What defines a self-employed person?

A self-employed person is an independent contractor who runs his or her own business. Self-employed people are not entitled to the statutory employment protection rights that apply to workers or employees.

The model for use when contracting with a self-employed person should be a standard contract for the provision of services and terms indicating employment such as sickness, holiday and discipline should not be included. The person should not be referred to as an employee, and should be paid a fee (based on the submission of invoices), and not a wage.

An individual's employment status can ultimately be determined only by a court or tribunal on the basis of the facts of the case. The reality of the situation and the true agreement of the parties are key.