This guide focuses on self-employed contractors. Although the term ‘self-employed’ is not defined in legislation, it is generally accepted to apply to those individuals who run and manage their own business.

Businesses and individuals should be aware that a self-employed individual may be categorised as self-employed for tax purposes but be considered an ‘employee’ (or more likely a ‘worker’) under employment law and therefore entitled to certain statutory rights and protections. Further, where an individual’s services are provided to a business client via a ‘personal services company’, certain tax-related obligations will be triggered under the IR35 regime.  

This guide is designed to help employers understand the relationship that they have with their self-employed contractors and highlights any legal issues that they may come across. It also includes information and key points for self-employed individuals to help them understand their employment status and rights.

Member tool: CIPD Buddy AI AI
Use AI to find trusted answers on our Knowledge hub. Start using CIPD Buddy AI

Contents

To continue reading, log in or become a member

Affiliate membership offers instant access to CIPD resources without the need for assessments or study, or explore your options to become a professional member of the CIPD to demonstrate your commitment to the world of work.

  • Access to exclusive, up-to-date resources
  • Become part of a community to learn, debate and connect with other people professionals
  • Free access to a series of CIPD learning courses and a discount on the rest of our catalogue
Instant access Explore membership
  • Employment law

    Annual leave: UK employment law

    The CIPD's dedicated legal resource on holiday entitlement for all types of worker. This page includes guidance leave allowances and pay and an infographic on what you need to know about annual leave.

    For Members
    • All guides