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About this document
A Contract For Services documents an agreement between a “Contractor” and a "Principal" who has engaged the Contractor to carry out "services" for a fee. The “services” could be an assignment or project that is ongoing for a specified time period, or, ongoing until a particular end point has been achieved.
The Contract For Services outlines the duties of the Contractor and the overall obligations of both parties.
A Contract For Services is different to an Employment Contract, in that:
1. The Contractor is self employed, which means that they pay their own tax; and
2. You do not have to do provide a Contractor for Services, holidays or holiday pay, all sick leave; and
3. The Contractor carries out services for a number of clients and not just yourself.
4. As the Contractor is self-employed, they are required to charge you GST.
5. A Contractor cannot take you to the Employment Relations Court if they have some form of dispute with yourselves. Should any form of dispute arise, if it is unable to be sorted out by yourselves, it is normally referred to the Disputes Tribunal (often referred to as the Small Claims Tribunal).
6. An Employee is employed by you and is not permitted to work for anyone else whilst employed by you. And Employee is governed by the Employment Contract that both you as the Employer and them as the Employee have signed.
Interview Time:
Approximately 10 minutes
Document Length:
Approximately 6 pages
Document Type:
Word Document
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