The answer to the question, an employee or not an employee?
This guide is designed to assist an employer, where needed,
to identify the number of employees they have in their company
or business and in turn identify whether or not their health
and safety policy, organization and arrangements should be in
writing and so which application they should complete.
Our definition of directors, employees or workers is:
Directors
A member of a business or body who is responsible for the
strategic business direction of that company and the
implementation of its corporate governance and which makes the
decisions that determine its success and integrity.
Employees / workers
An individual who works part-time or full time under a
contract of employment whether the contract is oral or
written, express or implied and has recognised rights and duties.
This will include managers,
office staff and employees that work on or off site.
The total number of employees therefore is the
number of directors + the number of employees / workers.
If you are still unsure whether someone is an employee
or not then answer the following questions about them
| Statement | Yes/No |
|---|
|
They are required to attend work on a regular basis unless
they are on authorised leave
(eg holiday, sickness absence, maternity leave)
|
|
|
They are required to work a minimum amount of hours
(whether fixed or variable)
and they expect to get paid for the hours they work
|
|
|
A manager or supervisor is responsible for their work load,
directing when particular work should be completed and the
way it should be undertaken
|
|
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They cannot send a substitute to do their job
|
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Their company (you) deduct tax and National Insurance from their wages
|
|
|
They have received (or would be entitled to) contractual or
Statutory Sick Pay from your
company when unable to work through illness or injury.
|
|
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They have received (or would be entitled to) contractual
or Statutory Maternity or Paternity Pay
from your company when on maternity or paternity leave
|
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They receive payment from your company when they take holiday
|
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They can join your company pension scheme
|
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They are included in your company's organisational chart
|
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They are subject to your
company's disciplinary and grievance procedures
|
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They work at the company's premises
or at a location specified by your company
|
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|
Your company provides the tools and equipment they need to do their job
|
|
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Their contract sets out redundancy provisions and procedures
|
|
|
They work exclusively for your company or they have another job,
but it is
entirely different from the work they do for your company
|
|
|
They have been given a contract, statement of terms and conditions,
or an offer letter which uses terms such as 'employer' and
'employee'
and/or is described as an 'employment contract'
|
|
If you have answered yes to most of the statements, then it is
likely the person is an employee. This is regardless of whether
they work full time or part time,
or even if they work under a fixed-term contract.
The questions use the example of work undertaken for a 'company'.
However, they apply equally if they work for a sole trader,
partnership or any other form of business organisation.