Legal
Contract Types & Employment Law
The legal structures governing work arrangements — permanent, contract, fixed-term, freelance, IR35 status, and co-employment rules.
68 terms
1099 Contractor(1099)
Contract Types & Employment LawA 1099 contractor is a US independent contractor who receives a Form 1099-NEC at year end rather than a W-2, reporting…
12-Week Qualifying Period
Contract Types & Employment LawThe 12-week qualifying period is how long an agency worker must work in the same role with a hirer before gaining equal…
ABC Test
Contract Types & Employment LawThe ABC test is a three-part test some US states, such as California under AB5, use to decide whether a worker is an…
Affirmative Action
Contract Types & Employment LawAffirmative action, for US federal contractors, means maintaining written programs under Executive Order 11246 to…
Affirmative Action Plan
Contract Types & Employment LawAn Affirmative Action Plan is a written program US federal contractors must keep to show how they ensure equal…
Agency Workers Regulations
Contract Types & Employment LawThe Agency Workers Regulations 2010 (AWR) give UK temporary workers equal pay and basic conditions after 12 weeks in…
Americans with Disabilities Act(ADA)
Contract Types & Employment LawThe Americans with Disabilities Act (ADA) prohibits discrimination against qualified individuals with disabilities in…
At-Will Employment
Contract Types & Employment LawAt-will employment is the US legal doctrine under which either the employer or employee can end the employment…
BFOQ
Contract Types & Employment LawA BFOQ, or bona fide occupational qualification, is a narrow US Title VII exception that lets an employer require a…
Co-Employment Risk
Contract Types & Employment LawCo-employment risk is the legal exposure when a client is treated as a joint employer of an agency's temp and becomes…
Comparable Worker (AWR)
Contract Types & Employment LawA comparable worker under the UK Agency Workers Regulations 2010 is a hirer's permanent employee doing similar work,…
Constructive Dismissal
Contract Types & Employment LawConstructive dismissal is when an employee resigns because their employer fundamentally breached the employment…
Contract for Services
Contract Types & Employment LawA contract for services is the UK contract engaging a self-employed contractor to deliver defined work, unlike a…
Corp-to-Corp
Contract Types & Employment LawCorp-to-corp (C2C) is a US contracting structure where the client or agency pays a contractor's incorporated company,…
DBS Check
Contract Types & Employment LawA DBS check is a UK criminal record check from the Disclosure and Barring Service, at four levels, with the level set…
Deemed Employment
Contract Types & Employment LawDeemed employment is the finding that a contractor working through a personal service company is, for UK tax, an…
EEO-1 Report
Contract Types & Employment LawThe EEO-1 report is an annual US filing to the EEOC where covered employers report workforce headcounts by job…
Employee
Contract Types & Employment LawAn employee works under a contract of employment with full statutory rights, such as unfair dismissal protection,…
Employment Agency (UK)
Contract Types & Employment LawIn UK law, an employment agency introduces job seekers to a hirer who employs them directly. The agency earns a…
Employment Business (UK)
Contract Types & Employment LawIn UK law, an employment business supplies temporary workers to hirers and stays responsible for paying them and…
Employment Status (UK)
Contract Types & Employment LawEmployment status in UK law is the category of employee, worker or self-employed contractor, set by the real working…
Engager (UK)
Contract Types & Employment LawIn UK off-payroll working rules, the engager is the end client where a contractor works, responsible for deciding…
Exempt Employee
Contract Types & Employment LawAn exempt employee is a US worker classified under the FLSA as ineligible for overtime pay, which requires meeting both…
Fair Labor Standards Act
Contract Types & Employment LawThe Fair Labor Standards Act (FLSA) is the US federal law setting minimum wage, overtime, recordkeeping and child labor…
Fair Labor Standards Act(FLSA)
Contract Types & Employment LawThe Fair Labor Standards Act (FLSA) is the US federal law that establishes the federal minimum wage ($7.25/hour in…
Family and Medical Leave Act
Contract Types & Employment LawThe Family and Medical Leave Act (FMLA) is a 1993 US law giving eligible employees up to 12 weeks of unpaid,…
Fixed-Term Contract
Contract Types & Employment LawA fixed-term contract is an employment agreement with a defined end date — for a project, a season, or a specified…
Four-Fifths Rule
Contract Types & Employment LawThe four-fifths rule is a US test for adverse impact: a selection procedure is flagged if a group's selection rate…
GDPR in Recruitment
Contract Types & Employment LawGDPR in recruitment is how UK GDPR governs the way agencies and employers collect, store and share candidate data,…
Garden Leave
Contract Types & Employment LawGarden leave is a notice period in which a resigning employee stays on full pay but must not work, contact clients or…
Hirer (UK)
Contract Types & Employment LawIn UK staffing, the hirer is the client entity a worker is supplied to, and it carries its own legal duties under the…
Hostile Work Environment
Contract Types & Employment LawA hostile work environment is a US legal concept under Title VII where severe or pervasive harassment over a protected…
IR35(IR35)
Contract Types & Employment LawIR35 is UK tax legislation that determines whether a contractor working through a personal service company (PSC) should…
IRS 20-Factor Test
Contract Types & Employment LawThe IRS 20-factor test, from Revenue Ruling 87-41, is the US framework for judging whether a worker is an employee or…
Intermediary (UK)
Contract Types & Employment LawIn UK contracting, an intermediary is any entity between a worker and the end client, such as a personal service…
Irregular Hours Worker
Contract Types & Employment LawAn irregular hours worker is a UK classification, effective April 2024, for workers with variable hours that changes…
Joint Employment
Contract Types & Employment LawJoint employment is the US legal doctrine under which a staffing agency and its client can both be treated as a…
Living Wage
Contract Types & Employment LawThe Living Wage is an independently calculated hourly rate, separate from the statutory National Living Wage, and UK…
Minimum Wage
Contract Types & Employment LawThe UK National Minimum Wage and National Living Wage are statutory hourly pay floors under the National Minimum Wage…
Misclassification
Contract Types & Employment LawWorker misclassification is treating a legal employee or worker under UK law as self-employed, creating unpaid PAYE,…
Mutuality of Obligation
Contract Types & Employment LawMutuality of obligation is one of three UK employment status tests, asking whether the employer must offer work and the…
Non-Compete Agreement
Contract Types & Employment LawA non-compete agreement is a contractual clause that restricts an employee or contractor from working for competing…
Non-Exempt Employee
Contract Types & Employment LawA non-exempt employee is a worker entitled to overtime and minimum wage under the US Fair Labor Standards Act, a status…
Non-Solicitation Agreement
Contract Types & Employment LawA non-solicitation agreement is a contract barring a person from approaching another party's employees or clients for a…
Overtime
Contract Types & Employment LawOvertime is time worked beyond a legal or contractual threshold, typically paid at a premium, such as 1.5 times the…
PILON
Contract Types & Employment LawPILON (payment in lieu of notice) is a payment made instead of working out a notice period, ending employment at once…
Personal Service Company
Contract Types & Employment LawA personal service company (PSC) is a limited company through which an individual provides services to clients, and it…
Prevailing Wage
Contract Types & Employment LawPrevailing wage is the minimum rate paid to workers on US federally funded construction and service projects, set by…
Protected Class
Contract Types & Employment LawA protected class is a group, such as those defined by race, religion, sex or age, that US federal law bars employers…
Reasonable Accommodation
Contract Types & Employment LawReasonable accommodation is an adjustment employers must make so a qualified person with a disability can work, under…
Retaliation
Contract Types & Employment LawRetaliation is an employer's adverse action against a worker for a protected activity, such as reporting…
Right of Substitution
Contract Types & Employment LawThe right of substitution is a UK contractor's contractual right to send someone else to do the work, a main factor…
Right to Work
Contract Types & Employment LawRight to work is a person's legal permission to take employment in a country, which UK and US employers must verify or…
Safe Harbor
Contract Types & Employment LawSafe harbor is a US tax provision, notably Section 530 of the Revenue Act of 1978, that can protect a business from…
Salary History Ban
Contract Types & Employment LawA salary history ban is a US state or city law that stops employers, and often employment agencies, from asking…
Secondment
Contract Types & Employment LawA secondment is a temporary transfer of an employee to another role, team or organisation while the original employer…
Self-Employed (UK)
Contract Types & Employment LawIn the UK, self-employed is a legal and tax status that HMRC tests on the substance of the working relationship, not on…
Title VII(Title VII)
Contract Types & Employment LawTitle VII of the Civil Rights Act of 1964 prohibits employment discrimination based on race, colour, religion, sex, and…
Umbrella Company
Contract Types & Employment LawAn umbrella company is a UK employment intermediary that employs contractors, runs their pay through PAYE and invoices…
Undue Hardship
Contract Types & Employment LawUndue hardship is the legal standard under the ADA that lets an employer refuse an accommodation that would impose…
W-2 Employee(W-2)
Contract Types & Employment LawA W-2 employee is a worker classified as an employee under US tax law, where the employer withholds income tax, Social…
Whistleblower
Contract Types & Employment LawA whistleblower is an employee who reports illegal, unethical or unsafe conduct by their employer, either internally,…
Work-Seeker
Contract Types & Employment LawA work-seeker is a person actively seeking employment; in South African labor law the term has a statutory meaning tied…
Worker (UK)
Contract Types & Employment LawA worker in UK employment law holds a status between employee and self-employed contractor, with core rights such as…
Worker Classification
Contract Types & Employment LawWorker classification is the determination of whether a person is an employee or independent contractor, setting their…
Worker Misclassification
Contract Types & Employment LawWorker misclassification occurs when an employer or staffing agency incorrectly designates a worker as an independent…
Wrongful Termination
Contract Types & Employment LawWrongful termination, or wrongful dismissal in UK law, is ending an employment contract without following its terms,…
Zero-Hours Contract
Contract Types & Employment LawA zero-hours contract is an employment arrangement where the employer is not obliged to offer any minimum hours and the…