Does Josie have a contract of employment? Under Australian common law, is there any common law duty owed to Josie?
Principles of Law:
2.1. Independent Contractor
An independent contractor is somebody who is independently employed and gives services to customers (Victoria, 2006). The independent contractor laws protects authentic independent contractor from unfair contracts and protect particular assurances for outworkers and proprietor drivers (Government, n.d.). The principal is just inspired by the result of the agreement. How the independent contractor accomplishes the job, for instance, by captivating other individuals to work, is not by any concern of the principal (Waarden, 2014).
2.1.1. Distinguish Between Employee …show more content…
A worker is considered an employee if their relationship with the employer meets the common-law test. Even if the employer does not give the employee orders on what to do, including, how, when, and where to do the job, he or she only needs the right to do so for the worker to be considered an employee (Ministry of Business, 2005). The five types of test are control test, the integration/organisation test, in the business/economic test, ready mixed concrete test and multi-factor test (Waarden, …show more content…
An independent contractor is responsible for her own tax, insurance, etc. Independent contractor can also choose their own hours and do their job any way they want to, as long as they can accomplish the task well. She worked for 37.5 hours per week, which employee hours is 38 hours per week. Josie also has her own Australian Business Number (ABN), which means her business is identified by the government.
According to the business/organisation test, Josie is responsible to take risk and she does have her own business, which indicates that she is an independent contractor. As supported by the case of Abdalla v Viewdaze Pty Ltd (2003) 122 IR 215.
Relatedly, Thomas has no right to give Josie extra work and giving her extra working time. This can be supported by the case of World Book (Australia) Pty Ltd v Federal commissioner of Taxation (1992) 108 ALR 510 at 518, which Sheller JA says that, doing the production of a given result has been thought to be an imprint, if not the imprint, of an independent contractor. Furthermore, Thomas has no right to threat Josie, by telling her that her contract would be terminated if she does not complete her extra