ExpertACCA · Question 49 · Syllabus C: Employment law
Scenario: GreenAcres Farms engages tractor drivers. Silas works exclusively for GreenAcres, uses their tractor, and is paid a fixed weekly wage, but his contract says 'Independent Contractor'. GreenAcres recently told Silas he must work 20 extra hours a week without pay, prompting Silas to resign immediately. GreenAcres also dismissed another worker, Maya, because she joined a trade union.
Applying the multiple (economic reality) test, what is Silas's likely employment status?
Scenario: GreenAcres Farms engages tractor drivers. Silas works exclusively for GreenAcres, uses their tractor, and is paid a fixed weekly wage, but his contract says 'Independent Contractor'. GreenAcres recently told Silas he must work 20 extra hours a week without pay, prompting Silas to resign immediately. GreenAcres also dismissed another worker, Maya, because she joined a trade union.
Applying the multiple (economic reality) test, what is Silas's likely employment status?
Answer options:
He is an independent contractor because his contract explicitly states so.
He is an employee because there is mutuality of obligation, control, and personal service, despite the contract label.
He is a worker, but not an employee, because he operates heavy machinery.
He is a partner in the farming business.
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