Which test is currently used by courts as the dominant approach to determine if an individual is an employee or an independent contractor?

Answer options:

The control test

The integration test

The multiple (or economic reality) test

The mutuality of obligation test

How to approach this question

Identify the modern, comprehensive approach used by employment tribunals.

Full Answer

C.The multiple (or economic reality) test✓ Correct

The multiple test (established in Ready Mixed Concrete) looks at all circumstances, including control, personal service, mutuality of obligation, who provides tools, and financial risk, to determine employment status.

Common mistakes

Selecting the control test, which is outdated as a standalone test.

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Practice the full ACCA LW — Corporate and Business Law Practice Exam 1

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Which test is currently used by courts as the dominant approach to determine if an individual is an employee or an independent contractor?

How to approach this question

Full Answer

Common mistakes

Practice the full ACCA LW — Corporate and Business Law Practice Exam 1

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