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Income – Employment Relationship
Mathias Afu is a builder by trade. He works for Palmerston Buildings for the last two years and is paid based on the hours worked. He sends them an invoice when the work is completed. On occasions, Mathias does some work for other clients but his main income is derived from Palmerston Buildings. Palmerston engages Mathias in the decision making on the building projects that he is involved. He is also the project manager for most building projects. Palmerston applies strict guidelines on all staff involved on how and when the building project is completed. In addition, Mathias has been asked to attend meetings with clients as well as attending all staff functions and meetings.
Required: Assess whether Mathias is an employee or an independent contractor for Palmerston Buildings.
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