international employment law firm alliance L&E Global
India

6. General Misclassification Risk Mitigation Strategies

To substantially avoid the risk of misclassification of its independent contractors as employees, companies should ensure:

  1. that its independent contractors are not engaged in any perennial activity that is ‘core’ to the business, and is also carried out by its permanent workforce, to the extent possible.
  2. The nature of ‘control and supervision’ it exercises over its independent contractors should be minimal, to the extent possible.
  3. That the independent contractors are not subjected to the policies (leave, holidays, work timings and benefits) that are typically applicable to its permanent workforce.
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