If an employment relationship exists, for each employee, the employer must:
1. Withhold.... from wages, and pay the employer’s share of Social Security and Medicare taxes
2. Provide.... and.... insurance.
- 1. income taxes
- 2. worker's comp., unemployment
Most employment laws apply only if an.... relationship exists.
Distinguishing between employees and independent contractors is important in determining who is an.... and the application of many....
Understanding the employment at will doctrine is important for business....
An employment contract can...
1. Be express or....
2. Provide terms of....
3. Provide for the protection of.... and....(nondisclosure clause)
4. Provide for.... of employees and customers/vendors
- 1. implied
- 2. employment
- 3. confidential info, trade secrets
- 4. non-solicitation
An employment relationship can include an arbitration provision for.... and can be enforced by.... and....
settlement of disputes, TROs, injunctions
The doctrine that says an employer or employee may terminate the employment relationship at any time, for any reason, or for no reason.
Employment at will
In the state of Texas employment at will is.... unless shown otherwise.
5 limitations (exceptions) on employment at will.
- 1. Fed/state statutory exceptions
- 2. Contract Exceptions
- 3. Retaliation Exceptions
- 4. Public Policy Exceptions
- 5. Tort Exceptions
Employer liability is more likely for.... than for....
Many employment related statutes apply to.... but not to....
Wage pmt. statutes apply to....
Misclassification can be a very.... mistake.
In an employment relationship, control doesn't need to actually be....; rather, if the service recipient has the.... to control, an employment relationship may be shown.
Under the common law test, a worker is an employee if the purchaser of that worker’s service has the.... to direct or control the worker, both as to the.... and as to the.... of when, where, and how the work is done.
right, final results, details
An independent contractor is a person who contracts with a principal to perform a task according to his or her own...., and who is not under the principal’s.... regarding the details of the work.
4 different tests used as criteria in classifying an employment relationship.
- 1. Economic realities test
- 2. Common law test
- 3. Hybrid test
- 4. Right to control test
This employment relationship criteria test is used in Fair Labor Standards Act (FLSA) cases regarding overtime, wage cases.
Economic realities test
The.... and.... tests are used by some courts in employment relationship classification.
common law, hybrid
This employment relationship criteria test is used in Internal Revenue Service (IRS) cases regarding withholding, payment of taxes.
Right to control test
3 categories of evidence used in the right to control test.
- 1. Behavioral control
- 2. Financial control
- 3. Type of relationship between parties
The behavioral control evidence category used in the right to control test includes.... (4 things)
- 1. Type of instruction
- 2. Degree of instruction
- 3. Evaluation systems
- 4. Training provided by business
The financial control evidence category used in the right to control test asks.... (5 things)
- 1. Significant investment?
- 2. Unreimbursed expenses?
- 3. Opportunity for profit/loss?
- 4. Services available to the market?
- 5. Method of payment?
4 questions to look at when looking at the type of relationship between the parties.
- 1. Written contract?
- 2. Employee-type benefits provided
- 3. Permanency of relationship?
- 4. Do services provide key activity of business?
Factors of the common law test:
1. Extent of the hiring party’s.... to control the manner and means by which work is done
2. Level of.... required
3. Source for necessary....
4. The.... and.... of the work
5. The extent to which the hiring party has the right to assign additional....
6. Who has.... over when and how long to work
7. The.... of payment
8. The hired party’s role in hiring and.... assistants
9. The extent to which the work is part of the.... business of the hiring party
10. Whether the hiring party is in....
11. Whether.... of any kind are provided to the hired party
12. The.... treatment of the hired party
- 1. right
- 2. skill
- 3. tools/materials
- 4. location, duration
- 5. projects
- 6. control
- 7. method
- 8. paying
- 9. regular
- 10. business
- 11. benefits
- 12. tax
7 questions to look at when using the economic realities test.
1. Who has the.... to control how, when and where the work is done?
2. Who provides the.... for the work to be done?
3. Does the method of payment provide opportunity for.... ?
4) What is the duration of the.... relationship?
5) Does the work require a “.... skill?”
6) How.... to the business is the work performed?
7) Overall, how.... is the hired party on the hiring party?
- 1. right
- 2. tools/materials/resources
- 3. profit/loss
- 4. working
- 5. special
- 6. integral
- 7. dependent
The Common Law test and IRS test focus on the.... to control the worker and the Economic Realities test focuses on the.... for the contractor’s services, and whether the contractor is in business for....
right, market, his/herself
Tips to prevent misclassification:
1. Use caution in classifying.... as independent contractors
2. Only use independent contractors who are.... (or have separate entity) and market their services to the....
3. Pay by.... and negotiate rates
4. No training, reporting, evaluation, handbooks, policies,firing, etc.
5. Never permit independent contractor to make employment.... for your employees
6. Have signed agreement confirming.... and indicating.... by the project (but this is not determinative of status)
7. Require that the independent contractor supply his own.... and pay his own assistants and business....
8. Do not allow independent contractors to do work that is.... to the firm’s business or the same work as employees perform
9. Provide no.... and no time off
10. Make it clear that the independent contractor is free to offer his services to....
- 1. former employees
- 2. incorporated, public
- 3. invoice
- 5. decisions
- 6. status, payment
- 7. tools/material/equipment, expenses
- 8. central
- 9. benefits
- 10. others
4 categories of other workers.
- 1. Temporary Workers
- 2. Students and Interns
- 3. Volunteers
- 4. Partners
Doctrine that states employers are responsible for the actions of their employees while they are acting within the scope of employment.
Employers may be liable for harmful actions of their employees that are outside the scope of employment if:
1. .... intended the harm
2. Employer was.... in allowing harm to occur
3. Harmful actions were aided by the.... conferred on the employee by the employer.
- 1. Employer
- 2. negligent/reckless
- 3. actual authority
3 types of employment relationships.
- 1. Master-Servant
- 2. Principal-Agent
- 3. Independent Contractor
3 types of authority in an agency relationship.
- 1. Actual Authority (express or implied)
- 2. Apparent Authority (problem area)
- 3. Notice Requirements
Organizational structures are often.... and overlapping.
To determine whether 2 or more ostensibly separate entities should be considered parts of an integrated enterprise, the EEOC considers the degree to which there is:
1. An interrelation between the....
2. Common.... of the entities
3. A centralized control of.... and.... policies
4. Common.... or financial control of the entities
- 1. operations
- 2. management
- 3. HR, labor
- 4. ownership
Employers who, though separate, both maintain relationships with the same employees, may be.... employers.
Joint employers share in the liability for.... of an employee’s rights.