Employee misclassification occurs when you incorrectly classify an employee as an independent contractor. Misclassifying employees can lead to significant fines and penalties in many countries. In fact, a misclassified contractor may directly report their misclassification to local authorities, which exposes the employer to legal repercussions.
Not sure what the difference is between a full-time employee and a contractor? Visit this article.
Oyster’s employee misclassification test will help you understand the level of risk you face based on several factors such as country of employment, required working hours, remuneration, benefits, equipment, and more.
The test includes a few multiple choice questions with expert tips to clarify each factor.
After answering all questions, you’ll receive a result indicating if the contractor is at high, moderate, or low risk of misclassification.
You can then access additional resources to learn more about misclassification or proceed with using the Oyster platform to convert the contractor to a full-time team member.
Click here to use the employee misclassification test.