4:060-AP5 Independent Contractors
4:060-AP5 Independent Contractors
Determination
Classifying an employee as an independent contractor with no reasonable basis for doing so jeopardizes collective bargaining agreements, labor relations, employment taxes, pensionable earnings, and professional liability claims.
Whether a worker is an independent contractor or employee depends on the facts in each situation and shall be determined by the Business Office in consultation with the originating department or school.
As a general rule, an individual is an independent contractor if the District has the right to control or direct only the result of the work, not what will be done and how it will be done. All evidence of the degree of control and independence in the employer/worker relationship shall be considered.
The following criteria shall be considered when determining whether a person may be hired as an employee or independent contractor
Employee | Independent Contractor | |
Behavioral control | ||
Work instructions | When and where to work, what tools to use, or where to purchase supplies and services is determined by the District | Individual discretion |
Degree of instruction | More detailed instructions | Less detailed instructions |
Evaluation systems | Progress assessed details and at any time | Generally, only end results are considered |
Job training | Periodic or on-going | Not provided |
Financial control | ||
Equipment | Provided | No equipment provided |
Expenses | Reimbursed | Not likely reimbursed |
Other work opportunities | Limited and may require permission | Free to seek other business opportunities |
Payment | Hourly or salary | Most often paid by flat fee |
Relationship | ||
Contract | Collective bargaining agreement, class, or none | Required; contemplates liability and obligations. |
Benefits | Provided for full-time employees | Not provided |
Permanency | Indefinite | Specific project or period |
Services provided | Part of the regular business or duties of the District | Peripheral to the business or duties of the District |
Contracts
Prior to commencing work for the District, independent contractors shall agree to a written contract that, at a minimum, addresses the following provisions:
- Term of agreement
- Description of services
- Compensation any payment for services
- Compliance with Board policies
- Insurance and worker’s compensation
- Confidentiality and student data
- Indemnification
- Termination of agreement
A template contract for independent contractors is provided in 4:060-E2. If an independent contractor proposes their own version, authorized signatories (4:060-AP2) must ensure that it considers each of the included provisions and consult the Business Office.
All independent contractors shall be paid through accounts payable and in accordance with Board policy.
Cross reference:
4:060 Purchases and Contracts
5:010 Equal Employment Opportunity and Minority Recruitment
5:030 Hiring Process And Criteria
5:270 Compensation and Assignment
Adopted: July 2022