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Thursday, November 20, 2025

Beyond the label: Worker signed independent contractor agreement but required to follow handbook - HRD America

Employee or not? Worker signed employer's handbook covering performance management and social media rules

The Fair Work Commission (FWC) recently dealt with a general protections application from a worker against a boxing gym operator. On 26 July 2025, the worker lodged an application pursuant to section 365 of the Fair Work Act 2009.

The employer raised a jurisdictional objection that the worker was not dismissed within the meaning of section 386 of the Act because the worker was not an employee.

On 23 May 2023, an agreement titled "Independent Contractor Agreement" was executed between the worker and the employer.

The agreement contained provisions including that the employer appointed the worker to provide services, that nothing would be deemed to create any relationship of employer and employee, and that it was the express intention of the parties that the worker was in all respects an independent contractor.

The agreement included terms requiring the worker to pay all insurances, including workers' compensation, public liability insurance for not less than $20,000,000.00, and professional indemnity insurance for not less than $10,000,000.00.

The agreement also imposed post-employment restraints on the worker. The schedule to the agreement provided that the term would be from 4 April 2023 until 8 April 2024. The services the worker was required to perform were described as "Trainer".

Agreement terms not followed in practice

Notwithstanding the terms of the agreement,...



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