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Lecture 2

ADMS 1000 Lecture Notes - Lecture 2: Independent Contractor

Administrative Studies
Course Code
ADMS 1000
Peter Modir

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An employee is a person who makes a verbal or non-verbal to exchange
labor for compensation.
Contractors are cheaper than employees because contractors can be red
without compensation, no benets, dierent hours
An employee vs. contractor is based of 4 main categories:
1. Degree of control. Independent contractors has full control
over what can be done, when something can be done, they can
hire other contractors. You can’t tell contractors what to do.
Employees must follow what the boss is saying, while an
independent contractor has a deadline and as long as a deadline
is met, the contractor is good
2. Economic risk. Contractors may not get paid, such as If the
company goes bankrupt, while employees must always be paid.
3. Degree to which the worker performs essential services
to the organizations. An employee is essential for the company.
Without the employee, the job cannot get done
4. Degree to which organization provides necessary tools.
Contractors have their own equipment, while an employee is
given the tools by the organization
Standard employment back in the day had better conditions than now,
with regular hours, pay raises, health benets, and good job securities
Nonstandard employment is what occurs now, with jobs being less secure,
less wages, less benets and not entitled to certain benets
Neoclassical perspective states that labor markets are competitive.
Governments and unions should stay out of the union market. The
competitive market will allow businesses to have optimal skills. This means
that the businesses can pay what they want for employees, and can make
employees do more work for less pay. Capitalist perspective
Managerial perspective. Similar to the neoclassical, but the managers
make the decisions. This is because the managers will make fair deals to get
employees, and the managers will treat the employees well, but the
government should be left out
Industrial perspective says that the employees are at the mercy of the
employers, and that the government must step in by creating rules such as
minimum wage, and this allows unions. This gives power to the employee.
(Done in Canada)
Critical perspective, similar to the industrial perspective
Notice of termination is a law that states that an employee must be red
with cause or red without cause, but you must get paid per year of work.
You must be compensated if you are going to be laid o. There also has to be
a 6 week notice
The Canadian charter of rights and freedoms protects
Democratic rights
Mobility rights
Legal rights
Equality rights
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