Contract of Employment vs. Independent Contractor

What's the Difference?

A Contract of Employment and an Independent Contractor agreement are both legal documents that outline the terms and conditions of a working relationship. However, they differ in several key aspects. A Contract of Employment is typically used when an individual is hired as an employee by a company. It establishes the rights and responsibilities of both parties, including working hours, salary, benefits, and termination procedures. On the other hand, an Independent Contractor agreement is used when a person or business is hired to provide specific services on a project basis. Independent contractors have more flexibility in terms of working hours and methods, but they are responsible for their own taxes, insurance, and other business expenses. Unlike employees, independent contractors do not receive benefits such as paid leave or health insurance.

Comparison

Further Detail

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