Recent case highlights what really matters in contractor vs employee disputes
07 May 2025
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The Fair Work Commission (FWC) recently dealt with a case concerning whether a worker was an employee or an independent contractor. The worker had filed an unfair dismissal application after her services were terminated, claiming she was actually an employee despite being classified as a contractor.
The worker argued several points to support her employee status claim. She stated she had no control over her shifts, received regular weekly payments, had minimal financial risk, and didn't provide her own tools or equipment. She also noted that she obtained an Australian Business Number (ABN) specifically for this role, having never held one previously.
The employer firmly disputed these claims, presenting evidence that the worker maintained her own insurance, had schedule flexibility, and was responsible for her own tax affairs. The case turned on determining the "real substance, practical reality and true nature" of their working relationship.
The case involved a support worker providing services to a National Disability Insurance Scheme (NDIS) participant. The participant had previously received support through a Supported Independent Living (SIL) arrangement that ended in September 2023, requiring a new support model.
The legal guardian of the NDIS participant approached the worker months before the previous arrangement ended. Although...
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