Medium2 marksMultiple Choice
Syllabus C: Employment lawSection ACorporate and Business Law

ACCA · Question 08 · Syllabus C: Employment law

In the context of employment law, which of the following tests is used by courts to determine if an individual working in the gig economy is an employee rather than an independent contractor?

Answer options:

A.

The integration test

B.

The control test

C.

The multiple (economic reality) test

D.

All of the above tests may be considered

How to approach this question

Recognize that modern employment status determination relies on a holistic view rather than a single metric.

Full Answer

D.All of the above tests may be considered✓ Correct
To determine employment status, courts have historically used the control test and the integration test. Today, they use the 'multiple test' (or economic reality test) established in Ready Mixed Concrete (South East) Ltd v Minister of Pensions, which weighs all factors, including control, integration, mutuality of obligation, and financial risk.

Common mistakes

Believing that only one specific test is used exclusively today.

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