Employment relationships in New Zealand are a special class of relationships. Individuals who are parties to employment relationships are afforded a number of protections, including rights to minimum entitlements, as well protections against the relationship being terminated at will. Independent contractors, on the other hand, are afforded very limited protections. When it comes to determining whether an individual is an employee or an independent contractor, courts are required to look at the true nature of the relationship which involves examining the intention of the parties, balancing factors of integration and control, and considering the fundamental or economic reality of the relationship. An employee serves the business of the hirer, where an independent contractor serves their own business.

Individuals are increasingly challenging the true nature of their “contracting” relationship and alleging that they are employees, meaning this area has seen considerable judicial attention in recent years.

This has meant that hirers have to deal with a legal grey area as to who is genuinely an independent contractor, creating uncertainty and leaving them open to significant litigation and cost risks. Getting the true nature of the relationship right from the outset is essential, but not always easy to do.

Uber is the most recent case in a slew of case law, with both the Employment Court and then the Court of Appeal determining that Uber drivers are employees. Uber has confirmed...

Read Full Story: https://news.google.com/rss/articles/CBMixwFBVV95cUxNX1Bsbm94c2NoVGVtNktfRXIx...