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How closely can we monitor contractors without creating an employment relationship?

by on
in Employee Benefits Program,Human Resources

Q. Can I require an independent contractor to provide weekly sales reports (number of contacts made, closed sales, contracts sent, etc.) without turning our arrangement into an employer/employee relationship?

A.
A requirement of providing weekly reports is unlikely to determine whether an individual is an employee or an independent contractor. Many factors determine an individual’s status.

Ensure that you treat the person as an independent contractor and that the other relevant factors weigh in favor of classifying him or her as an independent contractor.

It may be better to word the reporting requirement in the context of being able to verify that the contractor is making proper progress on his or her assignment.

 

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