration of services. Employment may be full-time, part-time, with a definite or indefinite period.

Independent contractor

A "hire of work" is a contract whereby a person (ie, the contractor) agrees to complete work for the service recipient, who agrees to pay remuneration upon completion of the work. In general, the service recipient does not have the power to control the contractor. Unlike an employee, an independent contractor under a "hire of work" contract is neither protected nor entitled to employment rights under the Labor Protection Act B.E. 2541 (1998) (LPA) nor the Labor Relations Act B.E. 2518 (1975) (LRA).

Agency worker

According to the LPA, where an employer assigns another person to recruit a worker, it is not a job procurement business operation and such work is part of the manufacturing process or the work is for part of a business for which the employer is responsible, the employer shall be deemed to be the joint employer of the worker as if they were contracted under a hire of services contract by the employer (whether or not the employer supervises the work or is responsible for the payment of wages to the worker). The worker is entitled to claim for any benefit against the employer or such other person, and the employer will be deemed to be the employer of the worker as if the employee were engaged by them directly. However, the employer may recover any payment made to the worker from such other person if there is an agreement providing for such reimbursement.

Employee

An employee is an individual who provides another natural or legal person with services under the direction and control of that person in return for remuneration. The Labor Code covers both permanent and seasonal/occasional work and both fixed and indefinite term contracts, as well as apprenticeship contracts. Both fixed-term and indefinite term contracts can be concluded for either full-time or part-time work. Apprenticeship contracts must be in writing, under penalty of nullity, and must be signed by the master; the apprentice, if they are of age; or their guardian, if they are a minor. The law provides for requirements regarding the age of the apprentice and the qualities of the master.

Independent contractor

Self-employed persons are individuals who lack an employment contract, including agricultural workers, farmers, tenant farmers, independent fishers, artisans with a professional certification and drivers. Self-employed persons are subject to Tunisia’s social security regime and are responsible for paying the relevant social charges themselves.

Agency worker

The Tunisian Labor Code does not cover the concept of agency work but regulates the "subcontracting of labor" in articles from 28 to 30. Subcontracts are contracts concluded between an industrial or commercial chief of enterprise with a subcontractor who themselves recruit the necessary labor for the execution of a certain work or the provision of certain services.

The law clearly defines the cases in which it is the chief of company who incurs the responsibility of the employer, and the cases in which this responsibility is shared between the latter and the subcontractor. The law also regulates certain other aspects of this type of contract.

Employee

Definite period; indefinite period; full-time; part-time; for a maximum or minimum term; seasonal, temporary or on call; and in office, hybrid or remotely based. All employees have the right not to be discriminated against due to their status.

Independent contractor

Independent contractors may be engaged directly by the company.

Agency worker

Companies may outsource agency workers for certain positions stipulated under Turkish legislation. Establishment of a subcontractor relationship for (i) auxiliary works for production of goods and services or (ii) dividable parts of main work which require expertise due to technological reasons or features of the workplace and business is permissible under Turkish law. If the conditions for establishment of a subcontractor relationship are not met, the relationship is likely to be deemed "collusive payroll subcontracting," which, while sometimes used in practice, is not permissible, and is subject to an administrative fine. In addition, the employees lent from the agency would be regarded as employees of the hiring company.

Employee

Indefinite, fixed-term, full-time or part-time employees have the right not to be discriminated against. Substantial level of control over the individual, provision of tools of trade and training and an individual's work being an integral part of the business indicate that an individual is an employee. Casual employees may only be engaged for up to 4 months.

Independent contractor

Independent contractors may be engaged directly by the company or via a personnel services company. Engagement may be subject to misclassification exposure. Payments for independent contractors are subject to a 6-percent withholding tax. However, a foreign company engaging an independent contractor has no obligation to withhold tax. The independent contractor is, however, required to pay the tax.

Agency worker

Agency workers are common. The agency is required to have a valid recruitment permit.

Employee

Employment can be for part-time or full-time employment and for different durations. Employment may be:

• Indefinite (most commonly used)
• Fixed-term (restricted to specific cases – for example, when an employee is hired to perform the duties of a temporarily absent employee or is hired to a specific position, such as a state official or judge), or when an employee insists on the fixed-term employment agreement due to personal reasons)
• Until completion of an agreed-upon project, when it is impossible to determine the project's duration.

Independent contractor

The use of independent contractors is permitted, but contractors may be reclassified as employees by the relevant authorities if misclassified. Penalties may be imposed in case of reclassification.

Agency worker

Engaging agency workers is common for employers that need temporary employees from time to time or that cannot hire the employees directly due to global headcount reasons. A Ukrainian employer may engage agency workers only if:

• such engagement is directly allowed by the agency’s collective agreement and is based on the consent of the relevant trade union

• the employer has not had a staff reduction within the year prior to commencement of such engagement

• the employer complies with the statutory ratio of employees of the main professions who are engaged in the technological processes of the main production

• the engaged agency workers will not perform the work of employees of the main professions of the technological process of the main production

• the agency workers will not work in a hazardous, physically demanding or dangerous work environment

Due to legal uncertainty in the regulation of agency workers, agency workers are often engaged under general services agreements.

Employee

All employees (apart from those regulated by the DIFC or ADGM) must be employed on fixed-term contracts. Those who are currently on unlimited term contracts must convert to fixed term by no later than December 31, 2023.

Part-time workers are recognized under the Labor Law as those who work for one or more employers for a specified number of working hours or days designated for work. In the DIFC, part-time workers are those who work less than 8 hours per work day, or less than 5 work days per week, or their terms of employment do not stipulate full-time employment.

In the Labor Law, DIFC and ADGM, part-time workers are entitled to employment rights on a pro-rated basis.

Independent contractor

There is a limited concept of a consultant, unless individuals have established their own professional license and business. This is due to the requirement for employees to have sponsorship, which is generally obtained by the employer. An independent contractor would need to ensure that all necessary immigration and visa permissions are in place entitling them to work in the UAE.

The new Labor Law (effective February 2, 2022) introduced a new freelance work permit. The freelance permit “is issued to individuals wishing to undertake independent self-employment (without being sponsored by a specific organization or employer in the State and without the condition of having a valid employment contract, whereby the natural person earns money by providing his services for a specific period or performing a task or providing a specific service, whether to individuals or establishments, whereas this natural person is in no way a worker for those individuals or establishments.” This means that freelancers will not be subject to the minimum employment requirements set out in the Labour Law as they are self-employed.

Under Article 8 of the Executive Regulations to the Labor Law, “Freelance is an independent and flexible work arrangement, whereby the natural person generates income by providing his services for a specified period of time or performing a task or providing a specific service, whether for individuals or establishments, whereas this natural person is in no way a worker for those individuals or establishments.”

While the new law came into effect in 2022, it is not yet possible to apply for a green visa for freelance work. We expect this situation to change shortly.

Agency worker

The Labor Law states that engaging in the activity of temporary employment and outsourcing is considered engaging in the activity of employment agencies. Temporary employment and outsourcing are defined as employing an individual with the intention of making them available to a third party, and the employment relationship becomes a direct one with the agency that outsourced the individual’s services to the third party.

Employee

Indefinite, fixed-term, full-time or part-time. Part-time workers and fixed-term employees have the right not to be discriminated against on the basis of their employment status.

Independent contractor

Independent contractors may be engaged directly by the company or via a personal services company. Engagement may be subject to misclassification exposure, whether as an employee or worker.

Workers

A "worker" has fewer rights than an employee but more than an independent contractor. A worker works under a contract for personal service (ie, they cannot send a substitute) with another party whose status is not one of customer or client to the individual.

Agency worker

Agency workers are common and are typically either employees or workers. Agency workers have the right to equal treatment to employees in relation to pay and other benefits terms after a 12-week qualifying period.

Employee

Employers may elect various hiring options – at-will, fixed-term, full-time or part-time, temporary or seasonal. Generally, the nature of the employment relationship is at will, meaning either the employer or the employee may terminate the relationship at any time, with or without notice and with or without cause, as long as the reason for termination is not discriminatory or retaliatory and does not otherwise violate the law. Many states recognize exceptions to the at-will employment doctrine due to public policy, implied contracts, the covenant of good faith and fraud or misrepresentation. Certain jurisdictions have either superseded the general rule of at-will employment by statute (eg, Montana) or have adopted a statutory severance scheme for terminations without cause (eg, Puerto Rico). States may also have industry-specific legislation. For example, in 2021, New York City enacted first-of-its-kind legislation that prohibits fast food employers from discharging or substantially reducing an employees’ hours without “just cause” outside of a probation period.

Independent contractor

Independent contractors may be engaged directly as individuals or through an entity (eg, LLC or LP). Contractors must be truly independent and not be closely directed by the principal. There are multiple tests utilized that consider various factors on both the federal and state level to determine whether an individual is properly classified as an independent contractor. By way of example, if an individual is engaged through a separate business entity, is not performing work that is a part of the company's core business, performs the same or similar services for other entities and is engaged for a short-term assignment or project, the individual will likely be deemed properly classified and engaged as an independent contractor. Employers should utilize agreements with independent contractors to document the relationship.

The test for independent contractor status varies depending on the locality and forum, with different rules applied by various federal agencies such as the Department of Labor, National Labor Relations Board and Internal Revenue Service. In 2022, the DOL released its proposed rule defining the standard that governs whether workers should be classified as employees or independent contractors. The proposed rule would result in a return to a multi-factor economic realities test widely viewed as making it more difficult for engaging entities to classify workers as independent contractors. A final rule is expected in 2023.

Some states have different or more restrictive tests for determining a worker’s status. While there is no one legal test, independent contractors typically are persons who are not supervised or controlled by an employer, do not provide services critical to an employer’s operations, use their own tools and resources to complete a task, and operate in a time and manner of their choosing.

This is a rapidly evolving and active area of law, particularly when it comes to the gig economy, with significant potential exposure for misclassification.

Agency worker

Employees may provide services through an employment agency or professional employer organization (PEO). The company and the agency may be deemed "joint employers" and be held jointly liable under various federal and state employment laws. Which entity is financially responsible for any such liabilities may depend on the terms of the agreement with the employment agency or PEO.

Employee

Employees may be hired under indefinite or fixed-term contracts and on a part-time or shift worker basis.

Fixed-term employment contracts are restricted and may only be entered into when (a) the nature of the services requires, (b) an employee is provisionally replaced by another employee, (c) a Venezuelan employee is temporarily sent abroad to perform services and needs to be replaced, and (d) when an employee is required to complete a specific work or project. Fixed-term employment contracts may only be renewed once. If the employee continues to work after the expiration date or if it is renewed for a second time, then the employment contract becomes indefinite. However, fixed-term employment contracts used in the construction sector may be renewed without limit.

Independent contractor

Independent contractors perform services under a civil or commercial relationship, characterized by non-exclusiveness of services, absence of employer control, direction and supervising powers, and use of its own resources and personnel to provide services, among others. Independent contractor agreements are not covered by the statutory protections afforded in the Venezuelan labor law.

The Venezuelan labor law presumes an employment relationship where an individual personally provides services and receives remuneration for such services and the company receiving the services has control and direction over the way the services are executed.

Agency worker

Hiring workers through intermediaries such as temporary work agencies is restricted. Agency workers are entitled to receive the same pay and must be granted equal working conditions as those of the company where they are assigned. In these types of arrangements, the contracting company may be held vicariously liable for any labor obligations towards the temporary agency worker. Such arrangements may not be used to evade or circumvent labor obligations.

Employee

Individuals may be employed on an indefinite-term contract or a definite-term contract.

Under a definite-term contract, the parties agree to the term and the time of termination of the contract for a period not exceeding 36 months.

Independent contractor

A Vietnamese individual may provide services to an enterprise or organization in Vietnam as an independent contractor, although they should generally have a household business registration to do so. The provision of services as an independent contractor falls under the jurisdiction of the 2015 Civil Code, the 2020 Law on Enterprises and the 2005 Commercial Law and is generally not considered an employment relationship to which the labor laws apply. Consequently, an independent contractor is not entitled to any statutory employment rights under Vietnam law.

The new Labor Code 2019 strengthens the protection of employees engaged under a services or consultancy agreement without justification in order to avoid employment rules. The new Labor Code 2019 provides that the name of the contract does not determine its qualification, and, when such a contract specifies the “work to do” (công việc phải làm), wages, management (quản lý) and administration (điều hành) of the hired party, then such a contract must be regarded as an employment contract.

As a general rule, the use of a service contract for permanent and long-term work is not encouraged and may be viewed by the labor authorities as a circumvention of employment-related requirements, such as contributions to statutorily required insurance for employees. This risk may be increased if the individual does not have a household business registration.

Agency worker

An agency worker is an employee recruited by an enterprise that hold a license for “labor outsourcing activities” (Outsourcing License) who thereafter works for another employer (ie, a subleasing employer). The permit under the Outsourcing License only covers certain types of occupations on a specific (and exclusive) list created by the government. The agency worker is subject to management by the subleasing employer but maintains an employment relationship with the employment outsourcing enterprise. The period of any employment outsourcing must not exceed 12 months. Agency workers have the right to receive pay and benefits equivalent to those specified in the employment contract signed between the employer and the employment outsourcing enterprise. Further, the employment outsourcing enterprise must ensure that the agency worker receives a wage not lower than that of an employee of the subleasing employer with the same job and professional qualifications, or a job of the same value. Additionally, the subleasing employer has an obligation, among others, not to discriminate regarding labor conditions between agency workers and other employees of such subleasing employer.