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ACT's new policy to set more specific rules for hiring contractors would only lead to more exploitation of workers, an employment lawyer says.
The party's leader David Seymour says recent court decisions will only erode contracting, and make it unviable - though the lawyer, who has taken cases to court over the nature of contractors' work, also disputes that.
Seymour announced the policy on Thursday morning, saying changes to the definition of "employee" were needed so businesses could continue to hire contractors without needing to provide the same rights and protections as employees.
It followed a case in the Employment Court last year that found Uber drivers were employees, not contractors, and should get protections including minimum wage, sick leave and holiday pay.
Seymour told RNZ the findings were not consistent with a modern economy.
"We understand what the court's saying, but we also understand that they are obliterating the possibility of being an independent contractor with the flexibility - and, usually, greater pay - that comes with that in return for not having the security and benefits of employment," he said.
"It will erode and make unviable that option that, you know, 90 percent of people according to Statistic New Zealand are very happy with their contracting arrangements.
"We believe that distinction should continue to exist and should evolve for a modern economy."
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