Contracted Workers Clause Samples
The 'Contracted Workers' clause defines the terms and conditions under which individuals or entities are engaged to perform work for a company without being classified as employees. Typically, this clause outlines the scope of work, payment terms, and the independent status of the contracted workers, clarifying that they are responsible for their own taxes and benefits. By establishing these boundaries, the clause helps prevent misclassification issues and ensures both parties understand their rights and obligations, thereby reducing legal and financial risks.
Contracted Workers. 6.1. This Condition 6 applies in relation to and only in relation to a person satisfying all of the following criteria (a ‘Contracted Worker’):
6.1.1. The person must be contracted to undertake Research for or supply goods or services to AHDB for six months or more, directly by this Contract or consequent upon an obligation in this Contract upon the Supplier;
6.1.2. The person must not be on the payroll of AHDB or Meat and Livestock Commercial Services Limited or any UK government department (including a devolved administration) or any agency thereof;
6.1.3. The person must be or have been liable to pay UK income tax and/or national insurance contributions at the appropriate time;
6.1.4. The rate of payment (calculated based on a 7.5 hours working day, and excluding reimbursement of expenses necessarily incurred and VAT) for the provision of such services must be £220 or more per day.
6.2. Insofar as the Contracted Worker is liable to be taxed in the UK in respect of consideration received in relation to this Contract, he shall at all times comply with the Income Tax (Earnings and Pensions) Act 2003 and all other statutes and regulations relating to income tax in respect of that consideration.
6.3. Insofar as the Contracted Worker is liable to National Insurance Contributions (NICs) in respect of consideration received in relation to this Contract, he shall at all times comply with the Social Security Contributions and Benefits Act 1992 and all other statutes and regulations relating to NICs in respect of that consideration.
6.4. AHDB may, at any time during the term of this Contract, request the Contracted Worker to provide within a specified period information which demonstrates how he complies with Conditions 6.2 and 6.3 above or why those Conditions do not apply to him. For the avoidance of doubt, this does not oblige the Contracted Worker to disclose the amount of income tax or NICs paid.
6.4.1. AHDB may supply any information which it receives under this Condition 6.4 to the Commissioners of Her Majesty‟s Revenue and Customs for the purpose of the collection and management of revenue for which they are responsible.
6.5. Insofar as the Supplier is a Contracted Worker or the Supplier contracts directly or through any other person with any Contracted Worker for the supply of Research or goods or services in relation to the satisfaction of its obligations under this Contract, this Condition 6 shall apply in relation to each Contracted Worker.
6.5.1. The ...