Situation 1: The produce manager of Good Grocers Inc saw that a woman had slipped and fallen down in the produce section of the store. Her husband complained that she had slipped on a banana peel and they would file a suit against the company. However the manager noticed that the banana peel was still yellow and lying on a rubber mat. The lady was also wearing high heels. In case of personal injury the first step would be to file a report. The manager did notify 911. Also medical help needs to be provided to the injured person. Next one needs to check what evidence has …show more content…
“The behavioral control factors fall into the categories of: Type of instructions given, Degree of instruction, Evaluation systems &Training.” (www.irs.gov) An employee is informed about where and when to do the work, what tools to use, what sequence to follow, etc. Now Ms Greene works on Mondays, Wednesdays and Fridays and from 6.00 to 9.00 p.m. She is given equipment and is expected to decorate cakes. As such she can be considered a part-time employee. Similarly when we consider degree of instruction, she hardly needs instructions as she is already skilled in her work .Evaluation system for employees means that the either work or end result is considered. In her case, the finished product is considered which may be the case for both employees and independent contractors. Employees are generally provided some training also which may or may not apply to Ms Greene. From the point of view of behavioral control, Ms Greene may be thought of as a part time employee.
Financial or economic control can take several forms. An independent contractor may have expenses which are not reimbursed by the company or even suffer a loss. Ms Greene is paid according to work done so the question of loss or lack of reimbursement does not arise. A contactor is generally paid a lump sum amount but payment may be hourly also. The contactor can work independently and as Ms Greene has her own business, she can be classified as an independent contractor. But the other criteria can be used to confer the status of a part time employee on