How to know whether you’ve got an employee or independent contractor

Las Vegas skyline at sunsetFrom Vegas Inc. — “The Nevada Supreme Court recently adopted the federal economic realities test to determine under Nevada wage laws whether someone is an independent contractor or employee. Criteria include:

• The degree to which the person’s work is controlled by the organization.

• The individual’s investment in facilities and equipment, if any.

• The individual’s opportunities for profit or loss, if any.

• Whether the service rendered requires a special skill.

• The permanency of the relationship.

• Whether the service rendered is an integral part of the organization’s business.

The Nevada Employment Security Division presumes that everyone is an employee unless each part of the following statutory test is met:

1. The person has been and will continue to be free from control or direction over the performance of the services, both under his or her contract of service and in fact.

2. The service is either outside the usual course of the business for which the service is performed or the service is performed outside of all the places of business of the enterprises for which the service is performed.

3. The service is performed in the course of an independently established trade, occupation, profession or business in which the person is customarily engaged, of the same nature as that involved in the contract of service….”

Read the full story at How to know whether you’ve got an employee or independent contractor

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