(C) the person is ordinarily engaged in a self-employed activity, profession, profession or activity that participates in the service provided; (15) Significant investments. When the worker invests in facilities used by the worker in the provision of services and which are not generally maintained by employees, for example. B the maintenance of an office leased at fair value by an independent party, this factor tends to indicate that the worker is an independent contractor. However, the absence of investment in establishments indicates dependence on the person or persons for whom services are provided to the institutions and the existence of an employer/employee relationship; (5) Recruitment, supervision and payment of assistants. When the person or person for whom the services are provided hires, supervises and pays assistants, this factor usually shows the control of workers in the workplace. However, where one (1) worker hires, supervises and pays the other assistants under a contract, in which the worker undertakes to provide materials and labour and under which the worker is only responsible for obtaining a result, this factor indicates an independent holder status; (17) Work for more than one company at the same time. Where a worker simultaneously provides more than de minimis services to several self-employed persons or undertakings, this factor generally indicates that the worker is an independent contractor. However, a worker who provides services for more than one (1) person may be an employee of each person, including if such persons are part of the same service agreement; (16) Achieving success. A worker who may make a profit or suffer a loss as a result of the worker`s services, in addition to the profit or loss normally generated by the employees, is usually a self-employed contractor, but the worker who cannot do so is an employee. For example, where the worker is exposed to a real risk of economic loss due to significant investments or good faith liability for expenses such as the payment of wages to unrelated workers, this factor indicates that the worker is an independent contractor. The risk that a worker will not receive remuneration for the services provided by the worker is common to both self-employed contractors and workers and does not constitute a sufficient economic risk to support treatment as a self-employed contractor. (12) Payment per hour, per week, per month.
Payment by hours, week or month generally indicates an employer/employee ratio; provided that this method of payment is not only a convenient way to pay a lump sum agreed as a cost of a contract. Payment by contract or direct commission usually means that the worker is a self-employed contractor; If you have any questions about the new Tennessee Law, the analysis of counter-independent staff, or any other pay and hour issues, please contact Jackson Lewis` attorneys with whom you work regularly. Under the current standard, the courts consider several factors in assessing the status of an employee or independent contractor. These factors include: (8) full-time required. If the worker is to devote essentially full-time to the activity of the person or persons for whom the services are provided, the person or persons have control over the time spent by the worker at work and implicitly prevent the worker from carrying out another professional activity. an independent contractor is free to work when and for whom the independent contractor chooses; In 2019, the Tennessee Legislature HB passed 539, which requires consideration of the 20-factor test in IRS Revenue Ruling 87-41 to determine whether there is an employer-to-employee ratio for the purposes of Tennessee`s Wages and Hours Act, occupational safety and health act of 1972, and Tennessee Employment Security Law. This law entered into force on 1 January 2020. Prior to January 1, 2020, Tennessee Employment Security Law relied on the ABC test to determine employee or independent contractor status. . .